Trudeau , in response to German Chancellor Scholz who was begging for LNG , said there is no market for LNG.
Even dumber than that is the media writes it up , no questions asked of Trudeau about how he could possibly say to a begging customer there is no market .
My slant it was to justify wind mills on Newfoundland and reward a donor with the contract. I cant see the Hydrogen being viable, but doesnt mean money wont be spent. We have a number of billion$ battery plants being build, estimates and grants easily double the normal costs, however with cost overruns good chance they will be exceeded...
There is no easy way to get NGas to Nova Scotia(pipeline though Quebec?), their production dried up and most comes up from Maine(pipelines already constrained) far as I know. However a major push putting LNG onto the west coast could free up more US LNG for Europe. Westcoast LNG is slowly progressing, but most of the real company proposals over 10+ years were slow walked by Canadian Governments and now most will never happen... The days of building the first Edmonton to Vancouver pipeline start to flowing oil in 18 months are way way behind us, closer to 18 years now from requests to start to oil flow(current TMP over build likely 15 years when in service)//
An acquaintance when he saw your article had this comment.(edited slightly)
The damnation of ARX over hedging is facile:
1. Most hedges he is referring to were put on by Seven Generations due to excessive debt, which is why they (had?) to sell out to someone, to ARX's everlasting advantage
2. In order to get the financing for #1, banks insisted on more hedging, which is 2 years after acquisition, for the most part (ARX has always had a modest hedging program to ensure capex plus dividend security), washing out.
And, 'cause without the hedging, ARX wouldn't have the massive (>100,000 b/d C5+) incremental condensate production that drives the current 100% price premium they earn over unhedged Birchcliff
Since 2019 ARX has reported just over $8 billion in cash flow and during that period has lost over $2 billion on hedges. Tell me again why this makes sense? The gains are included in the numbers not only on condensate but also on all gas and all liquids. ARX got the benefit of a lower takeover price for VII since the risk of the hedges was in the market price, and any sensible buyers would have immediately bought back the hedges and lost only about 30% of the losses suffered by keeping them in place and in fact adding more. You just can't make a silk purse out of a sow's ear no matter how much you like the company. I think ARX has the best assets in the WCSB and the worst financial management.
But but I’m confused ;
Trudeau , in response to German Chancellor Scholz who was begging for LNG , said there is no market for LNG.
Even dumber than that is the media writes it up , no questions asked of Trudeau about how he could possibly say to a begging customer there is no market .
My slant it was to justify wind mills on Newfoundland and reward a donor with the contract. I cant see the Hydrogen being viable, but doesnt mean money wont be spent. We have a number of billion$ battery plants being build, estimates and grants easily double the normal costs, however with cost overruns good chance they will be exceeded...
There is no easy way to get NGas to Nova Scotia(pipeline though Quebec?), their production dried up and most comes up from Maine(pipelines already constrained) far as I know. However a major push putting LNG onto the west coast could free up more US LNG for Europe. Westcoast LNG is slowly progressing, but most of the real company proposals over 10+ years were slow walked by Canadian Governments and now most will never happen... The days of building the first Edmonton to Vancouver pipeline start to flowing oil in 18 months are way way behind us, closer to 18 years now from requests to start to oil flow(current TMP over build likely 15 years when in service)//
An acquaintance when he saw your article had this comment.(edited slightly)
The damnation of ARX over hedging is facile:
1. Most hedges he is referring to were put on by Seven Generations due to excessive debt, which is why they (had?) to sell out to someone, to ARX's everlasting advantage
2. In order to get the financing for #1, banks insisted on more hedging, which is 2 years after acquisition, for the most part (ARX has always had a modest hedging program to ensure capex plus dividend security), washing out.
And, 'cause without the hedging, ARX wouldn't have the massive (>100,000 b/d C5+) incremental condensate production that drives the current 100% price premium they earn over unhedged Birchcliff
Since 2019 ARX has reported just over $8 billion in cash flow and during that period has lost over $2 billion on hedges. Tell me again why this makes sense? The gains are included in the numbers not only on condensate but also on all gas and all liquids. ARX got the benefit of a lower takeover price for VII since the risk of the hedges was in the market price, and any sensible buyers would have immediately bought back the hedges and lost only about 30% of the losses suffered by keeping them in place and in fact adding more. You just can't make a silk purse out of a sow's ear no matter how much you like the company. I think ARX has the best assets in the WCSB and the worst financial management.