David Kronenfeld

Natural resources, long only
David Kronenfeld
Natural resources, long only
Contributor since: 2012
The cost differential is huge.
Lockheed Martin looks to be getting in the LNG game...
Great article Herr Hansa!
I would agree that from a macro perspective, drilling in the North and South Falkland Basin (as well as the Malvinas Basin further to the west) are not major hotspots that will keep numerous drillships occupied. However, for a small company like Ocean Rig which only operates 6 ships, the loss of a potential market in the Falklands where they have experience with both the basin and the players is one less location they can place their small fleet.
I doubt it will move oil one way or the other as no production is currently occurring in the Falklands. The only possible effect it could have is to increase the risk premium of oil due to actual conflict between Argentina and the UK. I don't see there being a significant risk premium there though.
Shell is adding two LNG liquefaction plants in North America to meet marine and on-road demand for the fuel - http://bit.ly/XPeQIi Will benefit not just Shell, but Caterpillar and other suppliers of LNG engines.
Can't disagree with you there.
Between this and the upcoming referendum in the Falklands there are sure to be some fireworks. It's a tragedy the Argentines are saddled with such terrible leadership.
I'm hoping to do a follow-up article to this one in the coming weeks. LNG shippers aren't the only ones profiting from the increase in domestic oil and gas production - http://bit.ly/Xe6gDn
Don't forget to include the capital cost of installing any solar panels or 240 amp lines for the high power charger in your garage. Honda's CNG Accord faces some of the problems electric cars face - lack of infrastructure and a high initial capital investment for at-home charging. Tesla is doing an excellent job of working to overcome these hurdles and it will be interesting to see how they fare.
Hohum is correct. Hyundai is a particularly large (if not the largest) player, but the Chinese are quickly becoming a force to be reckoned with as well.
Interesting piece on freight rate projections... http://bit.ly/11FFuHA
Good article Brian.
How is SFL going to benefit from LNG when it doesn't operate any LNG tankers? Does it have plans to commission some?
Also, are you concerned by SFL's payout ratio?
That's correct. This technology wouldn't replace drillships, rather it has the potential to increase demand for them as offshore drilling becomes more cost competitive.
I would have linked to Michael Fitzsimmon's article if it had been published earlier. Great piece on Statoil that came out today...
Tote just awarded a contract to General Dynamics for conversion of two cargo vessels to LNG power.
Pangaea LNG seeking permission for floating LNG export facility off Corpus Christi
STX Finland just took delivery of the world's largest LNG powered passenger ferry...
Bruce, I'd love to own shares of ECOL and SRCL, but am focused on paying down law school loans.
Thanks for correcting that. I must have been referencing an out of date source.
I considered including Cheniere, but wanted to focus solely on shipping companies.
Joey, if you haven't read it already, I took a stab at answering your question here: http://seekingalpha.co...
What Tom said below is right - http://bit.ly/TXSJxR
And Caterpillar is working with Westport on LNG engines for mining equipment and locomotives - http://bit.ly/UpK9FI
Also, India is considering utilizing them - http://bit.ly/Q3vJxr