Looks like your thesis, Dan on natural gas prices being dominated by regional demands is going to change pretty quickly.
LNG tankers are the midstream companies of global energy commerce. Maybe add a new research segment to your portfolio?
https://oilprice.com/Latest-Energy-News ... -2022.html
Another investing avenue in the natural gas market
Re: Another investing avenue in the natural gas market
This little LNG shipper is growing quite rapidly and offers an extremely attractive dividend.
LNG shippers are the midstream of LNG.
https://dorianlpg.com/news-and-media/pr ... fault.aspx
LNG shippers are the midstream of LNG.
https://dorianlpg.com/news-and-media/pr ... fault.aspx
Re: Another investing avenue in the natural gas market
Dorian actually ships liquids like propane
LNG is a different type of ship as the NG is chilled for transport
see FLNG
LNG is a different type of ship as the NG is chilled for transport
see FLNG
Re: Another investing avenue in the natural gas market
Thanks Fraser. I stand corrected.
Great little company. Impressive dividend. Worth a look.
Great little company. Impressive dividend. Worth a look.
Re: Another investing avenue in the natural gas market
Thanks for posting the idea.
Re: Another investing avenue in the natural gas market
here's something else which I personally found very helpful:
https://blog.opisnet.com/ngl-or-lpg-or- ... automation
https://blog.opisnet.com/ngl-or-lpg-or- ... automation
Last edited by Fraser921 on Mon Feb 20, 2023 9:38 pm, edited 1 time in total.
Re: Another investing avenue in the natural gas market
Aja, I have made the same mistake myself. Aside from the energy markets, my next favorite sector is shipping.
LPG Dorian is a good company with a good dividend and they are earning good rates. The same goes for FLNG /shipment of LNG
Right now the hottest sector is product tankers STNG ,TRMD. I recommended TRMD back in May at 9, its now 32. > Shipment of refined products.
I'm anxiously waiting the results of TNK an TK, Thursday of this week. Midsize crude tankers. I expect good results and a pop in the prices. TNK has been almost a 4 bagger from 10 to 37
https://finance.yahoo.com/news/teekay-g ... 00036.html
LPG Dorian is a good company with a good dividend and they are earning good rates. The same goes for FLNG /shipment of LNG
Right now the hottest sector is product tankers STNG ,TRMD. I recommended TRMD back in May at 9, its now 32. > Shipment of refined products.
I'm anxiously waiting the results of TNK an TK, Thursday of this week. Midsize crude tankers. I expect good results and a pop in the prices. TNK has been almost a 4 bagger from 10 to 37
https://finance.yahoo.com/news/teekay-g ... 00036.html
Re: Another investing avenue in the natural gas market
Looks like your wish came true on TNK, Fraser. Up 11% on earnings.
Re: Another investing avenue in the natural gas market
I'm glad someone is astutely watching what I am writing
TNK was 10 earlier this year. as I write this up 14 %
Here is the slide deck and transcript
https://seekingalpha.com/article/458129 ... t-94554735
https://www.teekay.com/wp-content/uploa ... tation.pdf
Look at slide 9
FCF free cash flow is over 20 annually. Thats every dollar of cash expenses and includes debt repayments
20 divided by 40 is a 50 % yield
Crk at best is 0. FCF not EBITDA
Ships have to travel further distances due to Russian ban. If they travel furter that reduces supply. So a reduction of supply and same demand means prices go up
Their daily cost is 15 k a day . They are earning 55 k a day 55-15 is 40 k a day per ship and they have 45 ships
Cash cow in the classic sense
I mentioned another tanker name in May TORM TRMD ticker symbol. It was 9 then. Today 34.40, almost a 4 bagger in 9 months
From the analyst questions:
The fourth quarter was amazing, the first quarter even better. If I just look at this chart you put on, on Slide 9 and not even having to extrapolate beyond, whatever, 40 days from now, that first quarter-to-date average rate free cash flow equivalent for the quarter, your net debt at $345 million would be cut by more than half just by March 31.
TNK was 10 earlier this year. as I write this up 14 %
Here is the slide deck and transcript
https://seekingalpha.com/article/458129 ... t-94554735
https://www.teekay.com/wp-content/uploa ... tation.pdf
Look at slide 9
FCF free cash flow is over 20 annually. Thats every dollar of cash expenses and includes debt repayments
20 divided by 40 is a 50 % yield
Crk at best is 0. FCF not EBITDA
Ships have to travel further distances due to Russian ban. If they travel furter that reduces supply. So a reduction of supply and same demand means prices go up
Their daily cost is 15 k a day . They are earning 55 k a day 55-15 is 40 k a day per ship and they have 45 ships
Cash cow in the classic sense
I mentioned another tanker name in May TORM TRMD ticker symbol. It was 9 then. Today 34.40, almost a 4 bagger in 9 months
From the analyst questions:
The fourth quarter was amazing, the first quarter even better. If I just look at this chart you put on, on Slide 9 and not even having to extrapolate beyond, whatever, 40 days from now, that first quarter-to-date average rate free cash flow equivalent for the quarter, your net debt at $345 million would be cut by more than half just by March 31.