CALGARY – Canadian Natural Resources Ltd. is seeking approval to resume crude extraction from the part of its Primrose East oilsands property where a bitumen-water mixture was found oozing to the surface last year.

But the Calgary-based company said it’s planning to use a different steaming method that it says would avoid the problems that may have led to the high-profile leaks in eastern Alberta, which are still being investigated by the province’s energy watchdog.

Canadian Natural filed an application to the Alberta Energy Regulator last week asking for permission to inject steam at low pressure in a technique known as steam flooding.

READ MORE: 2 provinces, 2 environmental disasters, 2 very different responses

Previously, Canadian Natural had injected steam at high-pressure using a technology known as cyclic steam stimulation, the safety of which has been questioned by environmental groups. With that method – often described as “huff and puff” – a well alternates between injecting steam and drawing the softened bitumen to the surface.

On a conference call with analysts Thursday, Canadian Natural president Steve Laut says it’s “not possible” for steam flooding to create the same conditions that led to the Primrose East leaks.

Cyclic steam would enable production to ramp up more quickly, but rates over the long term are expected to be the same if steam flooding is used instead, said Laut.

“I wouldn’t see much of a drop in overall yearly average production from a steam flood at this stage versus a cyclic program at this stage,” he said.

The AER has said it won’t allow steaming to resume until it’s convinced all the risks have been addressed.

Last month, the energy watchdog said it had a better idea of what went wrong at Primrose. It said the main issues centre around Canadian Natural’s steaming strategy and on old wellbores around the site that have provided paths for fluids to flow to the surface.

Once a final report has been completed, Canadian Natural said it will apply to use cyclic steam on other parts of the Primrose East property. The section of Primrose East where the leaks took place, and where the company wants to use steam flooding, is a “unique area geologically,” said Laut.

Some 1.2 million litres of the bitumen-water emulsion have been recovered and 20.7 hectares have been affected. The company said on Thursday that clean-up is complete.

READ MORE: Steaming may have caused endless Alberta oil spills, CNRL admits

Thermal oilsands production for this year at Canadian Natural is expected to come in lower than previously anticipated, with the bottom end of the range lowered to 112,000 barrels per day from 120,000.

Some of that is due to the fact that it’s taking longer than expected to start steam flooding at Primrose East. As well, mechanical issues at Canadian Natural’s Kirby South steam plant are causing production to ramp up more slowly than planned.

Earlier Thursday, Canadian Natural said it more than doubled its second-quarter net earnings, helped by increased sales and higher prices.

The Calgary-based oil and natural gas producer reported profits of $1.07 billion, or 97 cents per share, versus $476 million, or 44 cents per share a year ago.

Adjusted profits were $1.04 per share, which beat analyst expectations by six cents a share, according to Thomson Reuters.

Company-wide production for the three months ended June 30 grew 31 per cent to 817,471 barrels of oil equivalent per day.

Realized prices for its crude oil averaged $87.03 per barrel, up nearly 16 per cent from the same period a year earlier.

Product sales rose to almost $6.11 billion from $4.23 billion.

Shares of the company were down more than 2.5 per cent at $44.68 in afternoon trading on the Toronto Stock Exchange.

Here is your Morning News Rundown for Monday, Oct. 27:

A new angle on downtown parking – Calgary Herald

City of Calgary to test automatic de-icing ‘sprinklers’ on bridges next year – Metro Calgary

Morning News Rundown is a post from: CREBNow… Read More

Morning News Rundown is a post from: CREBNow

The City is seeking public input Oct. 28, on a proposal from Canada Lands Company to change the type of development allowed on the east side of Currie Barracks.

If approved by council, the proposal would allow for a medium-density mix of retail, office and residential developments including a network of open spaces and pathways while preserving key aspects of the areas military history.… Read More

Currie Barracks development open house is a post from: CREBNow

Ask any investment advisor and they will tell you real estate is an important part of anyone’s investment portfolio. As someone once said, “Buy land, they aren’t making any more of it!” Over the long run just about every piece of real estate increases in value. But in addition to buying and holding real estate for future gains, the savvy investor knows there is money to be made in the short term with renovating dated or “tired” condos and selling them for a profit.

Renovating a condominium with quality finishing can net you a reasonable return once you sell it, as the very nature of condominium living revolves around convenience, lifestyle and attention to detail. These buyers want to enjoy life and relax in luxurious surroundings and are willing to pay for not having to do the work themselves!

The success of any renovation boils down to the quality of the finishing. With quality I mean the overall look and feel of the whole package. The overall effect needs to flow, co-ordinate, look and feel that each part compliments the whole. This does not have to mean that every item is the most expensive money can buy! But the finished package needs to have that “Wow” factor. One of the best ways to accomplish this is with the services of a skilled designer.

