The recent NYT editorial calling on Pres. Obama to "say no" to the Keystone pipeline (TRP) is tantamount to a declaration of war of Canada's oil sands, Financial Post's Terence Corcoran asserts. "Tar sands oil should be among the first fossil fuels we decide to leave alone," the Times says. "This is war somebody is going to lose, and [the Times] has decided on Canada," Corcoran answers. [View news story]
The NYT have some blind ideological nut bars writing for them and this article is by one of them. If they were really concerned about green house emissions, they would be writing about all the coal burning plants instead - they produce 100 times more green house emissions than the oil sands ever will.
I would also take a look at some of the Canadian insurance companies as well. Great west life, Sun Life and Manulife come to Mind. They are sensitive to interest rates and the direction of the markets though and have had a good run from their lows but the dividend yields are reasonable and fairly safe. I own great west like for the yield and I also consider it to be less sensitive to stock market moves and Interest rates. I also like their recent acquisition of Irish Life. JMO
Mongolia Revokes Licenses On Rio Tinto Mine [View article]
Ok -thanks for the detailed reply. Info coming out of Mongolia can be conflicting and confusing as you state and from many different sources some questionable. A lot of the comments on the different forms will provide links to these different sources. The link I provided came from a SA comment.
Troika officials are returning to Greece today to assess the country's progress on carrying out its bailout commitments, such as privatization, tax reform, bank recapitalization and cutting the public sector. The visit comes after Russell Investments said it would take the unprecedented step of downgrading Greece to an emerging from a developed market. The change is due to take effect in June. (PR) [View news story]
Italy is next! They keep voting for clowns like Grillo and Berlusconi and the markets are quickly tiring of their games.
As leaked earlier the State Department's assessment (full report) of TransCanada's (TRP) Keystone pipeline project finds little to criticize as far as environmental impact, calling it "very unlikely" any releases would affect groundwater quality. The report also doesn't see much climate impact nor "significant adverse" impact on Canada's environment. There's now a 45-day comment period and then things move to the White House. [View news story]
Good news for America, North American energy independence, jobs and the economy! I am sure that the "greentards" will make a lot of noise. They may even fly to Washington for another protest! They will never get it because blind ideology defies any and all common sense! Obama has no reason not to approve this pipeline!
Chesapeake Asset Sale Provides Ugly Data Point For SandRidge Shareholders [View article]
Oklahoma is supposed to hold the best part of this play. This does not say much for the value of the Kansas acreage. ECA in their report stated that they got promising results on the Oklahoma side and results below expectations on the Kansas side and so were focusing on Oklahoma. Not all acreage is created equal. CHK may have a lot of acres that are not that good while others in the play may hold better land positions. Also others may have a better understanding of the geology.
A major Michigan landowner sues Chesapeake Energy (CHK) and Encana (ECA), alleging the two energy companies colluded to rig bids for oil and gas rights in 2010. In earlier statements, CHK and ECA have acknowledged holding talks about forming a joint venture, but said no agreement was reached. Emails between Aubrey McClendon and ECA execs could prove damning. [View news story]
ECA for the most part is above board while CHK has a history when it comes to how they treat land owners and the legal problems. I suspected that ECA may have got sucked into CHK's world for a little while.
Entree Gold (EGI -9.2%) shares slump after Mongolia’s mining ministry reportedly cancels two licenses on land that forms part of the Oyu Tolgoi deposit. EGI says it has not received formal notification from an government agency. Shares of Turquoise Hill Resources (TRQ -1.8%), which is developing Oyu Tolgoi, also drop. [View news story]
ETG is just a peon in the struggle between Rio Tinto and Mongolia. You are dealing with X- commie politicians here who figure they can shake down, bully and badger companies into continually giving them more. Khan resources and South Gobi are to other examples. It is much easier for them to do this with the small companies than it is with the likes of Rio Tinto (as they are finding out). TRQ is 51% owned by Rio Tinto and Rio Tinto and Foreign investors have sunk 6 billion into this project. The impact of Mongolia's actions have been very negative on Foreign investment and cash flow into the country and I would suspect that this will drive them to common sense here. As they say, the biggest voice is almost always the money!
Bakken Update: Mississippi Lime Well Design Improvement Is Increasing Estimated Recoveries, Part 3 [View article]
This is taken from Encana's report issued earlier in February.
"Mississippian Lime: On the Oklahoma side of Encana's Mississippian acreage, the company has drilled seven gross wells and completed six. Initial results on the Oklahoma wells are promising. In the Kansas acreage, the well performance was lower than expected. "
When it comes to technology and well design Encana is a leader, they know their stuff. As such, if most of CHK's acerage is on the Kansas side it would explain the low price. Encana has decided to focus its drilling on the Oklahoma side and I suspect that it is more than just getting the geology and drilling techniques figured out because if that was all then CHK would have worked on figuring it out rather than selling for a 2 billion discount. CHK seems to have jumped in big time thinking they will buy lots of acres and then figure it out later. Even though it did not work out that way, I would expect that they got more than they paid. JMO
Buy The Ski-Jump Market, Eye The Exits [View article]
I hear you but at the end of the day the common interest for the GOM and Rio Tinto is money and Mongolia would have a very difficult time in that respect if they screwed Rio Tinto. Also - my understanding is that the Technology to mine the underground part of the deposit is also very complex (block cave mining ) and it is the large foreign miners that are capable in that respect as well. So if not mined by a capable miner, then the economics and profitability would change significantly - if they could mine it at all.
