[BigNumbers]

Originally Posted by ExiledFlamesFan

http://www.telegraph.co.uk/finance/n...pec-waits.html

Uh oh. The US shale oil boom has lead to a debt bubble. Hopefully Canadian producers aren't leveraged to this degree.

Canada is much different from an investment standpoint, that is why we weathered the '08 downturn much better than our US brethren. Canadian E&P's are 'in trouble' if they are levered at 2x D/CF.... By contrast, US E&P's aren't torquing their shareholder return enough if they aren't levered at least 2x D/CF.

This is a fundamental difference in risk tolerance between US and CDN investors that has existed for decades. It is part of the reason why our boom bust cycle is generally comparatively softer... When the global (and US) economy is doing well, the US economy is doing better than ours...When the economy is faltering, they take it harder than we do.... So goes the fickle mistress called Leverage.