natural gas companies
The U.S. natural gas industry is undergoing seismic changes that are inverting the traditional gas supply-and-demand map of the United States - literally redrawing it.
And this offers the opportunity to make even more money than before for those who know how to invest in natural gas today.To continue reading, please click here...
Best Investments in Natural Gas: This New Demand Source Is Changing Everything
[Editor's Note: Subscribers of Dr. Kent Moors' free Oil & Energy Investor service received this article Oct. 8. The energy sector offers you some of today's best investment opportunities that will thrive even if Washington's budget shenanigans derail our economic recovery. Read Moors' latest analysis below - and sign up to stay up to date on the sector's biggest profits.]
As we have discussed on several occasions, there is a revolution occurring on the demand side in natural gas. No fewer than five major advances are hitting that will ramp up the requirements for this fuel source.
It's a development every investor should know about because it pushes new names on to the list of today's best investments in natural gas.This is creating a rare opportunity for energy investors...
How to Invest in Natural Gas Today
There's a new global capital shift that's affecting how to invest in natural gas today for maximum profit.
You see, there was a time when U.S. manufacturing companies invested heavily in the Middle East because of the region's low-cost energy sources.
Today, that money is coming back home.
International companies have noticed that the United States is a cheap source of natural gas. That's because the rise of hydraulic fracturing triggered a boom in U.S. natural gas production.To continue reading click here...
Why this Country is a Huge Profit Opportunity for Natural Gas Companies
Here at Money Morning, Dr. Kent Moors and others have spoken often about how the coming liquefied natural gas (LNG) export boom will be a huge profit windfall for natural gas companies. LNG exports should begin in earnest from this country in 2015.
But there is a natural gas export boom that is occurring right under many investors' noses.
Vast amounts of U.S. natural gas are currently being shipped via pipelines to many experts' favorite emerging country.
In fact, Money Morning Global Investing Specialist Martin Hutchinson called investing there a "100-year opportunity."
The country in question? Our neighbor to the south: Mexico.
Natural Gas Companies: LNG Export Boom Still on the Launchpad
Anyone investing in natural gas companies is eagerly awaiting news that the liquefied natural gas (LNG) export boom is officially underwayâ€¦ While we still have to wait, the good news is that last week Department of Energy Secretary Ernest Moniz told Reuters his department will go through the applications as quickly as possible. He added that he expects the Energy Department to conduct a â€śfair amount of actionâ€ť regarding the applications this year. This falls in step with the Obama Administrationâ€™s energy initiatives, which include a push for the development of â€śa global market for natural gas.â€ť This global natgas market will replace the current regional gas markets only if there are large exports of cheap natural gas from the U.S. Such exports are one main reason Money Morning Global Energy Strategist Dr. Kent Moors is bullish on natural gas prices in the years ahead. Heâ€™s also bullish about the prospects for investors in certain natural gas companies â€“ especially ones positioning to profit from Asiaâ€™s need for LNGâ€¦ The Sea Route to Asia Paved With Riches As pointed out by Money Morning Resource Specialist Peter Krauth, selling LNG to Asian countries such as Japan, South Korea and increasingly China will be a lucrative business in the years ahead. Japan and South Korea are the biggest importers of LNG. Japan, in the year ending in March, imported a record 87 million tons of LNG after shutting down 48 of the countryâ€™s 50 nuclear reactors. That is more than one-third of the world's LNG exports of 240 million tons in 2011.
Gasland Round II: Natural Gas Companies Under Fire Again (This Time, From a Hose)
Documentaries frequently succeed in visually portraying the inconceivable better than any other form of story-telling. Eye-opening and shocking, many spark controversial conversations even before they air.
Such is the case with Josh Fox's Gasland Part II.
The sequel, a follow up to Fox's 2010 documentary Gasland, a film that focused on U.S. communities impacted by natural gas companies' drilling - specifically fracking - debuts Monday night on HBO.
Critical reviews run the gamut from "lies" to "pure fiction."
The first film moved scores of eager environmentalists and "fracktivists" to speak out against natural gas drilling across the United States.
Natural gas companies/fracking supporters loudly lashed out in rebuttal.
They claimed many scenes in the film, including a Colorado landowner setting his tap water on fire in what has become known as the iconic flaming faucet scene, are misleading.
