Dow Chemical (NYSE: DOW ) has been one of the largest beneficiaries of the natural gas boom. The glut of ethane, the chemical feedstock used for making plastics, is resulting in bargain-basement pricing. Investors who have ridden this wave might wonder when it will end. In all likelihood, not for quite a few years. Ethane, unlike other major natural gas components, isn't a superior energy product, but energy companies don't specifically drill for ethane, so it's much harder to control the supply side of the equation.
Based on the amount of natural gas drilling in the U.S., it seems unlikely that the new chemical processing facilities slated to come online will be able to absorb all of the excess ethane. To learn what this means and which companies are poised to take advantage of the situation, tune into the video below featuring Fool contributors Tyler Crowe and Aimee Duffy.
The Next US Manufacturing Boom?
Cheap feedstocks and cheap natural gas are helping America's manufacturing surge once again, but there is one industry disrupting technology that could have an even bigger impact. Let us help you discover the biggest game changers since the personal computer that could signal the end of the "made in China" era. Our analysts have put together a comprehensive report called 3 Stocks to Own for the New Industrial Revolution that outlines what will alter the manufacturing world and the companies driving it. Simply click here and we'll give you free access to this valuable report.