BQI

what do you want to know about oilsands quest?

I don't know anything about the company or their outlook.  I've researched them a bit, but i was wondering if anyone here was looking at this stock and what they thought about it

Great long term play. They are spending a great deal of cash to expand their oilsand fields in Canada, drilling a lot of holes to find more. The refining process is getting better and the Canadian government very much wants to see this market come on line. With shrinking supplies, this will be a viable fuel option down the road. I like the bounce that is coming when summer driving season sends oil thru the roof.No debt to speak of and I see this getting a lot of profit taking/buying on the pullback play for anyone who wants to make some $$$.

Thanks for the input guys.  I will let you know more if I figure anything out here. 

well said.

everything said above is solid info. also, dont forget the possibility of a premium for energy that is sourced from a peaceful trading partner.

 

large oil companies are expanding to areas with substantial political risk in order to reap the benefits of light, sweet crude. They may be willing to accept a higher cost, lower margin reserve in order to decrease outside variables.

 

It is a risk and return tradeoff and any deposit of substantial size (which BQI is in the process of proving) will be valuable to major oil.companies.

also, BQI has a lean balance sheet with strong cash flow. Their cash flow is not generated internally (because their operations dont produce any revenue) but they are able to continually raise large amounts of cash from institutions. There is a reason that institutions are involved with this one.

I can't find a CLL.  it is going to Citigroup when i enter that.  Is it CLLZF?  Connacher?

i thought this thread was gonna be about Brady Quinn....

wallstreet, BQI is worth taking another look at. I wonder what your expert knows about it but this is one company that I follow very closely and I hold it myself.

You have to look at the reserve and think, what is it worth to a larger company who wants a long-term supply to oil without political risk.

 

I enjoy the forum here, you and others are very knowledgeable and to be honest I was surprised that covers draws this well-rounded of a crowd to its investment forum. I have always loved sports gambling, and I was curius to I peaked into the forum.

 

I cant get into detailed discussions about individual companies because I do a lot of private placements with some of these (BQI). But I like answering questions, it kind of feels like charitable work for the day.

 

I'll be checking in. By the way, I didnt mean to question your expert, but we definitely have different opinions on this one. It's a good thing we all dont think alike though or the market wouldnt be very interesting.

One of the many reasons I am steering clear of oil sand projects that are not yet in production and permited. Better off investing in natural gas as the demand for it will soar as oil sands continue to develop..........

 

 

CALGARY, Alberta (Reuters) - The first phase of Petro-Canada's Fort Hills oil sands project in Alberta is expected to cost C$14.1 billion ($13.2 billion), an amount the company hopes to keep in check by staggering the start-up of the project's various parts, it said on Thursday. Petro-Canada and its Fort Hills partners are wrestling with a tight labor supply in Alberta and surging materials costs as the world's oil industry rushes to develop the oil sands. The initial phase of the mining and synthetic crude project, to be located at two sites, will produce 140,000 barrels a day of refinery-ready oil by the second quarter of 2012. A second stage with lift output to 280,000 by 2014. Investors had been anticipating the cost estimate and design plan for months as the company agonized over ways to avoid the big delays and cost overruns that have plagued the oil sands industry throughout this decade. Petro-Canada is the operator of Fort Hills and has a 55 percent stake in it. Its partners are Teck Cominco Ltd. with 15 percent, and UTS Energy Corp. with 30 percent. The partners' all-in costs for both phases could hit more than C$26 billion. Construction will peak around the end of the decade, about the same time that demand for heavy building trades in Alberta is projected to be at its height at nearly 40,000 workers. "We're up against some tough competition and this is the picture that keeps me awake at night," said Neil Camarta, head of Petro-Canada's oil sands division. "But we've put a lot of thought into how to manage around this." The partners aim to start selling 160,000 barrels a day of raw bitumen from the Fort Hills mine north of Fort McMurray, Alberta, in late 2011. It would complete the plant that will upgrade the gooey crude into synthetic oil half a year later. The upgrader will be near Edmonton, Alberta, where Petro-Canada operates a refinery it is retooling to run oil sands-derived crude exclusively. The staggered approach is aimed at preventing the two parts from competing with each other for tradespeople, Camarta said. Also, the company could attract as much as half its work force from outside Alberta and even Canada, he said. The price for the first phase does not include C$1.1 billion worth of engineering work that will proceed for the next 12 months before the partners make a final decision on whether to go ahead with the project. At about C$100,000 per barrel a day of production, the first phase of Fort Hills is in the mid-range of previous expectations and in line with a current expansion of Royal Dutch Shell Plc's nearby Athabasca development. UBS Securities analyst Andrew Potter estimated the after-tax rate of return at 10 percent for the first phase and 12 percent for the second, based on a long-term $51 a barrel oil price. "We believe these are competitive global returns on a risked basis," he wrote in a research note. Alberta's oil sands rival Saudi Arabia's conventional reserves in size but are far more expensive to develop. More than $100 billion worth of projects are under way or planned as oil companies race to grab a piece of one of the few huge resource opportunities in a politically stable country. Petro-Canada shares were up 58 Canadian cents at C$55.90 on the Toronto Stock Exchange on Thursday. UTS rose 14 Canadian cents to C$6.08 and Teck Cominco climbed 13 Canadian cents to C$46.07.