Canada’s oil sands companies like Imperial Oil and Suncor have become North America’s lowest-cost oil producers thanks to giant shovels, driverless trucks, and dog-like robots. Despite a downturn in the global oil industry, Canada’s oil sands industry remains strong, with new technology and cost-cutting efforts making them among the cheapest producers.

International oil majors sold their Canadian oil sands interests post-2014-15 crash due to high costs. However, new technology and cost-cutting measures have made oil sands among the cheapest producers, with Canadian companies maintaining production and spending plans even as U.S. shale companies cut back.

Canadian oil sands companies like Imperial and Suncor have embraced autonomous mining vehicles and robots for routine maintenance, improving productivity and lowering costs. Efforts to standardize maintenance practices and manage site water have contributed to production increases and cost reductions, with break-even prices now as low as $40.85.

Oil sands production is akin to mining, with high initial costs but long lifespans. Canadian Natural Resources, for example, has reserves for 43 years. In contrast, shale oil wells have lower start-up costs but decline quickly. Canadian oil sands companies have paid down debt, making them increasingly attractive for investors.

Canadian oil sands companies have paid down almost C$22 billion in debt since 2021, reallocating profits to reward shareholders. As returns grow, Canadian oil sands producers are seen as attractive investments due to their stability, productivity, and low costs. Shares of companies like Canadian Natural Resources and Cenovus are gaining interest among investors.

Read more at Yahoo Finance: How Canada’s oil sands transformed into one of North America’s lowest-cost plays