Many of my higher end clients ask for names of qualified designers long before they start a renovation project. If the package is done right, the client will see the financial results. From picking paint colours to choosing materials and recommending trades, the art of a skilful designer can greatly enhance what you thought possible for your investment.

When it comes to the actual work that needs to be done, if you are able to tackle some of the jobs yourself, go for it! Picking up supplies, minor painting, changing light fixtures and switch plates and even completing some of the demo work yourself can be ways of saving costs. If you have the skills to accomplish more complicated tasks, use them! If not, hire a professional the get the flawless effect. Always keep in mind who your target buyer will be.

Different price points of real estate require different levels of finishing. A $200,000 condominium can achieve the wow factor with laminate flooring, while a $500,000 condo may need solid wood floors to complete the package. You will have a cost difference of around 35%, but the end effect could add $20,000 to the final value of the condo and speed up the selling process. Lighting and plumbing fixtures are other areas where level of finishing is most evident to prospective buyers and needs to meet their expectations.

Renovating condos for profit can be a financially worthwhile venture. Remember to renovate with quality to increase the value of your condominium!

Over the past several weeks I have visited many of the new condominium towers that are currently being marketed in the Calgary area. Calgary is seeing a boom in high rise condominiums that will be constructed in the next 3 -5 years. As many as 2500 new condo units are slated to be constructed in the inner city alone. Many of these new towers are already boasting, even before construction has started, a record number of pre-sales.

For a condominium buyer, selection of new product has never been better! Most upcoming buildings offer prospective buyers several show suites to view, showcasing extremely attractive features and amenities. A new condo can also offer a wide range of customized options that can be upgraded to complement each buyer’s individual style and taste.

After choosing your new condo don’t let the excitement wear off as you will need to be prepared to wait. If building construction hasn’t started yet, it may be up to 36 months until you take possession of your dream condo. As the pre-sales attest to, people are more than willing to endure the delay. Also, on a positive note in most cases waiting up to 36 months to take possession may allow for your property to increase in value.

Another reason for buyer’s patience is the current state of the resale condo market. With Calgary’s economic prosperity, more and more people are moving here and not many are leaving. This has put pressure on the resale market. Not many listings are coming on the market and when they do, they don’t last long! It is not unusual to have multiple offers on properties these days.

Buying at today’s prices, buyers are looking to see their units appreciate in price even before they take possession. The way housing prices in Calgary have performed over the past 3 years, this is a fairly safe assumption! Keeping in mind investors are thinking the same way and many of the pre-sales in these new towers are investor purchases.

When it comes time to move in, you may want to have the majority of your neighbours owning their units, rather than renting them. Ask informed questions of the sales people at the time you purchase to avoid surprises once you move in. A professional real estate agent can go a long way to ensure your condo investment is sound on many fronts.

I was speaking with a friend the other day over coffee when she announced she was going to have to sell her inner city condo and move to a house. She said with her 3 year old son, there just weren’t enough activities around.

This got me thinking about the common lament of kids: “There’s nothing to do!” This is not so about Calgary’s downtown and inner city areas. Calgary’s core offers a multitude of activities, parks and destinations for the younger set, even in the cold winter months.

Devonian Gardens – in the heart of Calgary is an oasis! A 2.5 acre climate controlled garden located on the 4th floor of an office building and shopping center, with reflecting pools, koi fish to feed, water falls, and an indoor playground for the kids to burn off some extra energy. Located directly on the LRT line, nothing beats this spot when it’s 20 below outside!

W.R. Castell Central Library – also located directly on the LRT line is the central library. On the second floor is the children’s section, loaded with books for all ages, videos, CD’s and computer terminals, too. Once you are finished, you can get a snack at the Good Earth located at the main entrance.

Triangle Gallery – while in the area, why not give junior a dose of art appreciation at the Triangle Gallery, located in the city hall building.

Calgary Science Centre – located at the opposite end of downtown is the Telus World of Science. Kid’s of all ages can spend the whole day here. Wow town for the 3-5 year olds, discovery hall (3 levels) for the older kids, big screen movies and an outdoor playground are but a few of the great activities this wonderful facility has to offer.

Eau Claire Market/Prince’s Island Park – in both the summer and winter this area along the banks for the Bow River is great for kids and families. The indoor market has a great selection of shops and services, roving entertainers in the summer and probably the best kids water park in the city in the summer! Prince’s Island Park offers lots of green space, walking paths and a huge playground designed for kids of all ages. Located along the Calgary River Pathway system, you could spend all day biking / walking / roller-blading.

