Rick Rule on natural resources
from Boom Bust RT Erin sits down with Rick Rule – CEO of Sprott US Holdings – to discuss natural resources and oil. Royal Bank of Canada has indicated that 35% of 2014 oil production in major and mid-sized upstream oil companies is hedged with an average price of $95.50 a barrel as of November. But only 14% is hedged for 2015. Rick tells us whether earnings in the upstream oil sector can hold up with these hedges in place. He also weighs in on where buying opportunities in the natural resources space outside of oil lie and gives us a view on what’s happening with Canadian and Russian assets. Rick also tells us what happens to capital investment in the energy sector when oil prices are this low and gives us his take on Qatar’s refusal to cut oil production, even at $40 a barrel.