The Gods of Gas
How two brothers (you’ve never heard of) became America’s largest producers of natural gas… What they’re doing next will make billions and transform the global market for energy.
“The company’s corporate slogan ought to be death to Saudi Arabia.”
The media and our political leaders are focused on today’s short-term bear market problems: gasoline prices, inflation, and mortgage rates.
Environmentalists are fixated on the impossible: a world without fossil fuels.
Meanwhile, two brothers from Pittsburgh pieced together the world’s leading producer of an “ESG-approved,” super-clean, carbon-based energy source. Now they’re building a global distribution network that will leave Saudi oil virtually worthless.
The biggest disruption to the world’s energy markets in 100 years is underway. And you’ve never heard about it.
“Bring me the head of the dog,” said the angry voice on the speaker phone.
The voice was the chief of staff to Mohammed bin Salman, the acting king of Saudi Arabia. The phone was inside a safe room at Istanbul’s Saudi Consulate. The order wasn’t rhetorical: the leader of Tiger Squad, an elite 15-member hit team, was holding a surgical bone saw.
Jamal Khashoggi, a Washington Post journalist, was about to die. While his girlfriend waited outside the consulate, the Tiger Squad put a plastic bag over his head and cut him into pieces.
According to the recording of his death, Khashoggi took seven minutes to die, while Mohammed bin Salman listened. The Tiger Squad brought back Khashoggi’s fingers, which they cut off one at a time as a trophy for the king.
The rest of Khashoggi’s body was burned in a specialized consulate oven. A courtyard barbecue was used to mask the smell.
The depravity of Saudi Arabia’s leaders isn’t new.
Barbaric events occur routinely in the country. People convicted of adultery are stoned to death. Amina bin Salem Nasser was beheaded for practicing sorcery and witchcraft in 2011. (We doubt she was really a witch. Guess we’ll never know for sure.)
And let’s not forget the mass executions. Last March, Saudi Arabia simultaneously beheaded 81 people. They were all confessed criminals… because they had all been tortured.
There’s only one difference between Saudi Arabia and the barbaric, friendless countries of the Middle East, like the Taliban’s Afghanistan—oil. Since the end of World War II, Saudi oil has powered the world, with tankers carrying its crude oil to virtually every corner of the earth.
For the last 50 years, the quest for energy security has dominated foreign policy of all the great powers, including the United States. Thus, Saudi Arabia has always been given a pass—no matter what happened. Even the country’s obvious ties to the 9/11 terrorists were swept under the rug.
But the world’s market for energy is about to be turned upside down—forever. And in another decade, no one will need Saudi oil anymore.
The big secret on Wall Street this week isn’t what’s behind skyrocketing gasoline prices. Everyone already knows there’s not enough refining or pipeline capacity in America. We know about the Jones Act (which restricts the shipping of petroleum products inside the U.S.).
So… why haven’t more refineries been built? Why haven’t more oil pipelines been laid? Why don’t we repeal the Jones Act?
Because the gasoline business is going extinct. It’s a dinosaur. Automobile manufacturers are standardizing on electric cars. Thus, capital invested in new gasoline refining and distribution will end up being “stranded”—unused, forgotten, and worthless. That’s why big investors won’t get behind any new gasoline infrastructure.
Gasoline is NOT the gas you should focus on.
The big secret on Wall Street this week isn’t about gasoline – it’s about gas. Natural gas. Before the end of this year, the first international end-to-end production and distribution deal for American shale gas will be struck…
By a leading “fracker” – a small, independent, oil and gas firm whose production is centered on the largest natural gas reserve in the world, the Marcellus Shale.
This deal will create the first new, super-major energy company to emerge from America’s shale resources, which are the largest ever discovered.
This firm (which I’d bet not a single paid subscriber has heard of) has suddenly – virtually overnight – become the largest producer of U.S. natural gas. It will soon be the world’s largest and most important energy company. Read that again.
A company you’ve never heard of before is already the leading producer of natural gas in the United States.
This company sits on a resource that’s so big and is growing production so much that it will become the world’s most important energy company over the next decade. Best of all, the revolution this company is leading will render Saudi oil virtually worthless. Its corporate slogan ought to be “death to Saudi Arabia.”