| From: E_K_S | 7/22/2021 1:14:30 PM | | | | | | Kinder Morgan Delivers Steady Second-Quarter Earnings
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Started to add to my already large position.
I believe KMI also announced an increase in their dividend.
Solid results keep the dividend on rock-solid ground Kinder Morgan delivered a typical quarter of stable earnings and cash flow. Because of that, the company remains on track to achieve its full-year forecast, which will see it produce enough cash to cover its 6%-yielding dividend and expansion program, with money left over.
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| To: miraje who wrote (131) | 10/22/2021 11:05:51 AM | | From: robert b furman | | | | Hi Miraje,
Me too.
I had actually bot to cover my November 16 puts for 5 cents as thaey had a 31 day life.
When KMI opened down I watched the RSI go very negative on the hourly and resold my November 16's for 10 cents and then sold some November 17.50's for 64 cents.
I also bought some shares @ $17.40.
Like you I thought the decline was very over done.
So far it is working.
Since Kinder reduced the desired 2021 dividend from $1.25 to $1.08. I'm hopeful we'll get there in the Q1 2022 Q 1 webcast, (effective Q2 02022). I think Kinder is conservative and wants to aim the free cash flow to debt reduction and hit that often target of debt to equity of 4.0. After that is reached, we'll aim some of that cash flow to dividend increases and possibly some stock repurchases.
As you point out, in between I'll continue to enjoy the generous dividend and supplement that with put sales. I have been selling puts going out 90 to 120 days all this year (been targeting the 16's anywhere from 90 cents to 65 cents). I've currently sold puts out into December and have a slug of 13's due in January 2022.
Hoping for a dividend increase and a stock price closer to $20.00, as the pandemic no longer threatens the demand for fossil fuels of al sorts. I think we're close.
Bob |
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| To: robert b furman who wrote (132) | 12/1/2021 9:03:32 AM | | From: robert b furman | | | | Hello to all on thread,
KMI is once again getting close to that &% plus yield zone.
Yesterday's close at $15.46 gives a yield at 1.08/15.46 = 6.985%
Kmi is creating excellent free cash flow and has internal funding to complete it backlog.
That backlog is alive and well as much of KMI's system is in Texas.
The following is an excellent recap on why Texas with its many shale deposits along with export capabilities to Mexico and intrastate to where the transition from coal to natural gas is a strong on going mega trend.
Most planned U.S. natural gas-fired plants are near Appalachia and in Florida and Texas
Source: U.S. Energy Information Administration, Monthly Electric Generator Inventory
Between 2022 and 2025, 27.3 gigawatts (GW) of new natural gas-fired capacity is scheduled to come online in the United States, according to our latest Monthly Electric Generator Inventory. This added capacity would increase current capacity (489.1 GW as of August 2021) by 6%. Many of the planned natural gas-fired capacity additions are located close to major shale plays in the Appalachia region and Texas and in Florida.
The Appalachia region’s Marcellus and Utica shale plays stretch across Ohio, Pennsylvania, and West Virginia. These shale plays have led the growth in U.S. natural gas production over the past several years, accounting for 34% of U.S. dry natural gas production in the first half of 2021.
Illinois, Michigan, Ohio, and Pennsylvania—states with pipeline access to natural gas from the Marcellus and Utica shale plays—account for a combined 43% of the natural gas-fired capacity planned to come online between 2022 and 2025. Among these four states, Illinois has the most natural gas-fired capacity additions (3.8 GW), followed by Michigan (3.2 GW), Ohio (2.9 GW), and Pennsylvania (1.9 GW). Natural gas transport infrastructure continues to be added to this region to increase pipeline takeaway capacity and to bring natural gas to demand markets in the Midwest, Northeast, Southeast, and Canada.
After Illinois, Florida has the second-most natural gas-fired capacity additions planned to come online between 2022 and 2025 (3.2 GW). Although Florida does not produce significant amounts of natural gas, its regional pipeline networks have been continually expanding to serve natural gas-fired generation units as older coal- and oil-fired units retire. Five new natural gas-fired plants plan to start commercial operations in Florida between 2022 and 2025: three plants are currently under construction, and two plants are not yet under construction but are scheduled to be completed by 2024.
More natural gas is produced in Texas than any other state. Most of its natural gas production comes from the Haynesville and Eagle Ford formations and multiple shale formations in the Permian Basin. As of August, 70.7 GW of natural gas-fired capacity is currently operating in Texas, and another 2.8 GW of capacity additions is planned to come online between 2022 and 2025. Growth in natural gas production in Texas has encouraged natural gas-fired capacity additions and regional pipeline expansions to accommodate growing natural gas exports to Mexico, as well as record-high liquefied natural gas (LNG) exports from terminals in South Texas and in Louisiana.
https://www.eia.gov/todayinenergy/detail.php?id=50436 |
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| To: candsrr who wrote (134) | 12/1/2021 9:29:05 AM | | From: robert b furman | | | | Hi candsrr,
Yup, I have sold a lot of puts on KMI out into December thru June.
15.00's are too low if/when KMI boost the dividend this next year.
Selling June puts gets the stock (if assigned) into the yield of 7.25% to 7.5%.
That yield on a company that has throttled its debt to industry norms and has known revenue growth leaning to its services.
A must have retirement stock.
Speaking of XOM, David Faber of CNBC just interviewed Darren Woods CEO of XOM. Very confident of their future including carbon capture and sequestration.
Good to see another poster over here!
Bob |
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| To: E_K_S who wrote (136) | 12/9/2021 4:40:38 PM | | From: robert b furman | | | | Nopeno growth to be found here.
