To a large degree, oil has replaced gold and silver as a safe haven asset. There is also an industrial demand for oil, of which there is virtually none for gold.
(PRWEB) September 21, 2013
Octagon 88, recently announced through a third party feasibility study that the oil reserves in the Peace River Oilsands, of which they have a large stake in combination with their controlling interest in CEC North Star, are roughly 1.6 billion barrels. In the same report Octagon laid out several plans to target the Elkton Erosional Edge, Debolt Erosional Edge, Bluesky Oilsands Channel, and Down Drip from Elkton and Debolt in their Manning Area project. All of these projects are being initiated to recover oil through the next 25 years. With such a large supply of oil in just one of the three major areas of Oilsands in Alberta, this has led numerous asset analysts to declare that Canada is an upcoming asset haven with potential growth.
Since the release of the feasibility study Octagon 88 stock has grown considerably. This is because of the favorable area they have a stake in and that their plan and development is moving forward at reliable rates. The entire area of Northern Alberta is bitumen rich and will bring thousands of jobs over the course of the oil recovery. With such projects as the Manning Area Development Plan with its billions of barrels of oil, it is no wonder to see the growth in the region and throughout the country.
Of the potential for Canada to be an asset haven, Jonathan Yates at Seeking Alpha wrote, “While gold and silver have fallen, oil has increased in price despite low demand and high inventories. To a large degree, oil has replaced gold and silver as a safe haven asset. The world market for oil is deeper with far greater liquidity. It also presents a much wider array of investment vehicles. There is also an industrial demand for oil, of which there is virtually none for gold.” This points to long-term gains for investors worldwide to invest in Octagon 88.
Looking forward, Octagon 88 has begun initial startup steps in the Manning Project, specifically moving forward along the Elkton Erosional Edge.