The discount on Western Canada Select crude oil to North American benchmark West Texas Intermediate futures widened on Monday.
WCS for June delivery in Hardisty, Alberta, settled at $15.95 a barrel below the U.S. benchmark WTI, according to brokerage CalRock, 15 cents lower than Friday’s close.
* While the discount has narrowed since the start of the month, the differential for heavy Canadian crude remains wider than it was at the beginning of the U.S. war on Iran.
* The WCS differential has been volatile since the start of conflict and the effective closure of the Strait of Hormuz, which has sharply reduced crude exports from the region and left energy importers scrambling for alternative supplies.
* Global oil prices settled almost 3% higher on Monday after U.S. President Donald Trump said the ceasefire with Iran was “on life support,” leaving the Strait of Hormuz largely closed with no clear end in sight to the war.
(Reporting by Georgina McCartney in Houston; Editing by Shailesh Kuber)