Also in this playlist...
This transcript is automatically generated
-- the chaos and Egypt continues is the allure of Canada's oil supply becoming more appealing.
And you -- -- associate editor joins us right now with the story here before we we we all know about the Edmonton Oilers hockey team -- -- don't realize that in their names so for a reason.
Quite a bit of loyalty and a BA in Alberta province -- -- it is is the second largest losers in the world behind Saudi Arabia so as an enormous reserves -- could last 15200 years.
-- -- -- -- -- -- -- -- -- And asking characterize if you will the renewed interest on the Canadian oilsands right now given.
The turmoil and unrest -- -- each of spreading possibly to the rest of the region a big.
Investors are interested in oil reserves in a safe part of the world and in Canada is a pretty safe part of the world and there -- -- many companies that specialize in the oil -- that are.
-- and not have gone on American investors.
Extracting oil from the -- though is a very capital intensive operation isn't it very costly it's not cheap.
It's costly capital tentative energy intensive -- -- intensive environmentalists hate the oil -- but they're not gonna be reality of the business.
The cost about thirty to forty dollars a barrel to extract in a barrel of oil from the oilsands which is much higher than than conventional sources.
So let's go through we popped up the chart or budget charts rather of all of these companies that do business or have interest in a Canadian oilsands -- -- Talk about some of those companies with an investment place might be your best -- The nation well mean the best -- on -- which is the biggest it gets about half of its production from the oilsands is aiming to grow its production by about almost double the next step five to ten years so.
That's so good good play.
Canadian oil sands trust is a pure play on it imperial oil which is controlled by Exxon.
Is another way to do it and also Canadian natural resource which is a well run company with -- exposure the oil -- A lot of these stocks have believe you point out your story -- -- high multiples meaning they're expensive relative to some of their peers so given where we are what's going nine.
On the geopolitical scene why should an investor -- And that -- basically when when you buy oil company you'd like to have long lived reserves in these companies have long -- reserves maybe fifty to a hundred years which compares with ten to fifteen years even the major.
I'd giant oil companies so.
You're basically paying more for the company which -- getting you very long life reserves and and that's very valuable when you basically think -- -- -- us what about the rule book the larger integrated multinational companies the -- -- the world marathons even some Chinese place but basically most majors have.
Some exposure many loyal fans Exxon controls imperial hotels involved -- that shows involved there could be some takeover activity of companies like.
-- may be -- -- but the problem is that the Canadians don't.
Like to see -- increase foreign ownership of some of the key reserves.
And real quickly environmentalists you don't think that's going to be an issue because they're saying look that it turned Alberta and you'll waste land.
Let me they say it's already happened but I think -- strong political and business supporting candidate for oil sands drilling and -- production though I doubt that it's gonna be -- yet project Phoenix stop the expansion very interesting story -- thanks a lot has an answer.
Remember when Wayne Gretzky came to LA from the Edmonton Oilers he brought that Japanese course I remember that was the beginning of my hockey from the -- It -- have a huge degree --
Filter by section