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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Umunhum who wrote (34084)	8/3/2004 4:16:20 PM
From: Tommaso	Read Replies (1) \| Respond to of 206382

>>>This is not going to be the solution for peak oil.<<< Maybe not, but it may be the solution for making money. My impression is that the tar sands projects are being carefully monitored for environmental polution. They seem to win awards for managing it. Any leftover tar is exactly what most roads are made out of already. Cost of production is dropping towards $12 a barrel of syncrude. That's not like lifting it out of Saudi Arabia for $1.50 or whatever, but when oil is above $40 a barrel it's a big profit margin. Furthermore, for people in North America the poltical risk seems minimal. Albertans may want to secede but I do not think they will. I do not know the exact figures for energy consumption versus production, but the fact that Alberta was willing to shut in a good deal of natural gas to help make the syncrude projects work argues that it is worth while in terms of energy consumption.

To: Umunhum who wrote (34084)	8/3/2004 7:13:43 PM
From: Taikun	Respond to of 206382

Re: COSWF.PK, be careful Syncrude, the consortium owner 35.49%% by COSWF, saw Stage 3 costs jump by $2.1bn this year. The stock sold off in MarchApril 04. cos-trust.com Then, they issued a bunch of debt. biz.yahoo.com Then they issued more units. biz.yahoo.com Then they issued a bunch more debt. biz.yahoo.com This is not the only game in the tarsands. While it pays a nice dividend, and I own some, there are better run companies. SU decided to bite the bullet and go into full production as quickly as possible after their cost overruns began showing up. (They will be the first producer in the tarsands to pay the full Alberta royalty tax at a higher rate, the others are still investing and royalties are at a lower rate). The next two are not pure plays, but CNQ has much tighter control of finances in the tarsands according to a report by the National Post in June (email me and I'll scan it in for you). There is also HSE.TO, though not quite as attractive as it seems to be controlled by Hong Kong magnate Li Ka-Sing and his family and friends, so there is less. transparency and overall the fund managers seem to like it less. I own all of these but SU and CNQ are my largest holdings. On COSWF, you might wait to see how much the final tally is. Like other oil stocks, it has had a fine runup, but not as good as others. Personally, I have not yet decided if I trust their management. I chose the 6mo chart because this is the time frame when oil price rises have been strongest. finance.yahoo.com I am fully aware that some other people on this thread have a much more bullish view on COSWF than I.