Beyond the Strait: Five Stocks Profiting from the LNG Supply Crisis

Venture Global Inc. stands as the most striking example of a market pivot. Once battered by arbitration with long-term customers, the company is now reaping the rewards of its spot-market business model, posting a 266% jump in second-quarter net income to $1.3 billion. While ConocoPhillips recently secured a long-term supply deal, Venture Global’s stock remains tethered to the volatility of spot prices, which could deflate if maritime traffic resumes.

Elsewhere, APA Corp. has turned a domestic pricing nightmare into an LNG advantage. Despite being forced to curtail production in the Permian Basin due to negative Waha hub prices, APA’s pre-existing contracts with Cheniere and firm transportation assets have allowed it to clear roughly $950 million in pretax cash flow from gas trading this year. Similarly, Equinor has become a primary beneficiary of Europe’s desperate need for pipeline security. By delivering gas directly to a continent struggling to fill storage, Equinor realized $15.79 per MMBtu in Europe during the second quarter—a stark contrast to its U.S. realizations.

Specialized infrastructure and secondary commodities round out the trade. Golar LNG is betting its new $2.45 billion floating unit will attract customers seeking immediate export capacity, even as its current fleet undergoes maintenance. Meanwhile, Antero Resources has found a tailwind in the propane and butane markets. As Chinese buyers shift away from Persian Gulf supplies, U.S. share of China’s LPG imports has climbed to 51%, driving Antero’s NGL revenue up 22% and insulating the company from the weakness of Henry Hub gas prices.