BlackRock Ventures Gets Acquisition Offer

Congrats to all those who have followed us in on our leading Canadian oil investment, BlackRock Ventures (BVI.to). This morning Shell Canada offered to buy Blackrock for $2.4 billion Canadian or C$24 per share. That makes for a nice day and provides us with about a 150% gain on our initial investment.  The important thing to take away from this acquisition offer is that the smaller independent Canadian companies with even minor Oil Sands exposures are clearly all still good investments given the acquisition appetites of the majors, who flush with cash are looking to snap up long-term producing assets in areas with incredible reserve growth. The Canadian Oil Sands remains, in my opinion, the best place to find this needed reserve growth. There are a few other Oil Sands plays that are rising on the news and we´d be buyers on any weakness. We´ll be holding onto BlackRock until the actual acquisition date gets closer as there is always the chance a higher bid can come in. We still recommend holding onto Suncor (SU), the #1 Oil Sands play.