Hot Net Payout Yield Stocks To Watch For 2015

Hot Net Payout Yield Stocks To Watch For 2015: Husky Energy Inc (HUSKF.PK)

Husky Energy Inc. (Husky), incorporated on June 21, 2000, is an international integrated energy company. The Company operates in two segments: Upstream and Downstream. Upstream includes exploration for, development and production of crude oil, bitumen, natural gas and natural gas liquids and other producers crude oil, natural gas, natural gas liquids, sulphur and petroleum coke, pipeline transportation and processing of heavy crude oil and natural gas, storage of crude oil, diluents and natural gas and cogeneration of electrical and thermal energy (infrastructure and marketing). Downstream includes upgrading of heavy crude oil feedstock into synthetic crude oil (upgrading), refining in Canada of crude oil and marketing of refined petroleum products, including gasoline, diesel, ethanol blended fuels, asphalt and ancillary products, and production of ethanol (Canadian refined products) and refining in the United States of crude oil to produce and market gasoline, jet fuel and diesel fuels that meet United States clean fuels standards (United States refining and marketing).

During the year ended December 31, 2012, the Company had 512 retail locations in its light refined products operations, which consisted of 361 owned or leased locations (husky controlled) and 151 independent retailer locations. The Company is continually monitoring the owned and leased locations for environmental protection or to address regulatory compliance requirements, such as reporting

Upstream Operations

Huskys portfolio of Upstream assets includes properties with reserves of light crude oil (30掳 API and lighter), medium crude oil (between 20掳 and 30掳 API), heavy crude oil (liquid between 20掳 API and 10掳 API), bitumen (solid or semi-solid with a viscosity greater than 10,000 centipoise at original temperature in the deposit and atmospheric pressure), NGL, natural gas and sulphur. The Wenchang f! ield is located in the we stern Pearl River Mouth Basin, approximately 400 kilometers ! south of Hong Kong and 100 kilometers east of Hainan Island. The Wenchang 13-1 and 13-2 oil fields are producing from 32 wells in 100 meters of water into an FPSO vessel stationed between fixed platforms located in each of the two fields. In December 2012, Husky signed a joint venture contract with CPC Corporation, Taiwan for an exploration block in the South China Sea. The exploration block is located 100 kilometers southwest of the island of Taiwan and covers approximately 10,300 square kilometers.

Husky has a 40% interest in approximately 621,700 acres (2,516 square kilometers) of the Madura Strait block, located offshore East Java, south of Madura Island, Indonesia. Huskys two partners are CNOOC which is the operator and has a 40% working interest, and Samudra Energy Ltd., which holds the remaining 20% interest through its affiliate, SMS Development Ltd. Huskys offshore East Coast Canada exploration and development program is focused on the Jeanne d Arc Basin on the Grand Banks, which contains the Hibernia and Terra Nova fields, as well as the White Rose field and satellite extensions including the North Amethyst, West White Rose and the South White Rose extensions. The White Rose oil field is located 354 kilometers off the coast of Newfoundland and Labrador and approximately 48 kilometers east of the Hibernia oil field on the eastern section of the Jeanne dArc Basin. Husky is the operator of the White Rose field and satellite tiebacks, including the North Amethyst, West White Rose and South White Rose extensions. The Terra Nova oil field is located approximately 350 kilometers southeast of St. Johns, Newfoundland and Labrador. The Terra Nova oil field is divided into three distinct areas, known as the Graben, the East Flank and the Far East. As of January 16, 2013, Husky held a working interest in 17 Exploration Licences (ELs) offshore Newfoundland, Labrador and Greenland. Husky is the operator o! f 13 of t! hese ELs and has working interests ranging from 35% to 100%.

Hus! ky is the operator of two ELs offshore the west coast of Disko Island, Greenland. Tucker is an in-situ SAGD oil sands project located 30 kilometers northwest of Cold Lake, Alberta. Husky holds in excess of 550,000 acres in undeveloped oil sands leases and has a 100% working interest in all leases except in Athabasca South in which it has a 50% working interest. Huskys heavy oil assets are primarily concentrated in a large producing region in the Lloydminster, Alberta/Saskatchewan area. The Company maintains a land position of approximately two million gross acres within this area. Over 90% of Huskys proved reserves in the region are contained in the heavy crude oil producing areas of Pikes Peak, Edam, Tangleflags, Celtic, Bolney, Paradise Hill, Westhazel, Big Gully, Mervin, Marwayne, Lashburn, Gully Lake, Vermilion, Swimming, Morgan, Lindbergh, Aberfeldy, Marsden, Epping, Furness and Rush Lake, and in the medium gravity crude oil producing fields of Wildmere and Wainwr ight. As of December 31, 2012, the Company produces from oil and gas wells ranging in depth from 450 meters to 650 meters and holds a 100% working interest in the majority of these wells. In the Lloydminster area, the Company owns and operates 21 oil treating facilities which are tied into the Husky heavy oil pipeline systems. Husky operates 67 facilities in the area. Husky is the operator of a number of properties in southern Alberta and southern Saskatchewan. The Foothills Northwest Plains area is located in western and northern Alberta and British Columbia. The area is made up of five distinct districts: Rainbow Lake, Northern Alberta, Northern Alberta & British Columbia Plains, Ansell-Galloway and Foothills.

