Let’s all take a moment of silence to pray for severe blizzard conditions, which will help out the good folks who store natural gas. God knows, the natural gas drillers need some sort of cataclysmic event, in order to “clean out” their fucking inventory. The problem with natural gas: there is simply too much of the shit. We need to liquefy it, then lose it to some rogue pirates headquartered in the middle east.
While the shorts continue to conduct themselves like garbage men (no offense to police officers) smoking cigarettes with the windows up, “The Fly” will be looking to bank some coin in natty. Why the fuck not?
My fav’s are SandRidge Energy Inc. [[SD]] , GMX Resources Inc. [[GMXR]] , Apache Corporation [[APA]] , Southwestern Energy Company [[SWN]] , ATP Oil & Gas Corporation [[ATPG]] , Chesapeake Energy Corporation [[CHK]] , Continental Resources, Inc. [[CLR]] , Arena Resources, Inc. [[ARD]] and Weatherford International Ltd. [[WFT]] .
Extreme dice rolls include Flotek Industries, Inc. [[FTK]] , NGAS Resources, Inc. [[NGAS]] and GeoGlobal Resources Inc. [[GGR]] .
Okay, you can now go back to your regularly scheduled monotonous life. Try not to watch CNBC too much. I hear that shit can give you cancer of the eyeballs.
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FiSAM
Fly, could you explain to a simpleton, how would a natty rally affect refiners?
they wouldn’t.
Refiners are simply fucked. That’s all. Move on.
I just let out some natural gas
I asked about a month ago in the PPT and I’ll ask it here. If any of you fuckers have a friend contemplating suicide, for God’s sake tell said friend to take one for the team and wipe out a damn LNG plant when they do the deed. I’ll even throw in a free Keuring thingamajig to anyone that can arrange this.
Perhaps you could ask the Taliban to initiate a Jihad against Natty?
I’d prefer to keep jobs in the USA; but much more of this shit I’ll be willing to consider overseas freelancers.
We could strap a bomb belt to that motherfucker who shot up Ft. Hood and wheel his crippled ass into a LNG plant, late at night, after pulling the fire alarm.
Thoughts on ECA now that is pure Natty?
ECA is a good play too.
Wouldn’t the natty play have been a couple of days ago when they were predicting the blizzard?
The blizzard is a one off event. I am speculating in a sustained move above $5 for natty. However, that’s been a suckers bet for awhile now.
Off for a walk in the rain.
EIA weekly natty inventory report comes out tomorrow. Start seeing some drawdowns there then natty will finally get moving. The inventory report will be a bigger factor than the blizzard.
Actually, America imported LNG from Quatar about 2 weeks ago. Figure that one out…
I understand large positions in FTK can make your peckerwood fall off!
It’s DVAX time!!!
http://ibankcoin.com/henry_fool/2009/12/09/dvax-moves-forward-with-conviction-in-pre-market/
This site has good primers on energy: http://www.api.org/aboutoilgas/
Here is a specific primer on the natural gas industry:
http://www.api.org/aboutoilgas/upload/UNDERSTANDING_NATURAL_GAS_MARKETS.pdf
I suggest those who know nothing about natty give it a read.
Thanks, that was very informative; I’d praise it was up to your usual standard.
It’s worth noting that the fundamentals of natural gas, according to the Figure 2 diagram, allow storage companies, refineries, and producers to all compete with each other on the same playing field; that’s very different from, say, petroleum where refiners and gas storage facilities compete with each other for business from supply chains, or drillers and crude storage facilities compete with each other for business from refiners.
I haven’t had a chance to finish reading all of it, but I’d suppose then that some part of all gas pumped from the ground is immediately ready for consumption. That enables all three aspects of the business to compete against each other immediately.
Then any increase in the value of the spot price of natural gas (perhaps, to a lesser extent, futures as well, provided producers and refiners have their own storage capacity) will be capable of raising the entire sector near uniformly.
It seems there are drillers in the South that store unrefined gas, there are storage facilities near strong demand areas in the North, and pipelines between the two where gas is also stored. So, demand exceeding storage at a particular spot would increase commodity price. Therefore, I think the capacity numbers quoted at large (3.7tcf) are deceiving because there is plenty of natural gas, but short term volatility is locally dependent on physical/weather conditions, residential heating demand, industrial demand (fertilizer, metals, plastics), and how much was stored during build periods in a particular area. Interstate pipelines are regulated such that they are on an open access basis only requiring to store gas that is required to maintain system integrity, which in turn has led to less gas storage facility production and greater commodity price volatility.
http://en.wikipedia.org/wiki/Natural_gas_storage#Effects_of_Natural_Gas_Prices_on_Storage
Natty is controlled by Organized Crime, No?
Natty Gambini?
Market is up, yet I have a sea of red on my screen. Fuck that.
Thanks Henry. Very nice move. I wish I added more on the dip, but it’s all gravy now. No need to get greedy.
Bought some CRZO for my natty play.
Also picked up some CENX and GSI (not natties).
Not much of a bounce in gold today.
Just bought a boat load of LIWA
Oil looks bad. Back down to 70. Do you not see the poor action in oil as a harbringer of things to come?
A har what-er?
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