Cheniere Energy, Inc. (LNG), ConocoPhillips (COP): Is Dominion Resources, Inc. (D) Destined for Greatness?

Dominion’s Cove Point plant has been approved to export up to 0.77 billion cubic feet of natural gas per day, which will be split evenly between Sumitomo Corporation and GAIL Global. However, Cheniere Energy, Inc. (NYSEAMEX:LNG) is going to be a big challenger in the nat-gas export arena, since its Sabine Pass LNG terminal is expected to be operational by 2015. My fellow Fool Justin Loiseau notes that Freeport LNG, which is jointly owned by Michael Smith and ConocoPhillips (NYSE:COP), has also filed a request to double its existing export capacity. Freeport LNG already has contracts with two Japanese companies, as well as a 4.4 million tons-per-annum deal with BP. In addition, a third LNG export facility, which is owned by both Energy Transfer Partners and BG Group, will be on line by mid-2019.

Looking back at Dominion’s domestically focused operations, its Virginia Power subsidiary scored a federal land lease off Virginia’s coast for $1.6 million. Justin Loiseau notes that the land will be used to build an offshore wind farm, which will be capable of generating 2,000 MW of electricity. In addition, Dominion has received approval for a 1,358 MW natural gas power plant to expand its lines and processing centers around the Marcellus and Utica shale formations. Dominion isn’t cheap right now, but investors appear to be banking on a long-term rebound. However, that may already be baked into the stock’s high price. Investors may want to look elsewhere for yield today.

Putting the pieces together
Today, Dominion Resources, Inc. (NYSE:D) has few of the qualities that make up a great stock, but no stock is truly perfect. Digging deeper can help you uncover the answers you need to make a great buy — or to stay away from a stock that’s going nowhere.

The article Is Dominion Resources Destined for Greatness? originally appeared on Fool.com and is written by Alex Planes.

Fool contributor Alex Planes has no position in any stocks mentioned. The Motley Fool recommends Dominion Resources.

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