We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Cheniere Energy Inks Sale and Purchase Agreement with Vitol
Read MoreHide Full Article
A subsidiary of Cheniere Energy, Inc. (LNG - Free Report) , Cheniere Marketing, LLC, has inked a 15-year sale and purchase agreement (“SPA”) with Vitol Inc.
Per the agreement, Vitol will purchase about 0.7 million tons per annum of liquefied natural gas (“LNG”) from Cheniere Marketing on a free-on-board basis starting in 2018. The purchase price for LNG is indexed to the monthly Henry Hub price, which includes a fee.
The agreement is in sync with the company’s growth plans and also emphasizes its focus to enhance shareholders’ value.
This agreement represents the second major long-term LNG deal with one of the biggest oil and commodity trading houses in 2018. Earlier this year, Cheniere Energy and another major commodity trader, Trafigura, struck an LNG SPA. Per the deal, Trafigura agreed to purchase about 1 million tons a year of LNG from Cheniere Energy on a free-on-board basis for 15 years starting in 2019, with the purchase price for LNG indexed to the monthly Henry Hub price, plus a fee.
In 2017, Vitol supplied 7.4 million tons of LNG globally. Per the estimates of energy consultancy Wood Mackenzie, Trafigura, Vitol, Gunvor and Glencore have expanded their LNG trading businesses, which account for about 27 Mt of LNG or 9% of total LNG sold globally in 207.
Cheniere Energy is mainly involved in businesses related to LNG through the segments—LNG terminal and LNG and natural gas marketing. The company, being the only LNG exporter of the United States, shipped more than 150 LNG vessels year to date. The company exports natural gas to around 28 countries. Apart from helping the company protect income and lowering exposure to commodity price fluctuations, these factors will help generate excellent cash flow visibility for investors.
Price Performance
In the past year, Cheniere Energy’s shares have surged 47.5% compared with the industry’s 12.3% rise.
Zacks Rank & Stocks to Consider
Cheniere Energy currently carries a Zacks Rank #3 (Hold).
Petrobras is the largest integrated energy firm in Brazil and one of the major players in Latin America. It pulled off an average positive earnings surprise of 10.4% in the last four quarters.
Helix Energy offers specialty services to the offshore energy industry. The company delivered an average positive earnings surprise of 66.7% in the trailing four quarters.
TC Pipelines purchases, owns and actively participates in the management of U.S.-based natural gas pipelines and related assets. The company delivered an average positive earnings surprise of 3.7% in the last four quarters.
5 Companies Verge on Apple-Like Run
Did you miss Apple's 9X stock explosion after they launched their iPhone in 2007? Now 2018 looks to be a pivotal year to get in on another emerging technology expected to rock the market. Demand could soar from almost nothing to $42 billion by 2025. Reports suggest it could save 10 million lives per decade which could in turn save $200 billion in U.S. healthcare costs. A bonus Zacks Special Report names this breakthrough and the 5 best stocks to exploit it. Like Apple in 2007, these companies are already strong and coiling for potential mega-gains.
Image: Bigstock
Cheniere Energy Inks Sale and Purchase Agreement with Vitol
A subsidiary of Cheniere Energy, Inc. (LNG - Free Report) , Cheniere Marketing, LLC, has inked a 15-year sale and purchase agreement (“SPA”) with Vitol Inc.
Per the agreement, Vitol will purchase about 0.7 million tons per annum of liquefied natural gas (“LNG”) from Cheniere Marketing on a free-on-board basis starting in 2018. The purchase price for LNG is indexed to the monthly Henry Hub price, which includes a fee.
The agreement is in sync with the company’s growth plans and also emphasizes its focus to enhance shareholders’ value.
This agreement represents the second major long-term LNG deal with one of the biggest oil and commodity trading houses in 2018. Earlier this year, Cheniere Energy and another major commodity trader, Trafigura, struck an LNG SPA. Per the deal, Trafigura agreed to purchase about 1 million tons a year of LNG from Cheniere Energy on a free-on-board basis for 15 years starting in 2019, with the purchase price for LNG indexed to the monthly Henry Hub price, plus a fee.
In 2017, Vitol supplied 7.4 million tons of LNG globally. Per the estimates of energy consultancy Wood Mackenzie, Trafigura, Vitol, Gunvor and Glencore have expanded their LNG trading businesses, which account for about 27 Mt of LNG or 9% of total LNG sold globally in 207.
Cheniere Energy is mainly involved in businesses related to LNG through the segments—LNG terminal and LNG and natural gas marketing. The company, being the only LNG exporter of the United States, shipped more than 150 LNG vessels year to date. The company exports natural gas to around 28 countries. Apart from helping the company protect income and lowering exposure to commodity price fluctuations, these factors will help generate excellent cash flow visibility for investors.
Price Performance
In the past year, Cheniere Energy’s shares have surged 47.5% compared with the industry’s 12.3% rise.
Zacks Rank & Stocks to Consider
Cheniere Energy currently carries a Zacks Rank #3 (Hold).
A few better-ranked players in the same sector are Petroleo Brasileiro S.A. (PBR - Free Report) or Petrobras SA, Helix Energy Solutions Group, Inc (HLX - Free Report) and TC Pipelines, LP . All these stocks flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Petrobras is the largest integrated energy firm in Brazil and one of the major players in Latin America. It pulled off an average positive earnings surprise of 10.4% in the last four quarters.
Helix Energy offers specialty services to the offshore energy industry. The company delivered an average positive earnings surprise of 66.7% in the trailing four quarters.
TC Pipelines purchases, owns and actively participates in the management of U.S.-based natural gas pipelines and related assets. The company delivered an average positive earnings surprise of 3.7% in the last four quarters.
5 Companies Verge on Apple-Like Run
Did you miss Apple's 9X stock explosion after they launched their iPhone in 2007? Now 2018 looks to be a pivotal year to get in on another emerging technology expected to rock the market. Demand could soar from almost nothing to $42 billion by 2025. Reports suggest it could save 10 million lives per decade which could in turn save $200 billion in U.S. healthcare costs. A bonus Zacks Special Report names this breakthrough and the 5 best stocks to exploit it. Like Apple in 2007, these companies are already strong and coiling for potential mega-gains.
Click to see them right now >>