Back in early June and last month, I updated you on one of my favorite side plays on this trend, which is marine fuel and lubricants provider Aegean Marine Petroleum Network (ANW), after it announced that it would launch a new service station in West Africa. But now I want to tell you about its latest move, which is the purchase of a Belgian-based ocean fueling concern called Bunkers at Sea.The stock recently sold off a bit so it may be attractive at this level. I really like its business because day rates are through the roof and these ships need fuel and lubricants. The company it bought has a neat way of fueling the ships while they are on the move so that they don't waste time getting into line and then waiting around to get fuel. The bunker ship just pulls alongside the tanker and fills it up kind of like how long range bombers are fueled up while in the air.
In any case this is a great company in a business that has record pricing due to Chinese and Indian growth. I have had this one on the radar for a while and I hope it goes into the high 30s so I can jump on board.
No comments:
Post a Comment