RE:Irving Oil purchasing Cenovus Oil Just the refinery or the whole business?
Hard to justify a bid or a pass without a look at the books either way. That chair on the board could be helpful.
The refinery and east coast port could be jewels in the rough for a company looking to become a global leader.
The 2020 article about shipping from BC to NB was interesting and it is a way but there has to be a better way. Rail cars are an expensive inconvenient option. A pipeline all the way looks to be out. Perhaps a pipeline to Superior and up the St. Lawerence Seaway would be viable and economically benificial. ENB might be open to a decent contract negotiation given that they look to losing a little business to TMX. It could also be that the Hong Kong connection doesn't want to move oil east.
Taking the whole thing might be like another Husky merge although maybe not as big. It could be a good way to get more downstream production moved and re-enter the retail gas space to compliment the existing cardlock sites. I am not sure if the Irving brand or Husky brand carries more weight but I would think Irving at least in the east. I'm also not sure if they can still operate retail gas. Would non-competition clauses exist or have run out already? They can always divest that part again. It seemed lucrative last time.
Is there a hurry? Are there a lot of competitors that would be interested?
SU and IMO seem saturated. Maybe PKI has big ambitions? It seems out of CNQ's wheelhouse. Even though in an entirely different sector I would never count out the McCains down there.
I hope CVE cautiously checks into it.
GLTA