CALGARY - Economists see more good than bad for Canada's economy as recent tensions in Iraq drive up global crude oil prices. Scotiabank commodity market specialist Patricia Mohr says the increase has a "two-pronged impact," but the benefits should outweigh the drawbacks. "Of course on the positive side, it really bolsters earnings for Western Canada's oil industry, but also the oil industry in Newfoundland and Labrador," she said. That, in turn, brings more tax and royalty revenues to [Read more]

The price of oil fell Tuesday as fears receded that the insurgency roiling Iraq would affect its oil production and exports. Islamic militants have been steadily expanding their grip on the country's north, where they control a broad swath of territory. But the bulk of the country's production and export operations are in the south, which have so far been spared in this month's advance by the al-Qaeda inspired group. Iraq's daily oil production hit 3.5 million barrels this year, up from [Read more]

BAGHDAD - The turmoil in Iraq has thrown the OPEC member's ambitious plans to boost oil production into doubt, threatening to crimp its most vital economic lifeline. Northern oil fields imperiled by the militants' advance have been shut down, and companies have begun evacuating workers elsewhere in the country. Iraq's Kurdish minority has moved to solidify control over the northern oil-rich city of Kirkuk and other disputed areas, weakening Baghdad's claims to the energy riches buried beneath [Read more]

SAINT JOHN, N.B. - A New Brunswick group has launched legal action against the provincial government in an effort to halt shale gas exploration in the province.The New Brunswick Anti-Shale Gas Alliance filed the 18-page statement of claim today with the Court of Queen's Bench in Saint John.The alliance — which includes 22 community organizations — is calling for a moratorium on the development of unconventional shale gas and oil in New Brunswick until scientific studies show it can be done [Read more]