EUROPE’S ENERGY CRISIS IS KEEPING ENERGY PRICES HIGH
America leads the world in oil and gas production. We believe midstream energy infrastructure offers predictable cash flows to investors.
Oneok’s Deal Makes Everyone Happy
Oneok (OKE) is developing a habit of surprising the market with their acquisitions. Last year’s deal with Magellan Midstream (MMP) was roundly criticized, including by us, because of few obvious synergies and an unwelcome tax bill for MMP unitholders (see Oneok Does A Deal Nobody Needs). MMP’s refined products business didn’t look like a […]
Deciding When To Sell
Investors sometimes ask us what induces us to sell a security. It’s usually because relative valuation has made one stock more attractive than another. Williams Companies (WMB) is an example. The company holds a unique position in natural gas pipelines with its Transco network running along the eastern US. They have a heavily fee-based business, […]
Energy Transition Profits Are Elusive
Rivian’s R1T truck has a special storage compartment for golf clubs. Nothing else so eloquently describes the conundrum facing the auto industry. America is not an obvious market for EVs. It’s a vast place, so we drive greater distances. Gasoline is cheaper than in other developed countries. And we like big cars – two thirds […]
Energy By The Numbers
I traveled from San Diego to Portland, OR last week and enjoyed a delicious wine pairing dinner in nearby Oswego with a group of investors. Oregon is wine country, and its residents are knowledgeable about varietals and vintages. I met some people who cultivate vines as a hobby and enjoy producing enough to fill a […]
Long Term Energy Investors Are Happy
2Q midstream earnings have come in mostly at or ahead of expectations. Oneok had a strong quarter and are expected to raise full year EBITDA guidance in November. Targa Resources also beat analyst estimates and raised full year guidance. Cheniere beat expectations and once again raised full year guidance, something that is becoming a regular […]