The explosion of oil and gas production flooding North America, caused by the surge in unconventional drilling, is quickly utilizing the takeaway capacity. In Suncor’s recent investor presentation, Steve Douglas, the company’s VP, stated that in under two years, the supply of western Canadian oil and bitumen will start to outpace the pipeline capacity at an increasing rate. While this bottleneck can cause headaches for the production companies, it opens the door wider for the number of midstream’s looking to lock in long-term volumetric contracts. Check out the video below for more information.
Pipeline companies not only have tollbooth style of save revenue generation, they all pay some of the highest dividends around. If you're interested in high paying dividends, as well as high-yielding stocks, The Motley Fool has compiled a special free report for you, outlining our nine top dependable dividend-paying stocks. It's called "Secure Your Future With 9 Rock-Solid Dividend Stocks." You can access your complimentary copy today at no cost! Just click here to discover the winners we've picked.
Austin Smith has no positions in the stocks mentioned above. Joel South has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Motley Fool newsletter services recommend Enterprise Products Partners L.P., Kinder Morgan, and TransCanada. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.