if exxon buys devon's share of Access pipeline?then I think we know who will be making an offer for MEG?
either IMO or Exxon canada if there is such an entity.
Q2 is winding down and we will find out who buys Devon's share of access and then you will see some action with MEG.
if sale metrics are good, then MEG will rise becasue they will also get the same good metrics for their sale if a sale is to occur.
if certain buyers buy Devon's share, like connoco or exxon then MEG will also shoot up because of the takeover potential.
IF MEG's assets were mediocre at best I say MEG if fully valued at 6 but we know their assets at christina lake and surmount and other properties are of the highest quality and with expansion approvals, I'm really surprised that we ahve not see a deal as yet.
but I guess a deal will hing on what devon does with their access interest.
in any case oil has bottomed unless we go back into a world recession and with all of the free money being dropped by helicopters, I don't think we will a serious recession for 2-3 years if that.
fundamentals for oil have improved dramatically and should not go back into negative territory. we might get a small pull back into mid 40's if supply demand numbers turn negative again but right now, it doesn't look likely.
also now the world knows knows about shale's dirty little secret, it won't won't be a threat to supply increases for 10-20 more increase in WTI.
MEG right now is a good entry price but that is not to say it won't fall further but INMO we are getting close to bottom, maybe 5-5.50 if oil falls back to low 40's, very hard to rpedict.
this week's oil inventories will be a huge draw for oilo, gasoline and distillates which will help oil prices go over 50 once and for all.
GLTA