I see natural gas up big 2 days in a row....current month $4.137....nice
will eventually lead to higher revenues for this trust.....Fairly significant move. With all the rigs in oil....it takes a while to move and utilize them for nat gas. I like the look of the supply/demand for natural gas over the next few years. Even the "greens" pushing natural gas as it has cut carbon emissions more than everything else put together. Nice div. yield. Protection (a bit) from inevitable market crash. I see $20 this year. Just thinking out loud.
Yes, their hedging in place does result in lower numbers when the price goes up fast, and higher numbers when the price drops fast. That is what hedging is....comprende? A sustained nat. gas rally will result in these hedges coming off (expiring) and a higher price.
On a seperate note, I see Wyoming which supplies 40% of the nations thermal coal...is putting in a huge natural gas fired power plant...and shutting down 3 coal plants. Cost is much much less. I think we are in a multi-year long natural gas price rise and stocks like this will be a great buy...in hindsight. Question is: where is the bottom? I do not know. Just buying in several lots if she comes down, which she is....so cost averaging down.