Canada Burger Chain A&w Taps Demand For Hormone-free Beef
“We’ve seen hamburger chains in the past like Hardee’s and Jack In The Box realizing, ‘we can’t compete with McDonald’s and Burger King on this low-quality, cheap food – we’ve got to take it up a notch.'” Growth promotants help ranchers and feedlots raise more beef using less feed. The company has worked on its plan for 18 months, lining up suppliers in Canada, the United States and Australia. Senecal said A&W’s beef costs will climb, but it has no plans to raise burger prices. “I think we’ll get lots more customers and sell lots more burgers,” she said. But West said A&W will have to raise prices at some point to reflect its higher costs unless it’s willing to absorb a slimmer margin, which is unlikely. Canada is the world’s 11th biggest beef producer, according to U.S. Department of Agriculture data. The Canadian Cattlemen’s Association says all Canadian beef is “safe, wholesome and nutritious.” In a statement, it said Canadian ranchers have used growth promotants for more than four decades, and the products are approved by the country’s health department. “Science shows that the amount of hormone in a serving of meat from a treated animal is virtually indistinguishable from the amount of hormone in an untreated animal,” said CCA spokeswoman Gina Teel. The decision is aimed to satisfy a consumer preference, and A&W makes no claims that beef without added hormones or steroids is more healthy or nutritious, Senecal said. Meat processors have also been examining how cattle are raised.
In Canada’s north Atlantic, new oil frontier shows life beyond shale
Statoil said it may not be able to return to the region to drill more wells until 2015 because of rig availability; as rival drillers move in, it will be harder to get hold of the labor and winterized rigs essential to operate in the North Atlantic. “A discovery like this, which is the biggest in the world since 2010, will raise some attention. We are a little bit ahead of the game but expect increased competition,” said Geir Richardson, vice president of Statoil Canada Exploration. The state-owned Norwegian company is developing the field in a joint venture with Canadian partner Husky Energy Inc, which owns 35 percent of the field. U.S. oil based Chevron is already drilling its third exploration well in the Orphan basin, roughly 50 km northeast of the Flemish Pass, although a company spokesman said Chevron plans to keep the results confidential. Royal Dutch Shell, meanwhile, spent has C$970 ($940) million acquiring exploration rights on four parcels of land off the southwest shore of the province of Nova Scotia. The company shot three-dimensional azimuth seismic in the area over the summer, the first time such technology had been used in Canada, a Shell spokesman said. Newfoundland and Labrador’s Department of Natural Resources said geoscience data indicates a further 6 billion barrels of potential oil reserves remain undiscovered, in addition to the 3 billion barrels already found in the province’s waters, while the government of Nova Scotia said it has 8 billion barrels of oil potential offshore. Typically oil fields are only able to pump a third or less of total reserves. While that may appear paltry to Alberta’s vast oil sands, where output is expected to hit 5.2 million barrels a day by 2030, it also offers some advantages: Offshore production neatly sidesteps the issue of congested pipelines in landlocked Alberta that have driven down the price of oil sands crude, and provides easy access to markets in Europe and India. “It’s an escape hatch for companies producing in Canada,” Gheit added. ICEBERG ALLEY It isn’t without challenges, however, primarily rig availability and harsh environmental conditions. The Jeanne d’Arc basin is in “Iceberg Alley”, an area described on Statoil’s website as being characterized by sub-zero temperatures, severe sea states, intensive seasonal fog, pack ice and enormous icebergs.