Investors shouldn’t ignore the concurrent revolution that has occurred in Australia’s natural-gas industry over the past decade.
Natural Gas Stocks
Natural gas stocks have regained major investor attention thanks to the shale gas revolution. The shale gas revolution has unlocked an abundance of clean-burning natural gas and Natural Gas Liquids (NGLs) trapped in giant shale rock formations in the United States and abroad. Many experts predict that natural gas will be the most important source of energy in the global economy in the coming years, because it is clean, reliable and safe.
The natural gas stocks archive below outlines some of the biggest trends in natural gas investing. Investing Daily’s in-depth reporting reveals the hottest drilling locations, the most influential technologies, and how government policies will affect natural gas stocks. Uncover how the industry is having an impact on the transportation sector, how the North American economy is rapidly developing into a major exporter of natural gas, and where the prices are headed. Most importantly, you’ll identify those natural gas stocks posed to benefit most from the evolution of the natural gas industry.
Why I remain bearish on North American natural gas prices, but have a bullish outlook for international LNG prices.
Rising demand for liquid natural gas in–where else–emerging markets has also helped to absorb excess supply and should continue to drive demand over the long term.
New York’s moratorium on new drilling permits won’t impact activity in the sweet spot of the Marcellus Shale.
Chevron’s (NYSE: CVX) acquisition of Atlas Energy (NasdaqGS: ATLS) serves as a wake-up call to investors who dismiss opportunities in the Marcellus Shale because of depressed natural gas prices.
As the natural gas market enters a period of seasonal weakness, investors are concerned that fall 2010 will once again bring concerns about production outstripping storage capacity.
Drilling activity in unconventional plays remains robust despite depressed natural gas prices–a puzzling disconnect that prompts many investors to steer clear shale-gas producers. Pugh Clauses explain part of this anomaly.
Macro issues will continue to drive stock prices in the energy sector until second-quarter earnings season gets into full swing. Here are two short plays to hedge your portfolio.
BP’s (NYSE: BP) mess in the Gulf of Mexico likely scuttles plans to expand US offshore drilling. The long-term picture, however, includes lots of rigs extracting fossil fuels under water.
The actual value of natural gas produced from some of the most important US shale gas fields is currently running at over $7 per thousand cubic feet.
