RE:RE:SAGD projectThe world probably won't be able to ween itself off of oil for the foreseeable future. When it does start to, peak demand just might be met with peak supply and the two downward curves may complimant each other. If peak supply happens before peak demand there will be a consistantly high price for oil and probably natural gas too as NG is the formula that will take the place of the oil during weening and may become a green alternative with RNG and hydrogen production combined with carbon capture. CJ should be able to make the SAGD assets work for them for at least their payback and probably their profitable lifetime.
I agree that the timing in implementing the SAGD processes may not be perfect but with the assets already purchased I fear that the die is already cast as they do not make any money just sitting there.
Anyway the share price seems to bounce back nicely at the slightest hint of a commodity rise and with the future rise in production along with high WCS prices perhaps all will be paid. Cap-ex, debt, the dividend and with it, us share holders too.
GLTA
MikeNewTrader11 wrote: Totally Agree. I am more worried about stranded assets as we are a small fish in a big pond with a world that wants to ween itself off of Oil almost at any cost!