Key insights
- The author posits that geopolitical events in the Middle East are orchestrated to benefit North American energy companies and counter China's growing economic influence. By disrupting Middle Eastern energy infrastructure and promoting US energy exports, the US aims to retain economic power and diminish the "Petro yuan" play. The author suggests that North American energy companies like EPD, ET, KMI, ENB, and ONEOK are attractive buys.
Are we overlooking N.A Energy?
This whole m.e mess is looking more and more like a play against China as it fast approaches and threatens to bypass the GDP of the US. Despite the strong Gcc and the Petro $ cycle, the reality is that a subtle shift had already started happening towards "Petro yuan", and with systems like mBridge, which emerged only in 2022 and was already up to 55b in settlements recently. And not only that, it completely bypasses the involvement of USD, therefore any sanctions and investments that feature with it. So what does america do...
- Expand US oil export infrastructure and capacity over the years
- Secure Venezuela's business
- Cause chaos in m.e, get most infrastructure destroyed both sides of the strait, re-introduce proxies (welcome back Isis? and others), leave the region unstable for development and any quick recovery
- Lift sanctions on Russia, but provide intelligence to Ukraine to diminish their export capacity, give them the illusion while keep them weak
- Get Europe and other Asian countries to start buying energy from the US
- Leave China somewhat strangled as the biggest importer from gcc and diminish the yuan play, if not done now it will be too late
- Retain economic power?
- Meanwhile, also let your bestie quietly capture prime real estate on the coast of Mediterranean sea and become the undisputed policeman of the region
So what's the play?
Who knows really, but all the n.a energy and related companies like EPD, ET, KMI, ENB, ONEOK look interesting buys.