Who will be the winners and losers in the shale gas story?

SHALE GAS

Tom Stevenson, investment director at Fidelity Worldwide Investment, looks at the supply and demand dynamics supporting a shale gas boom in the US, and picks his companies worth backing.

Despite a sluggish recovery in the developed world, the global economy, driven by emerging markets, continues to grow at a steady rate. This is leading to a relentless increase in demand for energy. In the run up to the global financial crisis, when oil prices were pushing $150 per barrel, there was plenty of talk about energy scarcity and, while pressure has eased in recent years the problem has not gone away. Supply and demand Today, however, the overall balance between supply and demand looks much more balanced. As well as slacker demand as a result of the weak global economy, the l...