BOE Report

OPEC lowers forecast for Canadian crude production in latest report

CALGARY - The Organization of Oil Exporting Countries is expecting production to grow more slowly than previously expected from countries outside the cartel, including Canada.In its monthly oil market report, the group says non-OPEC supply is expected to grow by 850,000 barrels per day in 2015, but that's 420,000 barrels per day lower than it forecast in its previous report.In Canada, oil output is expected to average 4.35 million barrels a day, which is 20,000 barrels lower than OPEC's earlier [Read more]

Ottawa, industry celebrate as oilsands victory in EU made official

CALGARY - Oilsands crude can now be sent to Europe without a "dirty oil" label, but that doesn't necessarily mean a parade of bitumen-filled tankers will be crossing the Atlantic any time soon.In December, oilsands exporters won a narrow victory in the European Parliament over its fuel quality directive. On Friday, it became official.The original version of the directive singled out oilsands crude as more carbon intensive, but the revised one voted on in December didn't include that stigma. As [Read more]

Feds need to work out common energy strategy with provinces, LNG proponent says

OTTAWA - It is long past time the federal government worked out a national energy strategy with the provinces, says the president of a proposed liquefied natural gas export terminal in Nova Scotia.Alfred Sorensen, the president and CEO of Pieridae Energy Ltd., said the country's complicated federal system is the biggest barrier he sees to attracting foreign buyers and investors.Pieridae Energy is proposing to build an LNG export terminal in Goldboro, N.S., and in 2013 signed a 20-year deal to [Read more]

Suncor sees construction costs coming down in the oilsands as activity slows

CALGARY - Costs are coming down and high-quality workers are easier to come by in Alberta's oilsands as actvity slows in response to lower world oil prices, the CEO of Suncor Energy Inc. said Thursday.The Calgary-based oilsands producer is pressing ahead with its $13.5-billion Fort Hills oilsands mine, in partnership with the Canadian arm of France's Total and Vancouver miner Teck Resources.First oil is expected in 2017, eventually ramping up to 180,000 barrels per day.The region is seeing some [Read more]

TransCanada CEO says EPA’s call for further Keystone XL review a delay tactic

TORONTO - TransCanada's chief executive says suggestions that the environmental impacts of the Keystone XL pipeline be revisited in light of lower crude prices are merely a tactic to delay the project.Russ Girling says global demand for oil will continue to grow over the coming years, and that volatile crude prices do not mitigate the need for pipelines to transport that oil."At $50 a barrel, the oilsands are still going to get developed anyway," Girling told reporters following his speech at [Read more]

Alberta oilfield services firm Newalta laying off 180 staff to reduce costs

CALGARY - Another Alberta-based company with ties to the oilpatch is laying off staff.Newalta Corporation (TSX:NAL) says it is cutting 180 people from its workforce to reduce costs and improve margins.The Calgary firm says the cuts amount to 15 per cent of its staff.Newalta calls itself North America's leading provider of engineered environmental solutions that enable customers to reduce disposal, enhance recycling and recover valuable resources from oil and gas exploration and production [Read more]

Alberta premier nixes corporate tax hikes to fill budget hole left by low oil

EDMONTON - Premier Jim Prentice says he won't hike corporate taxes to help rescue Alberta's economy from the deep hole created by plunging oil prices."When it comes to corporate tax, other Canadian provinces have caught up to the Alberta Advantage, and I think it would be unwise at this point to increase our corporate income tax," Prentice told reporters Tuesday in a conference call from Washington, D.C."It will simply result in less investment, fewer jobs, and it will contribute to a decline in [Read more]

Oil rises another 3 per cent as BP cuts spending, adding to signs of production cuts

NEW YORK - Oil soared again Tuesday as the low prices of the past few months force oil companies to slow down production in the U.S. and elsewhere.In the morning, BP became the latest major oil company to announce it will cut exploration spending this year. Oil seemed to get a further boost in the afternoon from a run-up in the U.S. stock market.U.S. oil rose $3.48, or 7 per cent, to $53.05 a barrel, its highest closing price this year. Brent crude, a benchmark for many international oils [Read more]

In Fort McMurray, contractors bearing the brunt of oilsands cutbacks

FORT MCMURRAY, Alta. - Roman Skowroniski would go back home to British Columbia if he thought the job prospects there were any brighter.But, for the time being, the heavy equipment operator will keep trying to make a go of it in Fort Mac."Right now the economy's very, very slow," he said. "The situation has started to get from bad to worse."Most of the time, Skowroniski is able to land short-term jobs through his union, but he's had little success lately."Our job board — it's equal to zero right [Read more]

Wall says Saskatchewan faces up to an $800 million shortfall due to oil prices

SASKATOON - Premier Brad Wall is warning the world oil price slump means the Saskatchewan government will face a budget shortfall of between $600 to $800 million this year.Wall told Saskatchewan Urban Municipalities Association delegates Monday that the shortfall amounts to about seven per cent of the province's revenue.He says that means spending cuts are likely, because he says his government wants to keep taxes low and not run a deficit.In its last budget update in November the province was [Read more]