We need government to halt oil sands development, Part II
In reference to my previous post.
I wonder when Jack Layton is going to credit some policy of his for stopping oil sands development when it’s clear the market conditions are already slowing this development.
Sphere: Related ContentPetro-Canada is talking itself out of the Fort Hills oil sands project.
The latest cost estimates on the project, released late Tuesday, highlighted a 50-per-cent spike in expenses over the past 15 months, on a project that was already projected to eat up $14.1-billion. Keep in mind: This initiative still needs approvals from both the Petrocan board and government bodies.
The first take from analysts on Wednesday is Petrocan, owner of a 60 per cent stake in Fort Hills, will need to see $100-a-barrel crude oil prices to earn a 10 per cent return on Fort Hills. You know that within Petrocan and the financial community, there’s a believe that costs on this project can only go one way, and far less certainty on the future price of oil.