Be prepared for the next great transfer of wealth. Buy physical silver and storable food.
zerohedge.com / by Tyler Durden on 01/25/2016 11:30
Image may be NSFW.
Clik here to view.
As regular readers are no doubt acutely aware, Alberta is in trouble.
The province is at the heart of Canada’s dying oil patch and crude’s inexorable decline has had a devastating economic impact.
30% of provincial revenue is derived from resources and as crude collapsed, so did oil and gas investment. O&G spending plunged by more than a third in 2015 and as provincial authorities wrote in their latest fiscal update, “weakness in the oil and gas sector has spread to other sectors of the economy.”
As the layoffs piled up, so too did the social consequences of the bust. Food bank usage rose, property crime soared, and suicide rates spiked.
The recent rally notwithstanding, the outlook for oil prices is grim. Overnight, Saudi Aramco Chairman Khalid Al-Falih announced his company hasn’t reduced its investment capacity which suggests they’ll be no abrupt about face on the supply side from Riyadh and Iran is set to ramp production by 1,000,000 barrels per day by the end of the year.
In Canada, WCS is sitting just a dollar above the marginal cost of production and Stephen Poloz didn’t do drillers any favors byeschewing a rate cut last week.
The post Bad Loans Pile Up In Alberta, As Oil Bust Weighs On State Lender appeared first on Silver For The People.
Thanks to BrotherJohnF
