Alberta Mid Month Update

Alberta Oil Sands Investment Real Estate News®
Glenn Simon Inc., Suite 1217, 5328 Calgary Trail NW, Edmonton, Alberta, Canada. Tel 1-888-780-5940 Fax 1-888-276-4517
www.glennsimoninc.com   email: info@glennsimoninc.com


June 17, 2017

Volume 22, Issue 10

Dear Friends and Partners,

Happy Father's Day Weekend!


South East Central Edmonton: Ottewell, Legal 2-Unit Cashflow 

Turbo charge your portfolio. Perfect smaller addition or first property. Low risk investment in a great A+ area with 2 legal units under one roof. This legal suited bungalow is across from park and near school. 7 minute drive to downtown 8 minute to U.O.A. 9 minutes to Hospital. 
This property has many recent upgrades including boiler and windows. Offering 1 X 3 & 1 X 2 bedroom units. Separate laundry in basement. 1962 built, double detached garage, zoned RF3 and wide front yard.

Terrific access to local amenities in sought after Ottewell. Purchase price to include renovation budget to upgrade interior and exterior to make it standout - rolled into mortgage. This is a turn-key deal. Excellent access downtown and in this highly rent-able mature neighbourhood.

Comes complete with great tenants making this a totally turn-key property for you. Ottewell is a mature neighbourhood that is convenient for tenants working downtown or attending UOA. HUGE upside potential due to the great purchase price, strong economic fundamentals and the proximity of this property in relation to Edmonton’s growing centre and University.


Purchase price: $380,000
Total Investment: $92,800
Your Estimated 5 Year Profit $54,232
Your pre-tax Total ROI is 58%

These 2 legal suites rent for top dollar and have everything arranged, including financing structure and incredible tenants. Your investment includes: impeccable tenant selection, financial analysis, professional inspection, insurance, financing set-up, legal fees, basic accounting, reserve fund, CMA, bi-annual statements, strategic market planning to ensure successful entry and exit, plus much more!

=========================

Ontario vs. Alberta smackdown: Which will lead Canadian growth this year? 

By Erica Alini  May 17, 2017    Global News  
  "Canada’s economy is steaming ahead, but will Ontario or Alberta take the lead?

Economists disagree on which province will post the fastest growth this year. According to the Conference Board of Canada, which published its spring economic forecast today, the crown belongs to Alberta. That province is projected to post a 3.3 per cent increase in real GDP. " HERE

 =========================

Oil majors embracing push to green energy: Wood Mackenzie
By Geoffery Morgan June 12, 2017 Financial Post

"We are able to make investments in this business where the investment proposition is right in the middle of the fairway where the risks and rewards are very similar to our core pipeline and utility businesses,” Calgary-based Enbridge Inc. executive vice-president and chief development officer Vern Yu   HERE

 =========================

After oilsands divestments, Shell Canada refocuses on gas, chemicals and renewables
By Geoffery Morgan June 6, 2017 Financial Post

"CALGARY – Shell Canada Ltd. will soon announce a project to turn vegetable products into diesel fuel in Alberta, as part of the company’s transition to produce less oil and more energy from natural gas, renewables and chemicals.

This follows Shell’s massive US$7.25-billion divestment of its oilsands assets, announced March 9. The company still plans to build an LNG terminal in British Colombia, but no timeline has been set."
 HERE


=========================
 Natural gas production boom has pipeline demand exceeding supply
 By Geoffery Morgan June 14, 2017 Financial Post

"TransCanada Corp. announced Wednesday that natural gas producers had bid for more space on a new $2-billion expansion of its Nova pipeline system than was available.

“We had more people in the queue than ultimately signed contracts,” TransCanada president, Canada and Mexico natural gas and energy Karl Johannson said.

Johannson said natural gas production from the prolific Montney, Duvernay and Deep Basin formations is surging and gas reserves in those formations has grown to the point that, “I think people have stopped counting.”

The expansion project will allow gas producers in northwestern Alberta and northeastern B.C. to move an additional 2.6 billion cubic feet of gas per day out of the field and into pricing hubs. It will also allow producers to send 400 million cf/d to markets in California, Nevada and the Pacific Northwest. gas production boom has pipeline demand exceeding supply" HERE

=========================

I appreciate all your calls and emails. I'm looking forward to helping you with your next step towards building real wealth.
Your success continues EVERYDAY, let me help you build for tomorrow.

“Brevity and consciousness are parents of correction.” -Hosea Ballou

Warm Regards,

Todd and Danielle Millar

This and That

Home sales rise for fourth month - "In particular, Great Vancouver posted gains of 11.3%, while Montreal was up 8.2%, Edmonton rose 6.9% and Toronto increased 6%. Ottawa saw gains of 4.2% and Calgary advanced by 2.6%."

Edmonton market is currently a strong buyer's market. The prices are soft due to the amount of product on the market and seasonal effects. Even if it wasn't a buyer's market December and January are great times to buy.

