Western Cdn Select Oil Plunge

[errolanderson]

The price of Alberta oilsands bitumen has turned nasty. Western Cdn Select (WCS) oil has collapsed toward $30 per barrel this month. The current Cdn crude price reflects about a $27 per barrel discount to West Texas (WTI) oil. WCS normally trades at a $10 to $20 discount to WTI.

TransCanada pipeline issues plus lack of railcar availability to transport the backed-up surplus for U.S. movement has effectively ruptured Cdn prices through December.

The Conference Board of Canada continues to tout that Alberta will lead Canada's 2018 recovery . . . .

[nicolaas]

price of oil does not matter much in northern bc or alberta. They are going for the montney and duvernay. selling gas and liquids like crazy. Busier than hell. Must not be paying any royalties. Things don't make sense anymore.

[the big wheel]

When is someone going to start talking serious about our lack of efficient infrastructure costing us big time.

[Klause]

When is someone going to start talking serious about our lack of efficient infrastructure costing us big time.

Probably about the time we have rampant hyperinflation and a complete collapse of jobs and economic potential.


I e the next few years. Lol.


Quote from industry report

"Canada’s oil sands output is forecast to climb by 315,000 barrels per day next year and 180,000 bpd in 2019 to 3.2 million bpd, according to RBC Capital Markets, which described the growth as “unprecedented” and said exports will materially exceed pipeline capacity in early 2018."

New pipeline projects are not coming online quickly enough, and Canada's oil and gas industry is feeling the pinch.

[Hamloc]

What is really interesting about this issue is that Rachel Notley is counting on improved royalty revenues to help reduce her massive yearly budget deficits before the next election. Our Premier and many of her caucus have spent years demonstrating against pipelines, the very pipelines needed to reduce the differential between Alberta select and WTI. So what goes around comes around, this lack of oil exporting infrastructure has created this lower price recieved for oil in Alberta and lowered resulting royalties. She contributed to this problem and will reap the rewards or in this case the lack of them.

[Guest]

i wonder how quebec radicals can stop a pipeline that would help alberta oil patch , then turn around force alberta to send the little bit they have left to quebec ???? rachel should tell them to go to hell

[the big wheel]

A smart leader for us or Alberta would keep their mouth shut and work the system so we don't have to pay just as Ontario does.
But instead we have idiots that shoot their mouths off about how bad it is to pay yet do nothing about it because they really don't want to. They wouldn't have a way to rally the dead heads for support.

We had the big boom and had to pay transfer payments meaning we had all this money here and even with all that money we end up broke and then whine about how poor us have to send money away. Hahahaha

[sawfly1]

starting to see more oil moving by rail again , picking up around here.
maybe that is why grain is slow..

that was the problem last time too.

this transportation thing is a joke.

how stupid do our two main parties have to be let this go on for 50 years.

no plan as to how the land locked 1/2 of the country gets their products to market.

conservative's did zero , liberals did worse than zero, by selling off CN.

I do not care what your politics are ,
it should be a national priority.

Why , what is the matter with these people , and those of you that keep voting for
them . to do nothing.

I guess we have the transportation system we voted for.