YMCA – Also in the Eau Claire area, the YMCA is a premier sport and recreation facility for the whole family. Their programs for kids and adults alike are second to none and cover all age groups.

Calgary Zoo – just on the outskirts of downtown and a short LRT ride, is the Calgary Zoo. Spend a day with the animals!

Riley Park – A short walk across the river and up 10th Street is another great summer spot with a great playground, tons of green space and a wading pool/water park. Don’t miss this on a hot summer day.

With so much to offer her family, I wondered why my friend was considering leaving the downtown area. Whether you have kids or not, why not check out some of these ideas for yourself!

Over the past several weeks I have visited many of the new condominium towers that are currently being marketed in the Calgary area. Calgary is seeing a boom in high rise condominiums that will be constructed in the next 3 -5 years. As many as 2500 new condo units are slated to be constructed in the inner city alone. Many of these new towers are already boasting, even before construction has started, a record number of pre-sales.

For a condominium buyer, selection of new product has never been better! Most upcoming buildings offer prospective buyers several show suites to view, showcasing extremely attractive features and amenities. A new condo can also offer a wide range of customized options that can be upgraded to complement each buyer’s individual style and taste.

After choosing your new condo don’t let the excitement wear off as you will need to be prepared to wait. If building construction hasn’t started yet, it may be up to 36 months until you take possession of your dream condo. As the pre-sales attest to, people are more than willing to endure the delay. Also, on a positive note in most cases waiting up to 36 months to take possession may allow for your property to increase in value.

Another reason for buyer’s patience is the current state of the resale condo market. With Calgary’s economic prosperity, more and more people are moving here and not many are leaving. This has put pressure on the resale market. Not many listings are coming on the market and when they do, they don’t last long! It is not unusual to have multiple offers on properties these days.

Buying at today’s prices, buyers are looking to see their units appreciate in price even before they take possession. The way housing prices in Calgary have performed over the past 3 years, this is a fairly safe assumption! Keeping in mind investors are thinking the same way and many of the pre-sales in these new towers are investor purchases.

When it comes time to move in, you may want to have the majority of your neighbours owning their units, rather than renting them. Ask informed questions of the sales people at the time you purchase to avoid surprises once you move in. A professional real estate agent can go a long way to ensure your condo investment is sound on many fronts.

You’ve been renting apartments since the day you left home and you have managed to save a bit of money over the past few years. After listening to all the hype around low interest rates, “don’t pay your landlord, pay yourself”, and what a great investment real estate is, you are ready to look at buying your first place. Congratulations!

But before you know it, all the soothsayers start in: you won’t have enough down payment, what about all the costs of owning property, the hassle of getting things fixed when they break and so on. Pretty soon you don’t know if this is such a good idea. But don’t worry; maybe all you need to be looking at are condominiums.

The best place to start is with a mortgage broker, to determine how much down payment you need based on what you can afford for monthly payments. Not all mortgages are the same these days. Variable interest rates, locked in terms and balloon payments are just a few of the mortgage details you want to go over with your mortgage broker prior to buying a property. And keep in mind that some mortgages even allow you to buy a property with no down payment at all! So shop around, and find the best fit for your needs.

Once you know what you can afford to buy, find a real estate agent who will help you find what you want to buy. Condominiums are a very specialized segment of the real estate market; so find someone who knows this niche inside and out. What are the agent?s credentials, designations and experience in the area? Don?t be afraid to ask questions. Conversions, new construction, bare land condominiums and reserve fund studies are but a few of the considerations you as a new condo owner will be faced with. Your real estate agent can help educate and inform you.

But more than the initial buying details, your agent will also be able to match up your unique lifestyle requirements with the right condominium building. Do you want exercise facilities, pool, green space, big windows, extra storage, underground parking, and car wash, close proximity to amenities and transportation, concierge service? An informed agent can guide you through these and other items that will make your condo living experience all that you want it to be.

And what about all those hidden costs of owning property? Fixing fences, roofs, exterior painting, cleaning the parkade? With condominium ownership your monthly condo fee will cover most of these types of expenses. So you don’t have to worry about co-coordinating people to get the work done and take time off work to meet them. Of course, this will free up more of your time to check out the new martini bar or coffee house that opened up down the street!

Richard Bergeron is a licensed real estate agent with RE/MAX Professionals. He has been specializing in condominiums for more than 20 years, is a member of the Canadian Condominium Institute, teaches condominium courses, is the board president (4 years running) of a condominium building in Killarney and owns several investment condos. If you would like any additional information regarding your condominium real estate needs please feel free to contact Richard at 403-259-4141.

