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Current DateTime: 07:11:43 10 Feb 2012
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Bringing Home the (Canadian) Bacon

Published: Friday, 11 Apr 2008 | 6:28 PM ET
Text Size
By: Carlo Dellaverson
Web Producer

For the fifth installment of Cramer’s week-long catch up series, he took a trip up to the vast oil sands of Canada to find an energy play that could catch up, and maybe even surpass, its competitors.

Canadian Natural Resources [MOS  Loading...      ()   ] is the second largest oil and gas producer in Canada. The stock has been chipped away at because a new project, known as Horizon, has taken big hits on delays and cost overruns. But Horizon is a big deal – it could produce as many as 110,000 barrels of oil a day, which is 18% of CNQ’s current daily production – and the company now confirms that it’s scheduled to come on-line later this year.

That should be reason enough for CNQ to catch up, Cramer said. But there’s more for the skeptics. The company has big land positions in Western Canada that it hasn’t even started developing. These areas are chock full of natural gas reserves, and with the price of nat gas rising, Cramer would bet that CNQ is going to start drilling soon.

The bottom line is that CNQ is cheap. The stock is only lagging because Horizon has been held back, but now that the company says it’s on schedule, Cramer thinks the sky could be the limit for this oil and gas play.

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