The US imports most of its oil from Canada already, not from the Arabs as we most believe. So if there were to be any supply disruptions from Africa or the Middle East can anyone picture how high this could go? Can anyone imagine if US co's start buying out canroys.(I wonder why none have ever been bought.) I mean, in a worst case scenario, I could see the canroys like PGH making acquisitions hand over fist if lets say..........hmmmm.....we found out Opec lied about their true reserves in a few years down the road. Or if a war broke out with Israel likely in the middle, and terrorists purposely disrupted major pipelines and oil ships for months on end. Sure these are not why we buy PGH but there is a huge "free" upside here. There is also an oil sands canadian oil trust I recently bought that pays qtly that is sitting on more reserves than likely all the other canroys put together. Problem is it trades on the OTC but you can buy it directly online. Check out their website. Symbol is COSWF. Only pays an 8% yield but if you check out their site, you would likely be interested. Dont worry, boys, America aint running out of oil any time soon just from what is in the Canadian oil sands. I still cant figure out why we are not gradually year by year cutting ties withthe saudi's. Its gotta be cheaper for the big oil boys to export from Canada than from the middle east. Thats why we little guys will never know the truth about the oil situation. None of it makes any sense. If only this damn new Canadian tax law wasnt looming, we;d have this puppy up to where the yield was no more than 10-12%. Damn.
Another wild card, if the Canadian govt reverses their stance, all the canroys will explode. But if they dont, the bad news is already priced in. I personally believe that there is a mild chance of an oil price crash as futures speculators seem to have more control over prices than the arabs at times. Thats the only thing that could hurt PGH in my opinion.
Incorrect. Canada is the single largest supplier, but not the source of most of the oil. Just about the only thing the US has done has been to highly diversify it's imports. We also get large amounts from Mexico, Venezuela, Nigeria and plenty from several mideast countries.