RE:Suncor is Really CheapMyHoneyPot wrote: After looking at the pioneer deal, paying 60 Billion U.S. about 82 Billion Canadians for Pioneer with about 369 thousand boe in the permian and the rest is gas about 710,000 boe/day in total.
Pioneer Resources
No 10 billion dollar network of Gas Stations.
No 450 thousand boe/day of refinering.
Suncor is now producing more than 800,000 boe/day of way more weighted to oil, with the ability to get brent prices through its refinering and marketing.
I don't like CVE because the merger with Husky was totally opposite cultures. It will take years to work out. Suncor has cultural issues of its own, but they have been told it is really time to get to work and that what it is all about making money for shareholders.
Suncor is totall mispriced and for sure Pioneer did not have 25 years of Teir1 location in the Permian, Not with Total asset they have more reserves, and more upgrader capacity. These reserves are solid and do not have the same risk associated with conventional oil and gas. The product also gets a higher price.
IMHO
Your opinion on the culture difference between husky and cenovus is off base and not valid. I know husky's salary and benefits, HR policy were modeled from a basket of major canadian O/G companies and Cenovus is one of the company in their model. After the Cenovus-Husky friendly merger, 25% of combined staff were cut, mostly older staff. If there were culture clash, Alex Pourbaix wouldn't done the deal. MEG didn't accept husky's takeover offer because there were a culture clash.