According to McKinsey’s global gas outlook to 2050, natural gas is expected to exhibit the strongest global growth among fossil fuels between 2020 and 2035. Wood Mackenzie also predicts a widening deficit between Latin American natural gas demand and production through this decade. This presents an opportunity for investors to identify stocks that are poised to benefit from these trends and potentially generate significant returns.
One such stock is LNG Energy Group, a vertically integrated explorer and producer of hydrocarbons in Colombia with contracts in Venezuela. The company anticipates an increase in gross production to 40-44 million cubic feet of natural gas equivalent per day in 2024, up from 38 million cubic feet per day in 2023. With proven and probable net reserves of 98 billion cubic feet equivalent as of December 2023, LNG Energy Group is well-positioned for future growth.
The company’s operations in Colombia have been successful, with consistent growth in output at the Bullerengue Field and the discovery of new reserves. LNG Energy Group also holds interests in other blocks with exploration potential. Additionally, the company has recently expanded its operations into Venezuela through productive participation contracts, further diversifying its portfolio.
With a strong focus on shareholder value creation and a highly experienced management team, LNG Energy Group is a promising investment opportunity. The company’s growth strategy is driven by market intelligence, operational excellence, and a commitment to environmental sustainability. Investors can expect continued growth and potential cash returns in the coming years as LNG Energy Group continues to expand its operations and capitalize on market opportunities.
