many people don't understand natural gas..i mean why would anyone drill for natural gas and lose money selling natural gas???? shale natural gas why bother drilling for natural gas and lose money selling natural gas??? i don't get it. the reason natural gas selling below cost is because of differet types of natural gas..shale gas is plentiful and dirty...the ground water is poisoned with chemicals to get the gas... why bother with natural gas if these ccompaneis loose money .....and they have tos drill the gas because the natural gas expires et....dumb industry? economics would say that nautral gas peoducers woudl stop selling or drill for natural gas from oversupply and they lose money selling a product people need. how can a company lose money selling natural gas... natural gas is more important than oil. people need natural gas more than they need food or oil. natural gas companeis are paying people to take their natural gas. natural gas etf is bad way to play ng too cause of th contango effect. natural gas could even go lower because of oversupply. $5 is now resistance
Not sure, but HK is making money: http://moneycentral.msn.com/investor/invsub/analyst/earnest.asp?Page=ConsensusEPSTrend&Symbol=HK Give natural gas some time. Do you know that in many countries in Asia, most of the cars already run on Natural gas?
Do you understand NG? What about the natural gas wells that were drilled 10-40 years ago that are still producing? Do you think those are losing money? They have been paid for over and over again. How about SD?
many of the natural gas companies have no profit? SD no earnings. who cares about drilling for natural gas for the investors perspective...the investors only care about getting paid via royalties dividends. etc. oil wells and natural gas wells are depleting assets. it cost money to deliver those and manage those wells. machinery labor etc. taxes....etc as for NG and natural gas ETF most retail investors can buy and hold them since it's too big for the small investor you have to roll them over and contango effect.
"economics would say that nautral gas peoducers woudl stop selling or drill for natural gas from oversupply and they lose money selling a product people need. how can a company lose money selling natural gas..." the marginal cost of that last bit of gas may still be profitable. there is a cost to mothballing and then resuming an operation.
My Grandpa use to get 73 cents for gas out of one of his wells that well was drilled over 40 years ago. Do you think that well is making any money for the gas company? It really doesn't cost that much to maintain the wells after the drilling expenses are paid for. As for SD I was just pointing out a stock that was undervalued and probably still is. High corn and wheat prices will create huge demand for fertilizer which should help NG some. Some of the Oklahoma City Thunder owners are big into NG. http://en.wikipedia.org/wiki/Category:Oklahoma_City_Thunder_owners The NG EFT and a lot of other EFT's should be outlawed as they are deceptive to investors and crooked at best. I really don't know why the SEC leaves them open.