Canadian heavy and synthetic crude’s discount to West Texas Intermediate (WTI) tightened on Monday.
Western Canada Select (WCS) heavy blend crude for July delivery in Hardisty, Alberta, last traded at $13.75 per barrel below the WTI benchmark, according to NE2 Canada Inc, narrowing from Friday’s settle of $14.25 a barrel below WTI.
It was the first time heavy crude differentials have traded narrower than $14 a barrel since the start of this month’s trade cycle.
Light synthetic crude from the oil sands for July delivery tightened to $1.80 per barrel below WTI, according to NE2, having settled at $2.05 a barrel below the benchmark on Friday.
Global oil prices pulled back after touching two-year highs on expectations of improved demand and OPEC producers keeping supply curbs in place.