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Originally Posted by aceventura3
Are you a Canadian? What do you think about the tar sands? Viable? At $200 a barrel for oil, profitable?
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Yes, I'm Canadian. I think we have a lot to gain from high oil prices. But our ability to supply demand is limited.
Yes, the main reason why the tar sands are booming is because oil prices are high. The extraction, as you probably know, is difficult compared to many of the oil fields in, say, Saudi Arabia. The high prices make it worthwhile (and, yes, profitable).
But the problem remains: Worldwide demand will outstrip production (well, some reports will tell you it already is outstripping it). It's a good thing we have reserves, but that won't keep prices down to where we want them.
When (sorry, "if") $200 a barrel hits, Alberta will be laughing. Let's hope the feds keep the transfer payments flowing. (I live in Ontraio.)