Crack spreads and AECO nat. gas I am a SU shareholder but not an expert in the energy field.
But as a long term shareholder, i have been keeping a spreadsheet on the 3-2-1
and 2-1-1 crack spreads since 2007.
While they have come down from historical high, the spreads are still very verry high.
As of this morning, the 2-1-1 stands at $33.60 us.
I did an average of my data and from 2007 to 2021, the average spread is $18.50us
Samething with WTI, while down from it's high, in CDN term it is still above $100($102.80 as i am writting).
Not being an expert, i wonder how much of an impact the AECO nat gas huge drop will have
on the oil SU oil sand extraction cost.It may not be major but it will surely be on the + side.
AECO as come down to it's historical average of less then $3
AECO was in the $3.50 to $4 in January 2023.This morning it's at $2.50.
AECO hit $6.50 for a very short period in June 2022 and $5.10 in nov. 2022
Not sure that these favorable spread are being taken in acconts in SU valuation.
Very happy to see the nomination of Rick Kruger.From what i have read on him, he is a solid and
knowledgeable person.I think we will see a reduction of the deep discount in SU selling price.