Husky provides heavy crude oil feedstock to its Upgrader and its asphalt refinery, which are located at Lloydminster, Alberta/Saskatchewan. The combined dry crude feedstock requirements of the Upgrader and asphalt refinery are approx! imately e! qual to Husk ys heavy crude oil production from the Lloydminster area.! Husky al! so purchases third party volumes. Husky markets heavy crude oil production directly to refiners located in the mid-west and eastern United States and Canada. Husky markets its light and synthetic crude oil production to third-party refiners in Canada, the United States and Asia in addition to Huskys Lima Refinery. NGL are sold to local petrochemical end users, retail and wholesale distributors and refiners in North America.

The Company holds a 50% interest in a 90 megawatts natural gas fired cogeneration facility adjacent to Huskys Rainbow Lake processing plant. The cogeneration facility produces electricity for the Power Pool of Alberta and thermal energy (steam) for the Rainbow Lake processing plant. It provides power directly to the Power Pool of Alberta under an agreement with the Alberta Electric System Operator to provide additional electricity generating capacity and system stability for northwestern Alberta. The Company also operates and has a 50% interest in a natural gas storage facility at East Cantuar near Swift Current, Saskatchewan.

Downstream Operations

The Lima Refinery, located in Ohio between Toledo and Dayton, has an atmospheric crude throughput capacity of 160 thousand of barrels/day. The refinery produces gasoline, gasoline blend stocks, diesel, jet fuel, petrochemical feedstock and other by-products. The feedstock is received via the Mid-Valley and Marathon Pipelines and the refined products are transported via the Buckeye and Inland pipeline systems and by rail car to primary markets in Ohio, Illinois, Indiana and southern Michigan. During 2012, crude oil feedstock throughput at the Lima Refinery averaged 150 thousand of barrels/day. Production of gasoline averaged 77 thousand of barrels/day, total distillates averaged 56 thousand of barrels/day and total butanes averaged 17 thousand of barrels/day. The BP-Husky Toledo Refinery, in which Husky holds a 50% interes! t, has an! atmospheric crude throughput capacity of 160 thousand of barrels/day. Pr! oducts in! clude low sulphur gasoline, ultra low sulphur diesel, aviation fuels, propane, kerosene and asphalt. The refinery is located in one of the highest energy consumption regions in the United States. Husky owns and operates the Husky Lloydminster Upgrader, a heavy oil upgrading facility located in Lloydminster, Saskatchewan. The Upgrader is designed to process blended heavy crude oil feedstock into high quality, low sulphur synthetic crude oil. Production at the Upgrader averaged 61 thousand of barrels/day of synthetic crude oil, 13 thousand of barrels/day of diluent and 4 thousand of barrels/day of low sulphur diesel in 2012.

Huskys Canadian Refined Products operations include refining of light crude oil, manufacturing of fuel and fuel grade ethanol, manufacturing of asphalt products from heavy crude oil and acquisition by purchase and exchange of refined petroleum products. Huskys retail distribution network includes the wholesale, commercial and retail mar keting of refined petroleum products and provides a platform for non-fuel related convenience product businesses. Huskys Pounder Emulsions division has a market share in Western Canada for road application emulsion products. Additional non-asphalt based road maintenance products are also marketed and distributed through Pounder Emulsions. Huskys asphalt distribution network consists of emulsion plants and asphalt terminals located at Kamloops, British Columbia, Edmonton and Lethbridge, Alberta, Yorkton, Saskatchewan and Winnipeg, Manitoba and three emulsion plants located at Watson Lake, Yukon and Lloydminster and Saskatoon, Saskatchewan. Huskys ethanol production supports its ethanol-blended gasoline marketing program. When added to gasoline, ethanol promotes more complete fuel combustion, prevents fuel line freezing and reduces carbon monoxide emissions, ozone precursors and net emissions of greenhouse gases.

Advisors' Opinion:

• ! [By C! aiman Valores]

  But as highlighted earlier Whitecap's Canadian light sweet crude is not as heavily discounted as Canadian heavy oil or bitumen. This does not leave it exposed to the same price risks and volatility as those companies that have a significant portion of their production made up by Canadian heavy oil and Bitumen, such as Husky Energy (HUSKF.PK), Suncor (SU), Imperial Oil (IMO) and Canadian Natural Resources (CNQ).

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/hot-net-payout-yield-stocks-to-watch-for-2015-3.html