Investment Q&A

Q: DEAR 5-I:
Thanks for the information on Parex, however, there was a second part to the question. If I dispose of Parex because it is doubtful if the political situation will improve in the near term- what could you suggest for a replacement, CNQ-? already own a full position in Suncor, ARC, Baytex, Tourmaline, and TVE. How about Peyto?

Thanks, Ben

Q: I think you are going to get a few questions about the offer to buy out Gear Energy (GXE) for the heavy oil assets and leave the remaining assets in the new company called Newco (stupid name IMO). Does the deal seem fair to you? I realize you are not oil experts (since you can't be experts on everything) but I can't figure out if the assets in the Newco are any good. If the Newco assets and good and there will be a $110 million to work with maybe the deal is not that bad. Also, my understanding is the GXE has a lot of accrued losses so who would get the use of those losses? I assume the purchasing company who is getting the gear name would get those losses? If that company is paying taxes then those losses could be very valuable. So valuable that the the purchase price of $110 million is larger paid for from saving on income taxes, right? On the other side I understand that GXE has a lot of asset retirement obligations. Who will be liable for those obligations, Newco or the purchaser? I think these are valid questions that us light share holders should be asking!

Q: Can you help me understand todays GEAR- transaction, and as a sharehold, what we get out of the deal. Is there a chance of a better offer coming, or is our choice that 66% vote for the deal, or we stay as the previous company GEAR

Q: Dear 5i:
I sent in a number of questions yesterday. Thanks very much for the replies, however, you answered the question twice for parkland but no answer for PAREX.
Thanks, BEN.

Q: Will my portfolio be better balanced with White Cap Resource (WCP)wcp) than Cardinal Energy(CJ) as coverage of the energy sector.

Q: TYG has had a very nice year. Up 65%. Yet PE is only 4.6 and Yield is 6.6%. Looking for growth and income would this be positive addition to my portfolio?

Thanks.

Q: Hi - When I see a yield as high as SOBO's is, I think a dividend cut is possible. What are your thoughts on the sustainability of such a high dividend? What is the approx payout ratio?

Q: hello
it there an offer for buy back shares for parkland fuels or a potential take over?
the value of the shares has been declining for 1-2 years
I do have around 300-500 shares, should I sell or wait for the situation to develop?
target selling price? thanks
Michael

Q: Coal has proven very resilient in resisting climate change activism. Which positions, in addition to METCB, might be worth consideration, if any?
Thanks,
David

Q: Hello:
Parkland- Up a little, down a little. Please give me your analysis. What could I replace it with? I already own Atd.
Thanks, Ben.

Q: Do you believe this stock has bottomed… and do you consider the current price @ 9 bucks an attractive entry point?

Than you!

Q: Hello Peter et al:
I have owned Total for several years and it hasn't done much. It is involved in a lot of green initiatives, and more recently has been mentioned in the Adani scandal. Please offer all you can about Total.
I am thinking of selling Total and buying Chord Energy. Please provide as much information as you can about Chord. Holds mostly Enerplus Bakken assets-- Good dividend and maybe a takeover candidate. Would you recommend such a switch? Any other or better USA oil companies you would suggest?

Thanks, Ben.

Q: Hello

Canadian Oil/Gas names and pipelines stocks have retreated this week, possibly, in reaction to news of Trump's proposed tariffs on Canada.

What is the likelihood of these tariffs actually being put in place, with specific reference to Oil and Gas exports to US from Canada ?

If worse happens, would these levies impact Oil/Gas producers/integrated names and pipelines differently ?

Do you consider this week's pullback in these names, as an opportunity to increase exposure to these names and if so, in what order ?

( Noted that 5i bumped SU weight in Bal portfolio, Tuesday )

Thanks

Q: I have some SHLE and I'm thinking of adding to it, despite its recent run up. It seems quite cheap and substantial gains in profits are expected in 2005. Its taking a hit today, presumable because of Trumps announcement of a 25% tariff on all things from Canada. Yet, Most of Source's business is in western canada. But they do have a site in midland texas too, so i wonder if: a) there is much exposure from sales to/in the US and b) would having a site in the US shield the whole company from tariffs?

You said in response to a recent question on SHLE that you expect profits to more than double in 2025. Does that estimate change if tariffs are in fact enacted?

Q: Which of the two do is better as a long term hold for safety and income

Q: Peter and His Wonder Team
I have held this stock for too long...if you know what I mean! Ha!Ha! The good news is that I am now even and thinking about selling. However some analysts have a 100% up side forecast which I know is only a forecast. Please...I appreciate your objective opinion. Sell because there are better opportunities...or it is worth waiting another quarter two?
Thanks as always!

Q: Hello 5i, Could you give your opinion as to now that Capital Power is totally off of coal and is now considered a green company, would there be interest of a takeover of Capital Power and if so which companies could be considered to be interested in taking over Capital Power. I think Transalta would be a front runner.

Q: I now hold TRP & SOBO in both my TFSA & and my cash account. I would like to consolidate the SOBO into one account. Any tho'ts. or suggestions on where on where it might be best to hold the SOBO going forward? Most of my pipeline holdings are in PPL and am happy in its distribution in my different accounts. Thanks, Bill

Q: I have a question about South Bow- Are they a true pipeline company only? In the event the price of oil rose, would they benefit from that, or do they get paid the same shipping a $70 barrel vs a $100 barrel? If the same then I feel it is a volume game, they get more revenue for extra barrels they ship. And the yield and price likely remain stable if WTI rises dramatically. If so then this is a pure income play not capital gain added on top. Thanks

Q: Please share your analysis on FutureFuel please, thanks.