Investment in natural gas lends itself to energy alternatives, which will be increasingly important in the United States and around the world. There are 156 investor-owned natural gas utilities in the United States, and investor-owned pipelines are increasing in production. There are more than 8,000 natural gas suppliers in the United States, and the natural gas pipeline system continues to expand.
A natural gas investor can get good value and feel secure in investing as long as the market for natural gas continues to grow. Some natural gas traded companies offer investment programs with a relatively low initial investment amount. Check with your local utility. Most natural gas utilities allow non-users to invest, and in some cases, you can invest online. The users own the natural gas public companies they invest in.
1. A natural gas investment can be a solid investment as long as the market keeps growing.
2. The market will continue increasing domestically and internationally based on the rate of pipeline expansion and the need for alternative energy.
3. Utility companies allow investing in natural gas utilities or natural gas distribution companies without a large initial investment.
Action Steps
The best contacts and resources to help you get it done
Invest in clean fuel with investor-owned natural gas utilities
You could get more bang for your buck by investing in a market that will continue to grow, such as investor-owned gas utilities. Many companies market natural gas as clean and green fuel. There is no supply shortage, and natural gas is environmentally more acceptable than other forms of energy.
I recommend: Wall Street Journal has called
Questar, which works in the exploration of oil and gas, a high-growth company.
Williams produces and transports natural gas and offers an investor kit online via email requests.
Keep your risks low as a natural gas investor
Some natural gas companies have investor plans with minimal to no investment necessary. You can make these investments through reputable online investment services.
I recommend: The second-largest independent producer and the third-largest overall producer of natural gas in the United States is
Chesapeake Energy. There is no minimum investment required, and you can enroll in its investment plan online.
Delta Natural Gas, another utility, doesn't require a minimum investment to join its investor program. You can buy both on line from
Computershare Limited.
Try the bigger natural gas traded companies for more expensive stock
Some natural gas utility companies have more expensive stock. Even if the stock seems a bit high, you might be buying into a solid company with a big future.
I recommend: Anadarko, another Wall Street Journal high-growth company, requires a higher initial investment than other companies.
Northstar Energy has an online questionnaire to see if investing in the company meets your investing needs.
Tips & Tactics
Helpful advice for making the most of this Guide
- Ask about dividend reinvestment programs when you invest in natural gas utilities companies.
The official source of Investor-Owned Natural Gas Utilities is
the Investor-Owned Natural Gas Utilities page at Business.com