TSX:CUS.DB.D - Post by User
Post by
ocean112on Feb 28, 2015 1:22pm
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Post# 23475831
Another Bullish Article - NATO
Another Bullish Article - NATO again - when storage runs out - FLEXIBILITY will be the name of the game independent of WTI/WCS spread - something pipelines can't offer since they ship thier product to the oil hub in Cushing, OK - which is nearing capacity. If i'm Cenovus - and I have no capacity at Cushing to store my product - having multiple markets to sell it offered by NATO (for example) is a huge advantage. Having access to east, west, and gulf coasts (that NATO offers on two rail lines) as we approach full storage capacity in North America is definately bullish for NATO. Producers can sell directly to refiners without storage. Producers will be able to get the best price independent of the WTI/WCS spread especially if they are forced to dump thier product as this article is suggesting (which will drive WTI prices lower).
https://www.cnbc.com/id/102464261?__source=yahoo%7Cfinance%7Cheadline%7Cheadline%7Cstory&par=yahoo&doc=102464261#.