BTEGF - Much-maligned oil sands now winning Wall Street plaudits
The Canadian oil sands are emerging from 2020's market crash with a more optimistic outlook, with Morgan Stanley and Goldman Sachs the latest firms to tout the industry's ability to generate healthy cash flow next year as a reason to buy stocks such as Suncor Energy (SU), Canadian Natural Resources (CNQ) and MEG Energy (MEGEF).Among the factors seen lifting the prospects for the heavy crude producers are declining competition from Mexico, the start of construction of three pipelines following years of insufficient shipping capacity, and Prime Minister Trudeau's decision last week to narrow the scope of Canada's new Clean Fuel Standard by including liquid fossil fuels but leaving out solid and gaseous fuels.The eight largest oil sands producers by market value posted a combined free cash flow of US$1.4B during Q3, compared with $163.7M from the top eight U.S. E&P companies, according to Bloomberg data.Exports of Mexico's Maya heavy crude grade are
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Much-maligned oil sands now winning Wall Street plaudits