dhalltoyo
Veteran Expediter
In the October issue of 50plus.com, Gordon Pape, one of Canada's leading financial reporters, has written an important article entitled, The Quiet Superpower. In this article, Mr. Pape outlines the significant inpact that Canada''s oil industry will have on Canadians in the coming years. For those of you who have not red the piece, it is must reading. Here are some of the key themes and the impact of the changes that are taking place on the trucking industry.
The Turning Point
Mr. Pape highlights that Canada was a second tier oil producer until the price of crude oil hit US$40 a barrel and stayed there. At that point the the production of crude oil from the Alberta Oil Sands became profitable enough to warrant the investment of hundreds of billions of dollars in development.
Canada ranks Number 2 and is on its way to becoming Number 1
Canada apparently possesses the world's second-largest oil reserves with only Saudi Arabia ahead of it. According to one expert, Canada controls 56% of the world's investable oil resources. Once the Arctic opens up to serious exploration, which with global warming is becoming easier by the day, we may become number one. This certainly explains the tremendous interest in the region in recent months.
As Mr. Pope points out, a number of countries discourage foreign investment. As the price of oil rises and the process of extracting oil from the tar sands becomes more efficient, more multi-billion dollar projects are going to emerge. Canada's oil production could increase from one million barrels a day to four million barrels a day by 2020.
Just another reason to love our brothers to the North.
The Turning Point
Mr. Pape highlights that Canada was a second tier oil producer until the price of crude oil hit US$40 a barrel and stayed there. At that point the the production of crude oil from the Alberta Oil Sands became profitable enough to warrant the investment of hundreds of billions of dollars in development.
Canada ranks Number 2 and is on its way to becoming Number 1
Canada apparently possesses the world's second-largest oil reserves with only Saudi Arabia ahead of it. According to one expert, Canada controls 56% of the world's investable oil resources. Once the Arctic opens up to serious exploration, which with global warming is becoming easier by the day, we may become number one. This certainly explains the tremendous interest in the region in recent months.
As Mr. Pope points out, a number of countries discourage foreign investment. As the price of oil rises and the process of extracting oil from the tar sands becomes more efficient, more multi-billion dollar projects are going to emerge. Canada's oil production could increase from one million barrels a day to four million barrels a day by 2020.
Just another reason to love our brothers to the North.
