This Ultra-High-Yielding Dividend Stock Is Taking Steps to Capitalize on a $5 Trillion Opportunity

Energy Transfer (NYSE: ET) is a big-time income producer. The master limited partnership (MLP) currently offers a lucrative cash distribution that yields nearly 8%.

One reason the payout is that high is due to concerns about its long-term sustainability as the world transitions to lower-carbon fuels. Energy Transfer is working to address these concerns by looking at ways to reduce its emissions through carbon capture and sequestration (CCS). It's a potentially massive market opportunity that could help sustain and grow its high-yielding payout in the coming years.

Energy Transfer formalized its efforts to reduce carbon emissions last year by creating an alternative energy group. One of the opportunities it has started pursuing is CCS, a process that captures carbon dioxide from the air and stores it underground. It's initially looking at projects that would capture carbon dioxide at natural gas gathering and processing facilities. The company would transport the captured carbon to sequestration hubs, earning some incremental cash flow by monetizing federal tax credits.

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Source Fool.com