Weekend Edition: Multibillion-Dollar Commitments to Oilsands Projects

At this week’s TD securities energy conference, a strong commitment to multibillion dollar oilsands projects was expressed by operators. That is a great sign of confidence in Canada’s energy future given current pipeline uncertainty, wide price differentials and lower crude prices.

This also means the oilsands operators are banking on increased pipeline capacity to solve the differentials problem with WTI. Most of their expansion projects are over a long period of time with plans to double production over the next 5 years and double again in another 5 years.

There’s a good reason thanks to a visible pipeline of growing capacity by 2014: projects such as the Keystone XL through the U.S. (830,000 bpd), the Northern Gateway to the West Coast (525,000 bpd) and the reversal of Line 9 by Enbridge (250,000 bpd) the Flanagan (585,000 bpd) and Seaway pipelines (850,000 bpd) will be crucial to offset the anticipated rise in production.

Improved capacity will improve pricing injecting billions of dollars more in the Canadian economy. Furthermore, the heavy oil producers (like Palliser Oil and Gas and Rock Energy) that suffer the most due to their WCS pricing will be rewarded again as improving netbacks due to shrinking differentials along with their low cost, low risk operations get in the spotlight.

All that to say, let’s get those pipelines building for the greater good of all Canadians!

Kidney Stone Episode

I have been cut off from the world for the past couple of days lying in an emergency corridor I just hope you never get to experience the??excruciating??pain of a kidney stonea female doctor confirmed the pain is far worse than that felt when giving birth.

Turns out I have a 6mm stone causing all of this pain and its still in there. The worse part is the doctor wants to wait a couple of weeks in case it gets naturally expelled(ouch!) by the body before considering any form of operation.

So am sent home armed with heavy artillery: opium based drugs to fight the pain!

Besides drinking a lot of water, any tips or tricks to share’Have you ever been through such an episode?

News Roundup

New Gulf pipeline to bypass ‘world’s most important oil chokepoint

Humble guar beans stump mighty oil companies

IEA forecasts rebound in oil demand

Rapid growth of worldwide oil supply might outpace consumption: report

Rise of renewables

Carnival Roundup

Carnival of Financial Planning Edition #245 | Family Money Values

Festival of Frugality | Ive Paid For This Twice Already

Have a Great Weekend!