Condominium living is all about the Lifestyle! You hear it all the time, but what does it mean? With the rising cost of everything these days, for a lot of people the “lifestyle” for them is all about affordability. The inner city of Calgary offers a diverse array of amenities that appeal to all demographics of people all looking for ways to maximize their lifestyle.

How does condominium ownership fulfill the affordability need? The most obvious is the initial purchase price of a condominium verses a single-family home. In Calgary for the first quarter of 2005 the average price for a condominium was only 65% of the cost of a single family home ($276,776 for single family homes verses $180,984 for condominiums). But don’t let the average condo price scare you as there are many condo’s on the market that you can own for less than renting, as the mortgage payment is less than a rental payment! Combine lower condo prices with low interest rates and it is very affordable to own a condo in Calgary’s vibrant market place today. You can also look at a longer mortgage term to ensure your monthly budget will be protected longer when rates go up (which the experts are saying they eventually will). Also make sure that when you are looking at the perfect affordable condo that you take into consideration the monthly condo fee for the unit, otherwise your monthly budget could be thrown out!

Another benefit to owning an affordable condo is if the building you buy in has fitness and recreation facilities. You may even cancel that gym membership if you live in one of the numerous condominiums that offer exercise and workout facilities, whirlpool sauna, a pool or even a running track. These benefits are included in your condo fee, so why pay for an extra gym membership? You can save that monthly gym membership expense and keep your overhead low while staying in shape!

For many inner city condominium owners a huge perk on the affordability front is the ability to live and still enjoy life without needing to use a car (yes, it is possible!). Many inner city residents live within easy walking distance of work, friends, recreation facilities, the grocery store, coffee shops, restaurants and outdoor leisure space. You, too, could say goodbye to your monthly car payment, insurance, gas and regular maintenance, plus the cost of a parking stall downtown for work! Depending on what kind of car or SUV you drive, this can amount to as much as rent! The inner city is a diverse and eclectic area waiting to be explored on foot, bike or even roller blades!

Another consideration to look at when buying an affordable condominium is to look at a unit with an extra bedroom over and above your own needs. For a marginally small increase in the purchase price, you can look at subsidizing your monthly overhead by taking on a room mate. Why not have someone else help pay that mortgage payment, or pay off your mortgage faster than you expected? Plus, when it comes time to sell, your extra bedroom condo may have appreciated more, giving you additional buying power for your next home.

The face of the real estate market place in Calgary is once again changing. Just when it seems there couldn’t be any more real estate rules to be broken, a new twist has been thrown into the mix. Auctioned real estate has come to Calgary!

You may have read that a home in NE Calgary sold recently through an auctioning process. In other parts of the world auctioned real estate is common due to the lack of a successful MLS system. In the past auctioning real estate in Alberta has been mostly limited to estate sales. An auctioning mentality is not new to Calgarians.

Many resale properties marketed through the MLS system are currently being sold under a multiple offer situation, where all the buyers know that all competing offers will be presented to the seller at the same time. This heightens the excitement around the offer process and buyers get caught up in the energy of the unknown. What will it take in terms of price to “win” this property? In order for their “bid” to win out, buyers need to know the maximum they will pay for a property to win out in the bidding process. This process is very similar to that experienced at an auction.

As the supply of resale residential property in Calgary continues to remain low, buyers will continue to compete for new inventory. So the benefits to the seller in the auctioning format may initially appear obvious: they are guaranteed the best price for their property.

Is this really the case? The seller is vulnerable by only exposing their property to a fewer number of prospective buyers than if the property was marketed on the proven MLS system. Especially today Calgary is experiencing a real estate frenzy where by there are 1,000’s of prospective buyers working diligently with real estate professionals through the highly acclaimed MLS system. By not taking advantage of the proven MLS system using an experienced and reputable real estate professional the selling price may in actual fact be limited.

What is outrageous is the seller without realizing it may be leaving money on the table! Another drawback for the seller is the lack of information regarding the perspective buyer who places the highest bid. Using an auctioning process anyone can bid on the property. For Sale By Owner in this situation does not have the backup of a real estate professional representing the buyer to make sure that the deal closes without incident.. A buyer working with a Realtor is more likely to have been guided through the qualifying and pre-approval process for purchasing a property, thereby minimizing the possibility of a sale collapsing through due to the buyer not qualifying for a mortgage.

It appears Calgary will be seeing more auctioning of real estate before long. People love to try new things! But keep in mind, a new format doesn’t automatically mean more money for your property. Auctioning your valuable property may in fact mean less!