RE:RE:RE:RE:RE:$61.60 Oil / $4.70 EDM spread / 1.90 AECO / $1.33 exch. Great post Joseph.
"I don’t see BNE trading in the $6s for much longer."
The fact that it's still here in the low 6's, with WTI kocking at $63 is truly a marvel in market discounting.
I thought we'd of left the 6's back in January with oil breaking back above 50, but man oh man.... I had no idea how ludicrous this could get.
It will be interesting to see what kind of moves Kenny will make once he's in. I agree that thing are looking favorable on TMX for a potential shovel in the ground even this summer. After the 90 days is up in may... that's about the end of policy review. We'll see if JT and his cadre have any further stall tricks up their sleeves pending the review. But this item is front and centre now, and the past plays of quietly scuttling and stifling with limited public awareness is over.
If they kick this can after the review period, they wil own that to their detriment. We'll see if they go ful scorched earth pending how JWR SNC matter unfolds.
The market can keep handing us wooden nickles as long as they like, but at the end of the day. oil is 63 dollars. And BNE is topping $675,000 gross each day.
With the improvement in EDM and WTI this week, Free cash flow is now hitting 75mm.
....and $6.31. LOL.
I tend to agree with you Joseph... i can't see how much longer this can continue in the 6's with this oil macro backdrop. Unless oil makes a major move back to mid 50's soon, i think by q1 report we are wel into the 7's. The report might be the move to push 8.