Canadian Oil Sands Versus Colorado’s Oil Shale
The Canadian oil sands are one of the richest deposits of oil product in the world, if not the largest. While Saudi Arabia is a listed as having the largest amount of crude oil, it is a belief that their resources may be more limited than they are willing to share. Canada, just north of the border, looks to be one of the best ways for the United States to break its dependency on Middle East oil. Yet, the question is, what about Colorado’s reserves?
Colorado has a rich deposit of oil shale, a product much different from that found under Alberta’s land. Some may not know about the oil shale found in Colorado, but it is one of the best locations in the world for rich oil deposits. You may be asking then, “Why is the US so determined to buy foreign oil when there is such a large deposit located in Colorado?” The reason is simple. Oil shale is not the best product for oil production, because of the difficulty in production and refining to the level that is required.
By comparison, oil shale production in the world is limited to just 30,000 barrels each day. The oil sands located in Alberta, Canada, on the other hand, produce enough oil to provide Canadians with 40 percent of the total crude oil production they need. In the next 10 years, it is an estimate that Canadian oil sands will produce 4 billion barrels of oil a year, much larger than the amount the Colorado oil shale will produce.
That does not mean you should not invest in the Colorado oil shale development. Most investors believe the technology to get the Colorado oil shale development up to a more usable level is still years away. Yet, the companies that you can buy into to get a piece of this investment are forming and they are looking for those ground floor investors that stand to make the largest investment of all.
You can learn much more about the Colorado oil shale. It is located in Green River formation in the heart of Colorado. Additionally, there are similar deposits of oil shale located in rural Utah and Wyoming, both of which are additional sources of investment potential. It is an estimate that there are two trillion barrels of oil found in Colorado, Wyoming and Utah combined, all in the form of oil shale. Still, investors are turning their investment dollar to the Canadian oil sands where potential is currently in play. Oil production is an ideal investment tool in either Colorado or in Canada. The goal you have is to determine what type of investment you want to get behind.
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