The Canadian Association of Oilwell Drilling Contractors recently released a new drilling forecast for the next 3 quarters of 2011 raising its drilling activity expectation in western Canada by 24% with 60% of wells being directed at oil targets and the with the rest focusing on liquids rich natural gas targets.
This should not come as a surprise as oil is basking in triple digit price territory while natural gas prices are languishing at historical lows.?? In fact, the Canadian Association of Petroleum Producers CAPP expects Canada’s overall crude production to reach 3.4 million barrels of oil per day by 2015 up from 2.9 million barrels expected in 2011 and the output could reach 4.2 million bopd by 2020.
This boom in the oil patch is also evident in the $842 million spent to secure drilling rights in an Alberta land sale last week. What does this mean? It means more quality jobs will be created and more opportunities for investors to profit from oil producers, drillers and service providers.
That is unless Mr. Market has other plans in mind due to a sputtering economic recovery in the US
Economic roundup:
Fed Balance Sheet Hits Fresh Record Size
China to Become Global Banking King by 2023
Home Prices Have Fallen More Than in Great Depression
Weekly blog roundup:
Don’t get fooled by high pressure marketing tactics. @Invest it Wisely
Dividend Investing eBook ‘ How To build a Never Ending Cash Distributor @The Dividend Guy Blog
Dividend Investing With a 10/10 Rule @ The Passive Income Earner.
How Insurance Companies And Appraisers Scam Their Customers @Financial Samurai
Mildly Extreme Couponing @Young & Thrifty
Auto Insurance Shopping @Buck Inspire
Wrong move Mr. Carney @My Own Advisor
Why I Never Trust Economists or Weathermen @ Investor Junkie.
What Can You Learn from Kids? @KrantCents.
Have a great weekend!
