Canadian heavy and synthetic crude oil differentials weakened versus U.S. benchmark futures on Tuesday as market players waited for news on whether the Alberta government will adjust oil production curtailments. Western Canada Select (WCS) heavy blend crude for June delivery in Hardisty, Alberta, last traded at $14.20 per barrel below West Texas Intermediate (WTI) oil, according to Net Energy Exchange. On Monday, WCS settled at $13.85 a barrel below WTI crude futures. The heavy crude [Read more]
Woodfibre targets 2023 start of British Columbia LNG export plant
Woodfibre LNG Ltd said Tuesday it plans to move forward with construction of its proposed C$1.4-C$1.8 billion liquefied natural gas export terminal in British Columbia later this year with the facility expected to be operational by 2023: That could make the Woodfibre plant the first LNG export facility in Canada. There are 18 LNG export projects under development in Canada, including Woodfibre, according to government data from Natural Resources Canada. Royal Dutch Shell Plc , meanwhile, [Read more]
Cash-rich Canadian oil firms favour buybacks as other options narrow
CALGARY, Alberta/WINNIPEG, Manitoba, May 14 (Reuters) - Canadian oil producers are raking in the highest revenues in five years thanks to strong global oil prices and Alberta's production cuts, but government intervention has hamstrung their spending abilities, encouraging many to buy back shares and pay down debt. Canada's main crude-producing province effectively became a mini-OPEC this year after the Alberta government imposed production quotas to relieve pipeline congestion and drain a [Read more]
China’s ramping up of tariffs on U.S. LNG means nothing, everything: Russell
China's decision to hike import duties on U.S. liquefied natural gas (LNG) is a move that means very little for the market in the short term, but it has the potential to deliver outsized consequences the longer the levies remain in place. As part of its latest round of retaliatory tariffs on U.S. imports, Beijing increased the duty on LNG shipments from 10 percent to 25 percent. This will make it even more uneconomic for Chinese buyers to purchase LNG cargoes from the United States. The 10 [Read more]
Oilfield services firm Weatherford to file for Chapter 11 bankruptcy
(Reuters) - Oilfield services provider Weatherford International Plc, burdened by a heavy debt load and years of losses, said on Friday it would file for Chapter 11 bankruptcy protection. The company, which at its peak was valued at more than $50 billion, never recovered from the 2014 oil price collapse. Efforts under Chief Executive Officer Mark McCollum to quickly sell assets and pare debt struggled. Weatherford expects to reduce its long-term debt by more than $5.8 billion, through the [Read more]
U.S. oil drillers cut rigs for third week in four
U.S. energy firms this week reduced the number of oil rigs operating for the third time in four weeks even as crude production forecasts increase despite some drillers cutting spending.Drillers cut two oil rigs in the week to May 10, bringing the total count down to 805, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday.That put the U.S. rig count, an early indicator of future output, below the 844 drilling a year ago.The rig count has declined [Read more]
Enbridge seeking at least 8-year oil shipping commitments on Canada Mainline, worrying small producers
(Adds quotes, details on Mainline)By Rod Nickel and Nia WilliamsWINNIPEG, Manitoba/CALGARY, Alberta, May 7 (Reuters) - C anada's Enbridge is asking oil shippers to sign at least eight-year contracts to move crude on its Mainline pipeline network, as it proposes to shift away from a monthly allocation system, people with knowledge of the matter told Reuters.The minimum term Enbridge Inc is seeking, previously unreported, is raising fears among small Canadian producers that they will lose [Read more]
Enbridge seeking at least 8-year oil shipping commitments on Canada Mainline, worrying small producers
WINNIPEG, Manitoba/CALGARY, Alberta, May 7 (Reuters) - Enbridge is asking oil shippers to sign at least eight-year contracts to move crude on its Mainline pipeline network, as it proposes to shift away from a monthly allocation system, people with knowledge of the matter told Reuters. The minimum term Enbridge Inc is seeking, previously unreported, is raising fears among small Canadian producers that they will lose out to bigger players, at a time when pipeline congestion has damaged the [Read more]
Western Canadian oil inventories hit record high despite curtailments
Western Canadian crude oil storage inventories hit a record high of 37.1 million barrels in April, according to data from energy information provider Genscape, as Alberta government production cuts failed to reduce a glut of oil in the province.Genscape said the build in inventories was due to lower pipeline flows out of Canada's main crude-producing province, while crude-by-rail shipments remain below the high levels they hit late last year.Alberta imposed temporary oil production [Read more]
Oregon denies water permit for Pembina’s Jordan Cove LNG export terminal
Oregon environmental regulators denied water quality certification for Canadian energy company Pembina Pipeline Corp's proposed $10 billion Jordan Cove liquefied natural gas (LNG) export terminal The Oregon Department of Environmental Quality (DEQ) said on Monday its decision was made "without prejudice," meaning Pembina may reapply for certification and submit additional information that could result in a different decision. Pembina said on Tuesday its management team was "working to [Read more]