I agree and also agree with Peach's assessment that this whole sector got thrown in falsely with the sharp increase in the price of oil. I'm going to try to be patient as I see the overall market, including the energy market, in a steady decline.
If he "stepped Back" on that, he doesn't understand how MLP's operate. They have to pay out their cash flow to the general partner and to us, the limited partners. If they want to build something new they have to go to Wall Street to get the money.
It's just another difference between MLP's and corporations.
Suggested reading http://www.naptp.org/documentlinks/Investor_Relations/WF_MLP_Primer_IV.pdf
It's amazing how many people come to this board to demonstrate that they are clueless about the whole MLP concept. Nice to see someone understands that they have to pay out most of what they earn and raise new capital via debt & new units.
Anyway, whenever there's a sell-off because people need to raise cash and then the ignoranti lemmings & Chicken Littles rush to sell out of stupidity fueled here at Yahoo, it presents a nice buying opportunity. When the price rises you can get out or enjoy the high rate of return based on the price you paid for the units.
You are certainly a breath of fresh air and knowledge.
I don't read this board very often, but being a bull and a unit holder of ETP I will do so more often if you continue to educate us on these technical matters.
Too often there is sniping and whining on these boards with little red meat to chew on.
Thanks again, this is my main investment since retirement and although it stumbled a bit lately, I believe the cash will hit my account every quater for many more years.
Not liquid natural gas, natural gas liquids. LNG is the stuff Boone Pickins pushes as a fuel for trucks. It's methane (CH4) that's been cooled and compressed until it becomes liquid.
NGL's are the liquids that naturally occur in gas wells, mostly Ethane (C2H6), Propane(C3H8), Butane(C4H10) and Pentane (AKA Natural Gasoline)C5H12.
NGL's are used not only in fuels but to make plastics, solvents and other organic chemicals. Gas that contains a lot of NGL's is said to be "wet" and is much more valuable than dry gas because the price of liquids is based on the price of oil, not the price of natural gas.
Cramer doesn't seem to know the difference between LNG and NGL's. Now you do.