A Game-Changer in Natural Gas Transportation

The following video is part of our "Motley Fool Conversations" series, in which industrials editors/analysts Isaac Pino and Brendan Byrnes discuss topics around the investing world.

In today's edition, Isaac and Brendan discuss three catalysts that could propel Clean Energy Fuels in the near future. Forget the fact that the Natural Gas Act hit a roadblock in March; the economics of natural gas make sense for long-haul trucking. The price discrepancy between natural gas and diesel remains intact, significant natural gas exports are a few years off, and production costs are rising rapidly for petroleum resources. Further, the price for upgrading a tractor-trailer to a natural gas engine continues to decline. 

While behind-the-fence operators find natural gas especially enticing -- think regional fleets like UPS and Waste Management -- a company like Clean Energy Fuels could lay the groundwork for cross-country transportation. Find out why Clean Energy could be a strong buy by watching the following video.

The natural gas market could offer enormous profits for an infrastructure play like Clean Energy, but the payoff might be years down the road. If you are interested in more steady returns over the long haul, The Motley Fool has identified an attractive energy stock in its recent special free report, "The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. The report is totally free.

Brendan Byrnes owns shares of Caterpillar. Isaac Pino has no positions in the stocks mentioned above. The Motley Fool owns shares of Waste Management and Westport Innovations. Motley Fool newsletter services recommend Clean Energy Fuels, Waste Management, and Westport Innovations. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.


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  • Report this Comment On June 26, 2012, at 5:08 PM, rustyvec wrote:

    Issac - I'm sold on the conversion to natural gas paradigm for the trucking industry and have invested long in Westport Innovations accordingly. I look at Clean Energy Fuels as a possible tandem investment opportunity and have followed the stock's bumpy trajectory for some time now.

    But I have one major concern/question regarding CLNE: what is to prevent the majors like Shell, Exxon, etc. from quickly jumping into the infrastructure game and completely eclipsing CLNE, its partnership with Pilot Flying J notwithstanding?

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