Halliburton Loves that Dirty Water

by Johnny Debacle

This is why investing in evil is so profitable.

How else can you reconcile yesterday’s Halliburton (HAL) news snippet(via the AP):

“We [Halliburton’s contingency support subsidiary KBR] exposed a base camp population (military and civilian) to a water source that was not treated,” said a July 15, 2005, memo written by William Granger, the official for Halliburton’s KBR subsidiary who was in charge of water quality in Iraq and Kuwait.

“The level of contamination was roughly 2x the normal contamination of untreated water from the Euphrates River.”

“It is my opinion that the water source is without question contaminated with numerous micro-organisms, including coliform bacteria,” Carter wrote. “There is little doubt that raw sewage is routinely dumped upstream of intake much less than the required 2 mile distance.”

With today’s news (via MarketWatch):

Halliburton Co. stock hit an all time high Friday after the company reported more than $1 billion in fourth-quarter net income and said it plans to soon file for an IPO of its KBR unit.

Raw Sewage. I LOVE it. And so do investors. That water has some seriously high margins. In evil theory, you could get paid for taking the waste AND again for repackaging it as water.

Recommendation:: We continue to like companies that special in oil services and evil per our Satan’s Portfolio investment thesis. Long Halliburton.

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