Clean Energy Fuels: Ready for the Natural Gas-Propelled World

Readers of this space know that one preferred investment includes natural gas and natural gas services plays, and one operation worth a review is Clean Energy Fuels CLNE. Note: I consider Clean Energy to be a high-risk stock not suitable for moderate-risk/low-risk investors. Don't consider CLNE if you can't tolerate a 30% to 50% drop in the stock's price: it could happen. Clean Energy Fuels designs, builds, operates, and maintains natural gas fueling stations, which provide compressed natural gas (CNG) and liquid natural Gas (LNG) to clients. The company currently operates more than 200 fueling stations nationally that fuel more than 20,000 vehicles. Clean Energy Fuels also provides natural gas vehicle systems and conversions for taxis, limousines, vans, pick-up trucks, and shuttle buses through its BAF subsidiary in Texas. The view from here argues that natural gas as a transportation fuel will continue to increase its market share amid sustained, relatively-high oil prices (an average of $60 per barrel this decade, 2010-2020), and as the network of natural gas refueling stations expands. Cheaper, cleaner, domestic natural gas is catching on as a transportation fuel for fleets that fill-up at a central point (such as bus operators), but the major market share gains will occur when there are enough filling stations to enable 18-wheel, long-haul trucks to convert to natural gas. Continue reading the article.