Forget oil, this expert sees ‘bigger opportunity’ in natural gas amid Iran war

Oil prices have been volatile in recent sessions amid escalating conflict between the US and Iran.

Tensions reached a fever pitch on March 9th after President Donald Trump issued a stern warning, saying Iran would be hit “20 times harder” if it attempted to block the Strait of Hormuz.

However, while the world remains fixated on crude price charts, Rob Thummel, senior portfolio manager at Tortoise Capital, suggests a “bigger opportunity” for investors actually lies in natural gas.

Why Thummel picks natural gas over oil

While oil continues to dominate the news cycle, Thummel points out a glaring discrepancy in how natural gas is priced internationally compared to the United States.

Speaking with CNBC, the portfolio manager said international natural gas prices have surged “well more than oil,” highlighting global desperation for fuel that hasn’t been fully reflected in domestic valuations yet.

According to him, the US remains insulated from extreme price spikes seen in Asia and Europe due to its massive production capacity.

This price gap creates a unique window for American infrastructure and production companies to capitalize on global demand. As the world realizes that “energy is a really important component” to economic growth, Thummel believes natural gas will be the silent winner of the Iran war.

Here are the top 2 stocks to play this expected upside in natural gas prices in 2026.                                                                                                                

Cheniere Energy: the export powerhouse

As the largest US producer of liquefied natural gas, Cheniere's stock stands at the “forefront” of the global energy transition.

The firm’s ability to bridge the gap between low-cost American gas and high-priced international markets makes it a prime beneficiary of the current volatility.

Thummel’s thesis suggests countries like Japan, South Korea, and Taiwan are currently in a “pickle” due to supply disruptions in the Middle East.

But Cheniere’s long-term contracts and massive export terminals in the Gulf Coast provide a “glass half-full” view of American energy security.

By shipping super-cooled gas across oceans, Cheniere helps “alleviate” price spikes that Thummel warns are stifling international economies.

All in all, LNG shares offer a direct way to play the widening spread between domestic production and global security.

Williams Companies: the infrastructure backbone

To move the sheer volume of natural gas required to stabilize global markets, the world relies on the “invisible” network of pipelines managed by giants like Williams Companies.

Handling roughly one-third of all natural gas in the US, WMB is the quintessential “infrastructure stock” that Thummel identifies as a great place to be.

While upstream drillers may remain “disciplined” and hesitant to increase capital spending until futures curves move higher, midstream companies like Williams generate steady, toll-road-like fee income regardless of price swings.

This provides a defensive layer during a war-driven market.

As Thummel noted, the US produces so much oil and gas that it acts as a “benefit” to the domestic economy; WMB stock is the literal “engine room” that ensures this benefit reaches the market, making it an essential pick for those looking to capitalize on the natural gas opportunity.