Canadian heavy crude’s discount to West Texas Intermediate (WTI) narrowed on Tuesday:
Western Canada Select (WCS) heavy blend crude for September delivery in Hardisty, Alberta, settled at $13.30 per barrel below the WTI benchmark, according to NE2 Canada Inc, narrower than Monday’s settlement of $13.55 per barrel below U.S. crude futures.
Expectations that Enbridge Inc’s Line 3 replacement could be in service by October are narrowing differentials, but rising Alberta oil inventories are a concern, a Calgary industry source said.
Global oil prices rose more than 2%, rebounding from recent losses on signs of rising fuel demand in the United States despite a surge in COVID-19 cases.