Topic: How To Invest

Pat: What do you think about Canadian Natural Resources? Is it a good oil and gas stock?

Article Excerpt

Canadian Natural Resources, $46.30, symbol CNQ on Toronto (Shares outstanding: 541 million; Market cap: $25 billion), is Canada’s second-largest independent oil-and-gas producer (only EnCana Corp. is larger). Calgary-based Canadian Natural operates in western Canada, where its 100%-owned, $9.7-billion Horizon Oil Sands Project is located, the North Sea and off the coast of west Africa. Canadian Natural’s product mix is about 57% oil (32% heavy, 25% light) and 43% natural gas. Canadian Natural’s production is set to increase in 2009 with the planned first-quarter commissioning of the Horizon Oil Sands Project. When it reaches full capacity, Horizon will produce 110,000 barrels of oil per day (15% to 20% of the company’s total production). Canadian Natural’s conventional North American oil-and-gas properties are located in B.C., Alberta and Saskatchewan. Canadian Natural’s North American oil-and-gas production represents about 88% of its total production. Heavy oil operations are also located in Alberta’s Athabasca region, at Pelican Lake, and at Primrose North, Primrose South and Primrose East. Canadian…