Tell me if this is a good investment (CNG tanks)

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What am I missing?? - Obviously, if gas prices go down, my savings per week will go down. Is there anything else I'm not thinking about?

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If you find a way to hedge the risk associate with an increase in Nat Gas, then it's a good deal, assuming you have done all the research correctly.

The biggest risk is a price spike making your investment tank. You can probably just offset it by buying into something on the market, or if you have the ability, going into the futures market (probably too complicated for most.

How did you calculate "the cost of Natural Gas"? You need to do it on a per mile ratio, IMO.

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The biggest risk is a price spike making your investment tank

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Yeah, my understanding is the the price of gas and NG tend to move together, so my "profit margin" would somewhat remain intact either way (to a limited extent), but obviously there is some uncertainty there which could easily make the investment less (or more) worthwhile.

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You need to do it on a per mile ratio, IMO.

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Good point - I haven't done this much research on it yet. Again, my rough understanding is that both get about the same mpg, but I would need to recalculate with exact figures.

Would the conversion of a CNG tank void your warranty?

You wont have to worry about a spike in nat gas prices anytime soon

The oversupply of nat gas makes storage considerations a nonissue right now

Will you be able to get gas if you travel?

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The oversupply of nat gas makes storage considerations a nonissue right now

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So you're saying that current production is having difficulty finding a market?

It used to be in the NG market that storage was not necessarily the issue. The issue was getting the NG from storage to market in a timely manner. The bottleneck was due to the lack of pipeline and compression infrastructure during peak demand (i.e, usually cold winter days and/or hot summer days). Essentially what you're saying is that the pipelines and storage is full and the producers can ramp up production on peak demand?

If so, I can generally see hydraulically how the addition of more producers (and I'm thinking of the TX, OK, LA, AK, MS, and AL areas) has alleviated some of the the storage withdrawal bottlenecks thus shaving off some of the price spikes that we have seen in the past during peak demand.