Oil Companies

Canadian oil companies are downsizing their activites due to sharp fall in oil prices; although Alberta goverement waived oil royality. The major oil company, Petro -Canada is going to cut 36% cut in his spending in the cming year 2009. It has shutdown its offshore projects for maintenance.

Encana is also thinking to adjust his budget 2009 according to the response of economy. It will increase his spending, if recession eases otherwise vica versa. I think said activites of oil companies will adversely effect the whole economy because Edmonton's economy is based on oil field. if this time Goverment spend on nfrastructure buiding projects- roads, bridges, recreation cenres, etc. It will create jobs in the economy. Also, cost of construction will be less.

With thanks,

Parvinder