Thanks for the note. On the cost curve, are Canadian oil sands the most expensive barrel? Most of the oil sands companies report breakeven in the $30-40 level. What is your chart based on?
Arjun, Thank you for your writing & thoughts! I enjoy your postings every time, share them shamelessly and look forward to continuing to see them with Veriten. Congrats on the new role and sharing your well thought out process for the move. Darren
Arjun, I would strongly suggest sticking with your principles rather than be tempted down the acquisiton and mega project road to destruction. You have had a ring side seat on the value destruction. Oil and Gas companies should continue to heed the advice and direction of most western countries, that they want them to slowly and methodology go out of business. Only through continuous conversative capital management will this cycle be different.
Keep up your principled stand on fantasies like Netzero. People really need to be educated about what’s possible/feasible and you are an important voice.
Great news! 👍 I recommend Super Spiked to anyone I talk to about energy, great to see the partnership. Its going to be a really, really, interesting next few years.
Arjun, it was Texas Commerce Tower. Until 1990, it was the tallest building west of the Mississippi River. Also the original home of Pogo. Looking at it right now from our high rise on Kirby.
I enjoyed this, Arjun, and agree overall. One disconnect: I'm not sure of your definition of "inventory". But in terms of known resources that will support decades of production, at least three Canadian E&Ps already have that -- TOU, ARX, and CNQ. (I'm long TOU and CNQ at present.) It would seem to me that growing the resources is not and should not be a major focus for those three, and perhaps a few others exploiting that wonderful geological miracle of the WCSB.
Awesome stuff Arjun. Best of luck with the new endeavour and I really appreciate your Super Spiked work and am glad that it will continue. Cheers John.
Thanks Arjun. Another great article and thanks for the new resource in the Veriten podcasts. The liquidate while you wait scenario sounds to me a bit like what Michael Kao described in a podcast as the strategy for his private equity investment in a shale company. (Kao's paper published recently for West Point and available on his Substack titled "USD Primacy in an Era of Economic Warfare" is fascinating.) But that strategy works for him, as he has his own family office since retiring. For those of us who are not that wealthy and must buy publicly traded equities, I like some of the Canadian companies, albeit the Trudeau government is making things difficult these days. So I'm doing my research and reading your posts for the big picture.
i recently started following you - and I am grateful I did ! I really value your experience and outstanding writing. I am fascinated by the world of energy - it is what makes civilization possible. I invest in energy companies and attempt to follow the industry with a global perspective. your writing projects your personality as a "good guy" ! all the best and thank you!
Thanks for the note. On the cost curve, are Canadian oil sands the most expensive barrel? Most of the oil sands companies report breakeven in the $30-40 level. What is your chart based on?
Congrats on the new role mate
Arjun, Thank you for your writing & thoughts! I enjoy your postings every time, share them shamelessly and look forward to continuing to see them with Veriten. Congrats on the new role and sharing your well thought out process for the move. Darren
Arjun, I would strongly suggest sticking with your principles rather than be tempted down the acquisiton and mega project road to destruction. You have had a ring side seat on the value destruction. Oil and Gas companies should continue to heed the advice and direction of most western countries, that they want them to slowly and methodology go out of business. Only through continuous conversative capital management will this cycle be different.
Keep up your principled stand on fantasies like Netzero. People really need to be educated about what’s possible/feasible and you are an important voice.
Wow! Great news.
Great news! 👍 I recommend Super Spiked to anyone I talk to about energy, great to see the partnership. Its going to be a really, really, interesting next few years.
Truth in Energy... couldn’t agree more. Congratulations on the new venture Arjun, excited to follow your analysis into this next phase.
Arjun, we love your work and are excited to keep up with you in this next stage! Thanks for the work you do!
Arjun, it was Texas Commerce Tower. Until 1990, it was the tallest building west of the Mississippi River. Also the original home of Pogo. Looking at it right now from our high rise on Kirby.
Welcome back to the Goldman diaspora!
I enjoyed this, Arjun, and agree overall. One disconnect: I'm not sure of your definition of "inventory". But in terms of known resources that will support decades of production, at least three Canadian E&Ps already have that -- TOU, ARX, and CNQ. (I'm long TOU and CNQ at present.) It would seem to me that growing the resources is not and should not be a major focus for those three, and perhaps a few others exploiting that wonderful geological miracle of the WCSB.
Cheers! Paul
Awesome stuff Arjun. Best of luck with the new endeavour and I really appreciate your Super Spiked work and am glad that it will continue. Cheers John.
All the best Arjun. I've really enjoyed reading Super Spiked. Your comments about family growing up are important. Very special time.
Thanks Arjun. Another great article and thanks for the new resource in the Veriten podcasts. The liquidate while you wait scenario sounds to me a bit like what Michael Kao described in a podcast as the strategy for his private equity investment in a shale company. (Kao's paper published recently for West Point and available on his Substack titled "USD Primacy in an Era of Economic Warfare" is fascinating.) But that strategy works for him, as he has his own family office since retiring. For those of us who are not that wealthy and must buy publicly traded equities, I like some of the Canadian companies, albeit the Trudeau government is making things difficult these days. So I'm doing my research and reading your posts for the big picture.
i recently started following you - and I am grateful I did ! I really value your experience and outstanding writing. I am fascinated by the world of energy - it is what makes civilization possible. I invest in energy companies and attempt to follow the industry with a global perspective. your writing projects your personality as a "good guy" ! all the best and thank you!
Great piece Arjun. If not for politics, Mexico, Canada, US combo could be a powerhouse producer for the globe.