In the following video, Motley Fool energy analyst Joel South tells investors about the opportunities ahead for Energy Transfer Partners . Once a strictly intrastate natural gas pipeline company in Texas, it has grown immensely, both in its geographical coverage, as well as its type of pipeline. It's now moved heavily into the higher-margin oil pipeline market. Joel details the regions that the company has expanded to, and discusses just how much demand it is going to be facing there. He also tells us why the company's focus on fee-based contracts is going to mean huge amounts of stable reliable cash flow in the future.
The surge in oil and natural gas production from hydraulic fracturing and horizontal drilling is creating massive bottlenecks in takeaway capacity. However, this problem for producers creates a massive and immensely profitable opportunity for midstream companies. Energy Transfer Partners helps alleviate the gluts in supply, with 23,500 miles of transformational pipelines. To see if ETP and its industry-leading yield will be a fit for you, click on this detailed premium report, which will supply you with a thorough analysis of this midstream.
The article The 3 Opportunities Facing ETP Investors Today originally appeared on Fool.com.
Joel South has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.