PositiveAs I tend to focus on the negative, I will focus on a positive, I think lots of analysts are missing something positive that has become noticable over the last 3 years in western canada industry, I it obivous lots of unexplored and undrilled good drilling locations in many different "plays" in western canada.
Basically with advance in horizontal drilling, any mature oil field is going to have undrilled locations on fringes. Companies are focusing on Montny in northern alberta but many other zones that are good with advancement in technology. Doig and doe creek would be good, companies are just limited by capital and risk return on capital invested.
Way more good drilling locations than capital.
I feel way more confident now in 2023 than in 2018 in Alberta's conventiall oil and gas production outlook and just the drilling inventory Western Canada has.
But I am also honest person, here are some things analysts are not mentioning:
Single drilling rigs are basically worthless, I don't know of one operator drilling a veritical well other than for evaluation purposes or land retaintion issues. I would becareful owning any drilling company unless you really understand their drilling fleet. I am not saying to buy their stock, as I think I can get things way cheaper after a correction, but a company that really has a good drilling fleet for the future is Horizon drilling Aka western energy services for stock company name. Every rig they market has walking and pad drilling cabaility. But drilling utilzation have to get much stronger in western canada before I invest, but if they do, horizon is intruiging company to get extra work if drilling picks up. They have the rigs companies want for pad 2 mile wells. And scaleability up as they have so many unsed rigs yet. Only sharing this to save other's dd time. I have looked at every single fleet in canada. Other strong fleets with strong rigs, but none with turn around potential of Horizon drilling..I mean its stoneham drilling basically and strong iron.