Industry touts benefits of Canadian oil sands - "Canadian oil sands development is some of the best energy and economic news America has heard in years," Cindy Schild, the institute's refining issues manager, to reporters on a conference call Wednesday. "Americans will continue to consume a lot of oil, and oil sands have the potential to supply much of what we will need while also creating many new U.S. jobs."

The Canadian oil sands produce the safest, friendliest oil in the world. Alberta and oil sands producers are constantly looking for innovative and environmentally friendly ways to extract this incredibly huge source of oil.

Moving oil across B.C to thirsty foreign markets - "...the proposed Enbridge pipeline project. It would stretch more than 1,000-kilometres from the oil sands near Edmonton to the northwestern B.C. coastal town of Kitimat, before crude would be loaded onto tankers for export across the ocean.

Proponents of the pipeline make a persuasive case. Without tankers being allowed on the North Coast there is no pipeline. No pipeline, no way to take Alberta’s oil to thirsty Asian markets. And with that, tens of billions of lost investment and lost jobs for Canada."

This article is about a fascinating idea to build a train line to move oil rather than the heatedly debated pipeline. The idea and spin off uses such as tourism are very compelling.

Oilsands Outlook

Two publication's outlooks on the future of the oilsands:

Forum showcases benefits of Alberta Oilsands - "Alberta’s oil sands represent not only a major North American source of energy and economic growth, but also an important laboratory for environmental management technologies, participants at a Washington forum agreed.

“They are a source of strategic value. Even with today’s economic conditions, oil sands projects are proceeding,” observed Alberta Premier Edward M. Stelmach in remarks opening the North American Energy Summit at the Canadian embassy on May 6. “They also create US jobs.”

The province was the first North American government to set a price ($15/ton) on carbon emissions from large manufacturers, and it is using the revenue to finance energy efficiency and renewable energy research, he continued. “We have real world experience,” Stelmach said. “We’ve done a lot of good work in Alberta, and we want the world to know it.”

Gulf's pain oilsands gain - "Should political pressure and public anger translate into extensive offshore drilling rules, the landlocked oil sands could become financially favourable, said Brad MacKay, a professor in the University of Edinburgh Business School's MBA program."

This and That

Alberta keeps edge as Venezuela's oil reserves surge - "On the industry-accepted Oil & Gas Journal list, Saudi Arabia comes first, with 264 billion barrels of largely easy flowing crude, followed by Canada's 175 billion barrels of oil, mostly from the oilsands. With 99 billion barrels, Venezuela trails Iran, Iraq and Kuwait.

"It all depends on how you count your reserves, and in Canada our data are open, transparent and reviewable. You can even look at the drilling logs and core samples," Greg Stringham, vice-president of the Canadian Association of Petroleum Producers

"The situation in Venezuela is significantly different than Alberta, given the political environment and the uncertainty there, so that also suggests that, while there may be more oil there than some people had thought, there's a big, big leap from there actually being more oil to having more oil produced. That is, at the end of the day, what really matters."

Canada still ranks as number 2 in the world for oil reserves. We are THE safest place to get oil in the world.

Economic revival sweeping western Canada - “The West is on fire,” said Adam Waterous, Scotia Capital's Calgary-based head of global investment banking. “It's fantastic news for the country. These are big, big projects that are going to get developed. And there's no question that the West is going to lead the country out of the recession.”

Bring it on! We are ready to ride out of the recession Alberta style!

Olympic games no golden economic opportunity - "Closer to home, here in Alberta, the Games have already produced some notable economic winners. The biggest of all is Edmonton-based PCL Construction, the lead contractor on the $900-million expansion of the Vancouver Convention Centre.

The sprawling waterfront structure on Burrard Inlet, next to Canada Place, will serve as the international media centre during the Games, and home base for some 8,000 journalists.

The closing ceremonies for the Games will take place at B.C. Place, where PCL, once again, will oversee another huge project. Although it won't start until after the Games end, the $458-million scheme to install a new retractable roof on the stadium, home of the B.C. Lions football team, will rank among the largest construction jobs in Western Canada this year."

The Olympics are a fantastic celebration of excellence but they may not sell your home.

Momentum returning to oilsands - Edmonoton Journal

If the future of our economy is depending on natural resources then the future is depending on Alberta oilsands. Boom or bust they are here to stay. With 400 years of oil reserves until we start making cars that run on water the world is looking to Alberta to produce Food Fuel and Fertilizer.

"Feel it? Suddenly, there's a buzz in the air. Alberta's big, bad oilsands are back in vogue.

Oh, don't get too excited -- or aggravated, depending on how you feel about North America's biggest, messiest industrial project.

The oilsands boom isn't coming back anytime soon. At least, not in its original, chaotic form.

No one is predicting a sudden gusher of overlapping, poorly planned megaprojects, a brand new influx of tens of thousands of foreign temporary workers, or a rapid rebound to $147-US-a-barrel oil prices.

In fact, another spike in prices(however unlikely) is the last thing anyone wants. That includes OPEC, which sees the current $75 to $80 price range as pretty close to optimal."