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Re: stockguard post# 116

Sunday, 10/22/2017 5:25:35 PM

Sunday, October 22, 2017 5:25:35 PM

Post# of 353
Thanks for the link. I left this comment: US Crude oil production and natural gas production are both up significantly from a year ago. This actually includes a decrease in production from Alaska. The Lower 48 production is up substantially. How does this increased product get brought to the end-user market? Pipelines. What does AMZA's MLP holdings do? Move oil and gas through pipelines. Fracking would not be nearly as big as it is if the E&P's didn't have a way to move the oil, and especially the huge volumes of gas, from the field to the customers. Both have to go into a pipeline.

The mid-stream MLP's re-negotiated their contracts with the upstreams to maintain business. I suspect this contract pricing (and volumes) will be starting to ratchet back up as product demand picks up with the improving US and World economies. And don't forget that many midstream MLP's have completed huge CapEx projects to handle the necessary volumes.

I think the chances are good that AMZA can make it through to better times and hold the distribution in the process.