The Oil Rally Ain't Over Yet Baby

Yes, yes, I know folks will be poo pooing any oil and gas investments for the next 50 years....but it ain't over yet!

It is a myth that electric vehicles DON'T run on oil and gas. They still use oil and gas BECAUSE Canada's electricity grid is still being fueled by OIL AND GAS to the extent of 8.7% of total Ontario energy!

Using intel from 2014, Ontario was feeding it's energy grid with 8.7% provided by oil and gas! Don't believe me? Check out this factual report Ontario Energy Board:
https://www.oeb.ca/oeb/_Documents/Regulatory/2014_Supply_Mix_Data.pdf


So many many folks simply refuse to comprehend this concept. They believe as soon as they spin off in their brand new Tesla, that all their fuel is simply floating down from windfarms and solar panels...

Now, for the record, I am not against buying electric vehicles. However, I want peeps to realize that you are simply transitioning your "power of choice" over to the managers of our energy grid.
And using the report I wrote about above, you can clearly see that Ontario's energy grid is provided by in large part nuclear, then comes water power, and then oil and gas, and then "alternative"sources, and finally comes coal.

If we really want to go whole hog on "clean" energies, other than nuclear ( btw.... I'm not entirely convinced yet that it is fair to leave an inheritance of high maintenance nuclear waste to my children's children) perhaps we need to be focusing less on the "end users" like Teslas or Toyota Prius's...

Perhaps we need to refocus our hard working clever Canadian heads and hands to rejigg this Ontario's energy mix, until the Alternative Power Sources become the Majority of the energy mix instead of  a mere 7.1% . Do you agree?

Peace,

Carla.



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I just Don't Get It

There is a finite amount of oil in our earth's crust. Yes, folks may quibble about the actual volume....but there is a good consensus  that there is a REAL and DEFINITE measurable quantity of oil worldwide, which will eventually run out.

So, what I really don't get.....is even with all the haggling of OPEC and other oil producers, why hasn't the price of oil stocks bounced back?
Suncor,  (TSX:SU)    is still stuck at under $36 per common share as of today.....at $35.19 cdn.

Perhaps the stock market has become naively obsessed  with electric vehicles, without realizing that a significant chunk of our electrical grid is still powered by the oil and gas industry.

I've done a post or two about that before. Electric powered "anythings" are not necessarily green. It's all about what is used to create the electricity we will all be using.

As of 2014, 8.7% of Ontario's electrical grid is powered by the oil and gas industry. Yes, tis true.


For a break down of Ontario's Energy Mix....take a gander at this document:
http://www.ontarioenergyboard.ca/oeb/_Documents/Regulatory/2014_Supply_Mix_Data.pdf

Do you have some profound views about the lagging state of oil and gas stocks?

Eager for your feedback,
Thinkfully yours,
Carla.



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Now's the Time to Buy Canadian Oil Stocks

Time to do some bargain shopping on the TSX if you like  oil stocks. You know that they aren't going to stay at these battered down prices for long. If "peak oil" is real and there is a measurable and decreasing worldwide stock pile of oil available in our globe, then most certainly, oil will demand a premium price as the stock pile dwindles down over the next decades.

Yes, I'm not talking about quick money. I'm talking about buying low now and holding them for the long term....like at least 5-10 years.

What are some names? Well how about Suncor? It's an integrated oil and gas company that has a corner, not only on the recovery of oil from the ground, but also on refining and it's retail operations through Petro Canada stations. It's priced as of 12/12/2014 at only $32.07 per share.
Back in November 21 2014 Suncor on the TSX was trading at a healthy 40$ per share of common stock.

And that is just one oil company...one of the better and more solid oil companies in Canada. Warren Buffet chose Suncor for significant chunks of Berkshire's cash over the past couple years. If it's good enough for Warren.....

Peace and prosperity.





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