Looking at energy stocks going into 2022

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[LISTEN] Kea Nonyama from ThinkMarketscom said that Renergen…is one of the stocks which I think are going to capture the zeitgeist in the coming years on MoneywebNOW with SimonPB this morning. Download the podcast in the link below.

SIMON BROWN: I’m chatting now with Kea Nonyana. He is of course from ThinkMarkets. Kea, I appreciate the early morning. We are still kicking off only the second week into the year. [Let’s look at] some JSE-listed stocks that you’re particularly looking at for 2022.

So to position your portfolio I think one needs to look for businesses which are inflation-proof; inflation-proof businesses have a cost-plus business model, meaning they can push on that inflationary increase to their consumers. But now I have an interesting stock that I’ve been looking at since 2021, and I’ve been quite hesitant in covering it; it’s Renergen. For me, it is one of the stocks which I think are going to capture the zeitgeist in the coming years. The Virginia phase one project has come on almost to budget cost, as well as to time. Last year they did include in the world……1:57 VP1 phase of the project. They reported that they actually have more reserves of methane and helium.

KEA NONYANA: For me, the problem of ……3:01, especially in our local market, is you don’t have many energy stocks. So apart from going into Sasol, where else could you put your money? For me these small miners, these small energy stocks actually have a component like Tesla. The founders of the company are so energetic, and they’re so heavily invested with even their own capital into this business.

 

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