Western Canada Select (WCS) crude’s discount to the benchmark West Texas Intermediate (WTI) narrowed on Wednesday, as global oil prices gave up all the gains made this year:
WCS heavy blend crude for January delivery in Hardisty, Alberta, traded between $27.00 and $26.45 a barrel under WTI, according to brokerage CalRock, narrowing from the previous session’s trading range of $28.25 to $27.50 a barrel under the benchmark.
WCS differentials have been narrowing this week as benchmark U.S. crude prices dive. The tighter discount helped limit the fall in the outright price of WCS, which was last around $45 a barrel.
Synthetic crude from the oil sands for January delivery traded between 85 cents and $1.10 a barrel over WTI.
Global oil prices fell to their lowest level this year, forfeiting all of the gains since Russia’s invasion of Ukraine exacerbated the worst global energy supply crisis in decades. (Reporting by Nia Williams; Editing by Subhranshu Sahu)