Buy The Ski-Jump Market, Eye The Exits [View article]
With TRQ I view the current situation as very similar to when the government passed the windfall profits tax except that TRQ with partner Rio Tinto and a mine almost ready to produce are in a stronger position to prevail. When the GOM brought in the windfall profits tax, TRQ (Ivanhoe mines) at the time sunk to $2.00 or so. Business started to pull out of Mongolia, cash inflows started to dry up, the GOM scrapped the tax, Freidland brought Rio Tinto in as a partner and the stock ran to almost $30.00. The current situation is similar with the government looking a implementing bad legislation for political reasons and the cash inflow drying up because of it. I would expect that after the June elections, the political reasons will be less of a priority and the GOM will moderate its tone as the pressures on them to get investment and cash flow moving back into Mongolia have to be huge. Yes there is risk as the GOM could just keep shooting Mongolia in the foot but eventually they have to figure out that all that does is just hurt a lot!!! JMO
Market recap: The S&P 500 broke below 1,500 and the Dow declined more than 200 points, shortly after hitting a new multi-year high, as the prospect of a hung parliament in Italy renewed scary scenarios of widening sovereign debt yields and another flare-up of the eurozone debt drama. The uncertainty also sank Treasury yields to one-month lows, and pushed gold and industrial commodities sharply higher. [View news story]
The negative sentiment out of Europe plus the inability of the Democrats and Republicans to make a deal and avoid automatic tax increases and spending cuts will weigh on the markets. Politicians can solve these issues but do they have the balls to throw their ideology aside and do so???? It will be a mess if they do not!!!! Italy has always been politically flaky - they had that clown Silvio Berlasconi for how long!!!!
The recent NYT editorial calling on Pres. Obama to "say no" to the Keystone pipeline (TRP) is tantamount to a declaration of war of Canada's oil sands, Financial Post's Terence Corcoran asserts. "Tar sands oil should be among the first fossil fuels we decide to leave alone," the Times says. "This is war somebody is going to lose, and [the Times] has decided on Canada," Corcoran answers. [View news story]
In Search Of Canadian Dividends [View article]
Mongolia Revokes Licenses On Rio Tinto Mine [View article]
Mongolia Revokes Licenses On Rio Tinto Mine [View article]
Troika officials are returning to Greece today to assess the country's progress on carrying out its bailout commitments, such as privatization, tax reform, bank recapitalization and cutting the public sector. The visit comes after Russell Investments said it would take the unprecedented step of downgrading Greece to an emerging from a developed market. The change is due to take effect in June. (PR) [View news story]
As leaked earlier the State Department's assessment (full report) of TransCanada's (TRP) Keystone pipeline project finds little to criticize as far as environmental impact, calling it "very unlikely" any releases would affect groundwater quality. The report also doesn't see much climate impact nor "significant adverse" impact on Canada's environment. There's now a 45-day comment period and then things move to the White House. [View news story]
Mongolia Revokes Licenses On Rio Tinto Mine [View article]
For a more up to date report on the situation between Rio Tinto and the GOM:
http://bit.ly/Xs6Rkh
Chesapeake Asset Sale Provides Ugly Data Point For SandRidge Shareholders [View article]
A major Michigan landowner sues Chesapeake Energy (CHK) and Encana (ECA), alleging the two energy companies colluded to rig bids for oil and gas rights in 2010. In earlier statements, CHK and ECA have acknowledged holding talks about forming a joint venture, but said no agreement was reached. Emails between Aubrey McClendon and ECA execs could prove damning. [View news story]
Entree Gold (EGI -9.2%) shares slump after Mongolia’s mining ministry reportedly cancels two licenses on land that forms part of the Oyu Tolgoi deposit. EGI says it has not received formal notification from an government agency. Shares of Turquoise Hill Resources (TRQ -1.8%), which is developing Oyu Tolgoi, also drop. [View news story]
Bakken Update: Mississippi Lime Well Design Improvement Is Increasing Estimated Recoveries, Part 3 [View article]
"Mississippian Lime: On the Oklahoma side of Encana's Mississippian acreage, the company has drilled seven gross wells and completed six. Initial results on the Oklahoma wells are promising. In the Kansas acreage, the well performance was lower than expected. "
When it comes to technology and well design Encana is a leader, they know their stuff. As such, if most of CHK's acerage is on the Kansas side it would explain the low price. Encana has decided to focus its drilling on the Oklahoma side and I suspect that it is more than just getting the geology and drilling techniques figured out because if that was all then CHK would have worked on figuring it out rather than selling for a 2 billion discount. CHK seems to have jumped in big time thinking they will buy lots of acres and then figure it out later. Even though it did not work out that way, I would expect that they got more than they paid. JMO
Buy The Ski-Jump Market, Eye The Exits [View article]
Buy The Ski-Jump Market, Eye The Exits [View article]
Buy The Ski-Jump Market, Eye The Exits [View article]
Market recap: The S&P 500 broke below 1,500 and the Dow declined more than 200 points, shortly after hitting a new multi-year high, as the prospect of a hung parliament in Italy renewed scary scenarios of widening sovereign debt yields and another flare-up of the eurozone debt drama. The uncertainty also sank Treasury yields to one-month lows, and pushed gold and industrial commodities sharply higher. [View news story]