Berkshire Hathaway’s third-quarter regulatory filings show that the Warren Buffet-owned firm has
Last year, Hathaway increased its involvement in Suncor, but recent documents showing the major investment firm’s withdrawal from the oil, gas and minerals company suggest that Canada’s energy sector continues to struggle through the oil price crisis.
Suncor dumped the deposits in question in order to ease the effect of rules that were created to maximize the output from oil sands on land leased from the government.
The cost-cutting plan to abandon the sites aligns with efforts by efforts led by other oil companies to cope with low commodity prices and challenging environmental regulations.
Still, Suncor has been eager to acquire assets unrelated to oil sands by investing in major oil and gas projects even as the company’s competitor’s decline to do so.
By 2020, the board says that barrel prices will rise to an inflation-adjusted $68, which is $12 less than the agency’s previous prediction. The government’s 2040 projection fell by $17 from its January figure of $90.
By Zainab Calcuttawala for Oilprice.com
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