CAPP forecast shows more drilling activity, highlights lack of pipelines

15 Juin, 2018, 04:57 | Auteur: Therese Cote
  • The Suncor oil sands facility seen from a helicopter near Fort McMurray Alta. Tuesday

Now 99 percent of Canada's oil exports, or about 3.4 million barrels per day, are sold to the United States at a discount, and access to the Pacific coast is seen as key to diversifying the world's sixth largest oil producer's energy exports.

With President Donald Trump roiling the American relationship with its neighbor to the north, the Canadian oil industry's biggest trade group is floating ideas for reducing its dependence on the U.S.

An oil pump jack pumps oil in a field near Calgary, Alberta, Canada July 21, 2014.

CAPP said Canada is losing its competitive edge, suggesting more efficient regulation in the United States is partly responsible for energy capital spending there rising by 38 per cent to $120 billion in 2017 while investment in Canada fell to $45 billion. "By removing regulatory barriers and increasing pipeline capacity, we can clear the path for a healthy energy sector and be successful once again".

"We are down substantially from what we were predicting in 2014 and that very much mirrors the capital investment that we've seen both globally and in Canada, as well as we face some significant headwinds on market access and general competitiveness".

Canada's daily oil production of 4.2 million barrels past year is expected to climb to 5.0 million barrels in 2020 and 5.6 million barrels in 2035, the CAPP estimates.

The Houston Open to move to the fall
The move to the fall paves the way for Minnesota to take Houston's spot in the main portion of the schedule next summer. Still to be determined is the schedule between the PGA Championship in May through the British Open in July.

Elderly UK couple die in County Limerick crash
A man aged in his 80s and a woman who was in her 70s died after their British-registered vehicle collided with a lorry. It happened in County Limerick, on the N24 Limerick to Tipperary road, shortly before 11:00 local time on Wednesday.

Trump declares an end to the North Korean nuclear threat
The president can not be accused of going too far out on a limb here, however: The sanctions against North Korea remain in force. Pompeo agreed, saying "We've seen power when China and the USA work together and don't treat the relationship as a zero sum".

A year ago, CAPP forecast Canadian oil production would climb by 33 per cent to 5.12 million barrels per day by 2030. Currently, all but one of Canada's oil pipelines run to the US, and gaining the ability to ship crude off the northern Pacific coast to Asia is "crucially important", McMillan said during an on-stage interview at an industry conference on Tuesday.

Western Canada accounts for about 95 per cent of the country's total production, with conventional oil - including pentanes and condensates - representing more than one million bpd of the region's total. The oilsands is expected to grow to 3.82 million bbls/d in 2030, which is up from last year's forecast of 3.67 million bbls/d, and the 2017 actual rate of 2.65 million bbls/d. The greatest potential for growth will be in the liquids-rich Montney and Duvernay formations, which are expected to contribute about 500,000 bpd of pentanes and condensates by 2026. "Production could be higher than forecast with improved economics".

In Eastern Canada, oil production will rise to 290,000 bpd by 2025 from major offshore projects including Hebron, Hibernia, Terra Nova, and White Rose.

Oil shipments, which include diluent to blend with bitumen, are already exceeding pipeline capacity, CAPP said.

By comparison, capital spending in the USA rose 38 per cent to $120 billion in 2017.

Conseillé:



Populaire

Terrifying moment Qantas flight sent into 'nosedive' by turbulence
Wake turbulence is described as the vortices generated by the plane's wings as it flies through the air. Qantas Flight 94 departed from Los Angeles International Airport on Sunday at 11:29 p.m.

Federal Bureau of Investigation agent’s text to lover: ‘We’ll stop’ Trump from becoming president
The FBI can not lawfully make that determination, even if the FBI Agent, in this case Comey, was previously a DOJ prosecutor. The inspector general says he did not follow regulations.

Target apologizes, pulls 'Baby Daddy' Father's Day cards from stores
Customers took to social media to let the chain know that it isn't a term of endearment to call someone a "Baby Daddy". The retail giant released a statement, saying: "We appreciate the feedback and apologize.

Apple outlaws on-device cryptocurrency mining from its App Store
The presented content may include the personal opinion of the author and is subject to market condition. Cryptocurrency mining itself basically involves setting a computer the task of solving equations.

Appel à la mobilisation pour la journée mondiale des donneurs de sang
La précédente journée du 14 juin avait permis d'accueillir près de 6.600 nouveaux donneurs. Polytraumatisés, grands brûlés, hémophiles, enfants immunodéprimés...

Elon Musk, Boring Company to negotiate with Chicago for Loop train system
Each battery-powered electric skate has been based on the Tesla Model X, and will be mechanically confined to a concrete track. Elon Musk arrives to speak at Boring Company community meeting in Bel Air, Los Angeles, California, U.S.

How Sophia Bush was 'talked into' marrying Chad Michael Murray
Allegations of impropriety on the set of One Tree Hill first emerged previous year , and now Sophia Bush has gone public with her own details about what she experienced on set.

A 16 ans, Geubbels va filer à Monaco contre 20M — Lyon
Monaco devrait lâcher entre 18 et 20 millions d'Euros, ainsi qu'un pourcentage à la revente , selon différentes sources. En cause, le manque de visibilité sur le projet sportif à court et moyen terme.

Conor McGregor due back court after Barclays backstage brawl
This marks the third time in three weeks that talk of a meeting between McGregor (21-3 MMA, 9-1 UFC ) and White has come up. UFC overlord Dana white indicated he has no inside information on Thursday's happenings and will be waiting on tenterhooks.

Tennis. Un titre en double pour ne pas rester quitte…
Et vendredi, il se sont offert les champions de Roland-Garros 2016, les Espagnols Feliciano Lopez et Marc Lopez. Mais leurs adversaires prolongeaient le plaisir en forçant Mahut et Herbert à disputer un jeu décisif.