Megaphone icon ETF Database is now VettaFi. Read More >
ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • Entrepreneur ETF
    • Equity ETF
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Future ETFs
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Modern Alpha
    • Multi-Asset
    • Multi-Factor
    • Portfolio Strategies
    • Retirement Income
    • Smart Beta
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Videos & Podcasts
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. ETF Building Blocks Channel
  2. Midstream Operators’ Role in U.S. Energy Independence
ETF Building Blocks Channel
Share

Midstream Operators' Role in U.S. Energy Independence

Tom LydonJul 06, 2021
2021-07-06

Master limited partnerships (MLPs), including those residing in the ALPS Alerian MLP ETF (AMLP A), don’t produce oil and natural gas, but midstream operators do play important roles in the country’s ambitions to be energy independent.

Ensuring that energy commodities are efficiently transported and that a robust network backstops that transportation is a vital part of energy independence. That’s the forte of many AMLP components, confirming the largest MLP exchange traded fund is a credible play on efforts to regain net exporter status.

“The long-proclaimed pursuit of energy independence became a reality in 2020, marking the first time the US exported more energy than it imported on an annual basis. While steady global demand continues to drive US energy exports higher, supply and demand shifts caused by COVID-19 have temporarily reverted the US to a net importer of energy for the foreseeable future,” writes Alerian analyst Mauricio Samaniego.

AMLP 1 Year Performance

Midstream Means More Self-Production

Currently, the US is a net exporter of refined petroleum products, though many of the refined energy products produced on a domestic basis are consumed within this country. Either way, those products need to be moved from point of output to end markets.

Additionally, booming domestic oil and natural gas output in recent years is bolstering the net exporter case, particularly when it comes to liquefied natural gas (LNG). The U.S. is into a fifth year of being a net exporter of natural gas.

“Significant growth in domestic oil and natural gas production over the last decade has led to a sharp rise in energy exports, placing the US on a steadfast path towards energy independence,” adds Samaniego.

While the coronavirus pandemic threw energy ambitions for a loop, the downturn may end up being just a blip on the radar.

“The US’s growing dominance as a natural gas exporter is expected to strengthen further as additional LNG capacity comes online and countries increasingly shift to cleaner energy sources. With a global recovery ahead, ensuing oil and refined product demand—and higher domestic oil production—could revert the US to net exporter of petroleum in 2023 and beyond,” concludes Samaniego.

For more on cornerstone strategies, visit our ETF Building Blocks Channel.


Content continues below advertisement

Loading Articles...
Help & Info
  • Contact Us
  • Mission Statement
  • Press
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © ETF Flows LLC
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X