Energy Transfer LP (ET) and Entergy Louisiana Announces the Signing of a 20-Year Natural Gas Firm Transportation Agreement

Energy Transfer LP (NYSE:ET) is one of the best undervalued stocks to buy under $50. Energy Transfer LP (NYSE:ET) and Entergy Louisiana announced the signing of a 20-year natural gas firm transportation agreement on November 4, aiming to deliver affordable and reliable energy to customers while supporting new economic development in North Louisiana. Management reported that the agreement marks the foundation for “Louisiana to lead the way on American energy and artificial intelligence dominance”.

The terms of agreement state that Energy Transfer LP (NYSE:ET) would initially provide 250,000 MMBtu per day of firm transportation service starting in February 2028 and continuing through January 2048. The agreement also offers Entergy the option to expand delivery capacity in the region to catch up with future energy demand.

Energy Transfer LP (NYSE:ET) further reported that Entergy Louisiana’s combined-cycle combustion turbine facilities would be fueled by the natural gas supplied through the agreement. The facilities are under development to provide cleaner and more efficient energy not only for the company’s customers but also “to support projects like Meta’s new hyperscale data center in Richland Parish”.

Energy Transfer LP (NYSE:ET) offers natural gas pipeline transmission and transportation services. The company operates through the following segments: Intrastate Transportation and Storage, Interstate Transportation and Storage, Midstream, NGL and Refined Products Transportation and Services, Crude Oil Transportation and Services, Investment in Sunoco LP, Investment in USAC, and All Other.

While we acknowledge the potential of ET as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.