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Grayvest Founder Alex Gray on investing in companies that benefit from the declining price of natural gas.
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-- -- continues to underperform.
Dropping 10% so far this year.
So if you want to -- the downfall but don't want to bet on the commodity itself got some great second derivative play.
Alex -- is the founder of events Alex welcome to first let's -- to take on Nat gas and why didn't.
Why don't you think it will rise.
Well I think via -- supply.
In the marketplace is is just too high I mean just speak recently announces going to be coming back.
Production but on the other flip side Cabot Oil & Gas just announced that they're not gonna come back production so.
There are so profitable companies out there even at these prices so I think supplies going to keep.
Hitting the market -- storage is -- gonna continue to go up.
So you don't buy the fuel -- by the company to take advantage of the cheap fuel like for example clean energy.
Boone Pickens outfit that's -- CL NG is the symbol.
That's natural gas for for trucks basically is what it is right.
That's right there there was there one of the largest.
Natural gas fueling companies.
In North America -- they basically.
Manage and operate the fueling stations and they also involved in the construction those feelings station so I think they have a long way to go and like you mentioned Boone Pickens has I believe about a 35% stake in they recently.
-- -- Sold some warrants in December which -- deluding a little bit but thirty stole the big player in a stock and not -- got to get behind I don't think.
Are at Westport innovations another one your recommending it makes engines for Nat gas power commercial vehicles.
The other you know if you want to directly in the the engines -- -- themselves that that's a great play in.
But you know there -- they're selling engines -- this is not new technology it's just that.
Like anything and were were were Clean Energy Fuels gonna commandos.
Play -- with the infrastructure that's that's what stops us from moving forward while these technologies that is the refueling infrastructure.
And so the engines are being sold technology sorry pinnacle west mortgage and they also have a the partnership with -- Cummins engine which might be another way to play it as well which is much bigger company obviously more diversified.
Our Alex very quickly so we don't always is so serious it which is fertilizer -- tech nitrogen.
Fertilizer drive from natural gas go ahead quickly.
-- absolutely.
-- -- makes the ammonia products in the nitrogen products and introduced fertilizers.
Foreign you know the growing crops and things of that nature in the nothing that.
Basically the main -- talking to that is is natural gas and they they won't be too happy about.
You know the push for transportation because upfront will increase -- natural -- -- -- long -- -- right now.
There feel pretty good great picks Alex thank you very much Alex -- founder of grey vulture and vulture vets dot com good to see -- weekend.