Keep on moving folks , nothing to see here:
| From: isopatch | 12/9/2021 4:22:56 PM | | of 164552 | | | <EIA: U.S. Set to Become World’s Largest LNG Exporter in 2022
December 9, 2021
According to the U.S. Energy Information Administration (EIA), in 2020, Australia became the world’s largest LNG exporter for the first time, overtaking Qatar, with exports averaging 10.2 Bcf/d (billion cubic feet per day), an increase of 0.3 Bcf/d compared with 2019. Exports from Qatar declined by 0.1 Bcf/d compared with 2019. In 2020, LNG exports increased from the United States by 1.5 Bcf/d, to 6 Bcf/d. U.S. LNG exports in 2021 are through the roof, and the EIA is now predicting that next year, in 2022, the U.S. will eclipse Australia to become the #1 LNG exporter in the world.
By the end of 2022, U.S. nominal capacity will increase to 11.4 Bcf/d, and peak capacity to 13.9 Bcf/d, across 7 LNG export facilities and 44 liquefaction trains. This is a big deal.
LNG is practically the only growing market for our natural gas. Yes, there are more gas-fired electric power plants coming online and demand for gas in that sector is growing–some. But the biggest opportunity to sell more gas (clean-burning, good for the planet gas) comes from LNG exports.
The United States is set to become the world’s largest LNG exporter next year.Due to a number of U.S. LNG projects coming online by the end of 2022, U.S. capacity will increase to 11.4 billion cubic feet per day.The return of the long-term supply deals will likely incentivize several low-cost projects to move forward.The United States will have the world’s largest liquefied natural gas (LNG) export capacity next year, exceeding the capacity of the top LNG exporters Australia and Qatar.
Thanks to a growing number of U.S. LNG export projects coming into service,
by the end of 2022, U.S. nominal capacity will increase to 11.4 billion cubic feet per day (Bcf/d) and peak capacity to 13.9 Bcf/d across 7 LNG export facilities and 44 liquefaction trains, the Energy Information Administration (EIA) said in its latest natural gas weekly update last week.
Thanks to liquefaction trains at Sabine Pass, Cove Point, Corpus Christi, Cameron, Elba Island, Freeport, and Calcasieu Pass, America’s export capacity will exceed in 2022 that of the two current largest global LNG exporters, Australia (11.4 Bcf/d) and Qatar (10.3 Bcf/d).
U.S. LNG export capacity will grow further and peak export capacity is set to jump to 16.3 Bcf/d by 2024, when the eighth export facility—Golden Pass LNG – is expected to start operations, the EIA said.
In just five years since Cheniere’s Sabine Pass exported the first LNG cargo in 2016, the United States has now become the world’s third-largest LNG exporter, behind only Australia and Qatar.
Exports out of the United States have set monthly records this year, as economies rebound from the pandemic and the price of the U.S. benchmark Henry Hub is much lower than the equivalent prices of LNG in Europe and Asia, where the natural gas crunch has pushed prices sky-high in recent months. The U.S. also returned to exporting LNG to China, after a year without U.S. LNG shipments to China between March 2019 and February 2020, due to the trade war.
American exports to China started rising toward the end of last year to reach a record high in August 2021, the latest available EIA data shows.
In September 2021, China was the top destination of U.S. LNG exports, the U.S. Department of Energy’s LNG Monthly for November 2021 showed.
Over the past few weeks, Chinese firms have signed long-term supply deals for U.S. LNG, including a Cheniere agreement with Sinochem Group, and one between Venture Global LNG and Sinopec, which, Venture Global says, will be “the largest single LNG supply deal ever signed by a US company and will double imports of US LNG to China.”
The return of the long-term supply deals—due to the highly volatile and record spot LNG prices in Asia recently—and Asia’s insatiable demand for natural gas will likely incentivize several low-cost projects to move towards sanction over the next 12 months, Gavin Thompson, Vice Chairman, Energy Asia Pacific, at Wood Mackenzie, said last week. These include Cheniere’s Corpus Christi Stage 3 and Venture Global’s Plaquemines project in the U.S., WoodMac says.
This year’s U.S. LNG exports are set to rise by 50 percent compared to 2020, when global demand was low and many American cargoes were canceled, the EIA said in its December Short-Term Energy Outlook (STEO) on Tuesday.
At the same time, the top U.S. natural gas producer, EQT Corporation, said that the criticism of Senator Elizabeth Warren about the higher domestic natural gas prices this year is “misguided.”
Per EIA estimates, U.S. LNG exports will average 9.8 Bcf/d for all of 2021, up by 50 percent from 2020. American LNG exports will average 11.1 Bcf/d from December 2021 through March 2022, and high levels of LNG exports will continue into 2022, averaging 11.5 Bcf/d for the year, up by 17 percent from 2021, if global natural gas demand remains high and U.S. LNG export capacity increases, the EIA said on Tuesday.
Also on Tuesday, EQT Corporation said that Senator Warren’s suggestion that LNG exports or “corporate greed” were contributing to domestic natural gas cost increases was “misguided.”
“Yes, the price of natural gas has increased rapidly relative to 2020 as the economic engines of the world have reignited, but natural gas prices in 2020 were the lowest in over two decades, a year during which we exported LNG. In fact, because of the shale gas boom and companies like EQT, the United States consumer has benefited from, and continues to benefit from, some of the lowest natural gas prices in the world,” EQT President and CEO Toby Rice said in a response letter.
“LNG exports have the potential to be the biggest green initiative on the planet, and it’s not even close,” the top executive of America’s biggest natural gas producer noted.>
marcellusdrilling.com
7% yield and no growth to be found = WRONG!
BUY THE DIP, and sell puts $15.00 and $16.00 puts out into Frbruary thru June.
Bob |
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