Critics cite studies claiming that area residents had reported flammable tap water for decades.
Reports claim that two years before the release of Gasland, Colorado regulators investigated that very case and determined hydraulic fracking and oil and gas development has nothing to do with it.
"There are no indications of oil & gas related impacts to water well," read the Colorado Oil and Gas Conversation Commission report.
Fox failed to inform viewers of that fact saying he didn't deem it relevant. But it is relevant when it questions the validity of the film's signature scene, and the entire film's credibility.
Following Gasland's release, COGCC stated yet again that the landowner's water well "contained biogenic gas that was not related to oil and gas activity."
The Next Famous "Flaming Faucet"
As for Gasland Part II's shocker, a man in Parker County, Texas is filmed lighting the end of a garden hose on fire. The implication is that gas drilling is to blame.
The image mimics the legendary short from the first one, but isn't apt to have the same impact if this court ruling gets out...
A Huge LNG Energy Boom Has Begun
Oh, the law of unintended consequences and the opportunities it brings.Â
Thanks to the new standard of Keynesian Abenomics, the Nikkei has blasted 47% higher since November.Â The Yen has lost about 25% against the U.S. dollar in the same time.
While we don't know what the future will hold for these trends, there's something else going on that will not fade quickly: The weak Yen has made imports to Japan a whole lot more expensive...including energy.
Since the Fukishima-Daiichi nuclear disasters in March 2011, Japan has compensated for its offline nuclear power plants by importing copious amounts of Liquefied Natural Gas (LNG).Â It was the fastest way to keep electricity output stable in an economy reliant on non-domestic energy suppliers.
Energy now accounts for about one-third of all Japanese imports.Â In March, those imports were valued at $17 billion Yen for the month.Â The following month, that number hit $22 billion.Â
Not surprisingly, in April Japan set a new record for spending on LNG imports.Â To be sure, a foundering Yen has contributed greatly.Â But this nation built on exports needs to keep the lights on.Â If all of Japan's nuclear plants were up and running at capacity, they'd supply 30% of the country's electricity needs.Â Instead, they account for just 2%.Â
And Japan is not alone.
How to Invest in the U.S. Natural Gas Revolution
It's no secret America has been in the midst of a natural gas revolution.
The technological advancement of fracking is causing nothing less than a full on shale boom, opening up amazing new profit opportunities if you know how to invest in natural gas - which I'll get to later.
According to the International Energy Agency (IEA), shale's share of U.S. oil & gas production will soar over the next 20 years. By 2035, the agency expects as much as 25% of U.S. oil and 50% of U.S. gas production will come from this source alone.
Thanks to the complexity and time involved, fracking a well is expensive, with costs running up to $10 million per well. It also requires a lot of room, a number of vehicles, and sophisticated and powerful equipment to get the job done.
But finding, drilling, and production costs are coming down as efficiencies are being gained. And this phenomenon will accelerate the rate at which supply hits the market.
Since late 2010, the time to drill a Bakken well has fallen dramatically - from 36 to 22 days currently.
Natural Gas Prices Move as the Switchover from Coal Continues
Natural gas prices have been on the rise in 2013. One of the major contributing factors for the rise, and one that will push gas prices even higher in the years ahead, has been singled out by Money Morning Global Energy Strategist, Dr. Kent Moors a number of times...
That factor is the switch by electric power companies from coal-fired electric generation to natural gas-fired generation. More than 9,000 megawatts of coal-fired generation were retired in 2012 alone.
The switchover is occurring because of two main reasons.
The first reason is how low natural gas prices are - even though the switch is causing a price climb.
The second is that burning natural gas is about half as polluting as burning coal.
Two Natural Gas Stocks to Buy Now Before the Transportation Revolution
Exploration and drilling for oil in America's newfound shale fields has unleashed a game-changing byproduct - enormous pools of natural gas that could meet the nation's energy needs for the next century.
In fact, the discoveries are so colossal they're set to rattle energy markets around the planet.
"North America has set off a supply shock that is sending ripples throughout the world," the International Energy Agency (IEA) said in its 2013 medium-term report.
But the first place to feel the effects will be right here at home.
You see, the supply surge will spur a massive switch away from smog-belching diesel engines to clean-burning, natural gas-powered vehicles.