RE:RE:RE:RE:Maybe SU Should Buy NICKEL, COBALT & LITHIUM Mines
ztransforms173 wrote:
- yes, I agree with you that Irving Oil is an EXCELLENT MATCH for Suncor Energy
- unfortunately, the TIMING is all WRONG
- SU needs to keep their CAPITAL to buyout the PRIORITY Fort Hills ownership interest held by TotalEnergies
- Suncor is already a MAJOR MINING OPERATOR in that it mines BITUMEN so owning and operating nickel, cobalt and lithium mines is NOT THAT MUCH OF A STRETCH
- they could SEED money over a MULTI-YEAR period:
* $ 200 million here, $ 300 million there while they ADVANCE the PERMITTING and DEVELOPMENT PROCESS and push the HEAVY CAPEX in the mines over the NEXT DECADE
- Cenovus Energy and Imperial Oil are in MUCH BETTER POSITIONS to acquire Irving Oil although I am NOT SURE that either will BID FOR the largest crude oil refinery in Canada
- yes, the CP conglomerate was trading at a DISCOUT to their NET ASSET VALUE but that was due to INEFFICIENT MARKETS and LACK OF TRANSPARENCY
- the way to TONE DOWN the discount is to AGGRESSIVELY BUY BACK stocks during the LEAN CAPEX YEARS {while the cashflows are flooding in} and implement SUPERIOR GOVERNANCE and TRANSPARENCY
- capital markets are DESTRUCTIVE when the PREDATORY HERD runs AMOK
- look at what the CLOWNS did to Pan Canadian Energy {part of the CP conglomerate} and Alberta Energy
- Canada would have been MUCH BETTER OFF if Cenovus Energy and OVINTIV (Encana) were NEVER SEPARATED
z173
My opinion is that CEO Randy
Eresman took up banker's advice to split up Encana into 2 companies, a gas and oil unit, so some major from the US would buy out the NG portion of Encana. The idea of sum of the part is greater than the whole was in vogue back then. Eresman even resigned just to make the encana look more attractive to US majors. Guess no one took the bait. Before Eresman, Gwyn Morgan was named CEO (of Encana) of the year in 2005 for making Encanaa gassy but instead NG prices plummeted.