Oil Stocks As A Long term Funding
The demand for world oil is rising whereas world reserves are decreasing. This is a known fact. price of wti oil price of wti oil The present price of oil can definitely affirm this statement. Consensus also agrees that we will never see $25.00 oil once more. The logical conclusion to our above assertion is oil stocks ought to be a very good long run investment. However, the placement of the oil corporations reserves can affect their bottom line and valuation. A few of the biggest reserves on the planet are present in Venezuela, Saudi Arabia, Russia and Canada. Political unrest in Venezuela, unstable and unpredictable government in Russia and Osama Bin Laden focusing on Saudi Arabia go away Canada, specifically the Alberta Oil Sands, as the most important, most dependable oil reserves on the planet. Companies like Exxon Mobil Corp. Royal Dutch/Shell Group and Canadian Pure Resources Ltd. are planning to spend billions during the following 10 years to develop Alberta’s unusual oil deposits as demand for crude rises and output from present reserves decline. Coal Oil sands output in Alberta could double to 2 million barrels a day by 2013, based on a presentation by Enbridge Inc. earlier this month. Oil sands are deposits of bitumen – heavy oil that have to be treated to convert it into crude oil price of wti oil for use in refineries to provide gasoline and diesel fuels. The U.S. Power Division revised its world oil resource estimates to include the oil sands 174 billion barrels of proven reserves that may be recovered using current know-how. With demand for oil and different commodities from China and India growing as a result of their growing economies, sturdy trading relationships are procuring with Canada – a country with quite a few resources, political stability and neutral military views. Corporations with reserves within the Alberta oil sands appear like an incredible investment for the next decade. There are lots of corporations with reserves within the Oil Sands listed below are some with strong publicity. Suncor Vitality Inc. SU.tse , Western Oil Sands Inc. WTO.tse and the Canadian Oil Sands Trust COS/UN.tse About the Author
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