Gas
Having written a fair bit about oil, it is worth writing a little bit about gas and coal.
Firstly, here’s US natural gas consumption.
Throw in exports, which is someone else’s consumption.
It’s up, a lot.
When you hear that Woodside and Origin and others won’t have any customers in 10 years time, because of decarbonisation efforts, well, it would be quite the turning point.
Not at all saying it can’t happen, but is it likely? And so, if you can buy these stocks at ~10x, well, that’s interesting.
And we haven’t talked at all here about supply, where there is minimal incentive to bring on greenfield developments, due to ESG related risks.
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