"The rise in value of the Canadian dollar "is an energy story," said Busch. With crude oil futures trading at more than $83 U.S., investment capital is pouring north to help extract oil from so-called tar sands, also known as oil sands, in the province of Alberta.
"The average cost to produce a barrel from tar sands is $40 to $45," Busch said. The current world oil price "puts oil development from tar sands on steroids."
Go crazy: Dollar sinks below loonie
Bill Barnhart | Market report
September 21, 2007