Oil prices slipped on Monday, after Saudi Arabia and Russia delayed a meeting to discuss output cuts that could partly alleviate oversupply in global markets as the coronavirus pandemic pummels demand. West Texas Intermediate crude fell $1.45, or 5.02%, to $27.36 a barrel, after earlier touching a low of $25.28. Brent crude slipped close to $30 a barrel in early trade and was at $33.45, down $1.39, or 4%. Late last week, prices surged, with U.S. and Brent contracts posting their [Read more]
Headlines
Russia and Saudi ‘very close’ to oil deal, Moscow envoy says
Saudi Arabia and Russia are close to a deal on oil output cuts to reduce a global glut, a top Russian oil negotiator said on Monday, but details such as how to share out production curbs remained unclear ahead of talks planned for later this week. A supply deal between OPEC, Russia and other producers, a group known as OPEC+, that had propped up oil prices for three years collapsed in March, while the coronavirus hammered demand. Riyadh and Moscow blamed each other for the failure and [Read more]
Column: When all this is over, green oil is going to be a thing in Canada
The glee with which some climate-change activists have welcomed the paralyzing pause our economy is now going through is nothing short of unseemly. People say COVID-19 will change everything. No, it will change some things. But once the pause is over, we’re likely to return to basics as we’ve known them, especially in resource politics. Which means that in trying to restore production, Canada’s resource sector will continue to face opposition from activists. Nor of course will COVID-19 change [Read more]
Athabasca Oil to shut down Hangingstone SAGD oilsands project and cut staff
CALGARY - Athabasca Oil Corp. is suspending operations at its Hangingstone SAGD oilsands operation due to the drop in oil prices and the COVID-19 pandemic. The company says it's also reducing its corporate staff by 15 per cent The shutting down of Hangingstone involves shutting in the well pairs and halting steam injection to the reservoir as well as ensuring that the processing facility and pipelines can be re-started in the future. Athabasca says the project has an operating [Read more]
Pembina Pipeline Corporation Announces New Credit Facility, Declares Dividends, Announces First Quarter 2020 Results Conference Call and Webcast and Provides Update on Virtual Annual General Meeting
CALGARY - Pembina Pipeline Corporation ("Pembina" or the "Company") (TSX: PPL; NYSE: PBA) announced today that it has entered into a new $800 million unsecured revolving credit facility. The Company further announced that its Board of Directors has declared a common share cash dividend for April 2020 of $0.21 per share and quarterly dividends for the Company's preferred shares. New Unsecured Revolving Credit Facility Pembina has entered into a new $800 million unsecured revolving credit [Read more]
Trump threatens tariffs on oil imports to “protect” U.S. energy workers
U.S. President Donald Trump said on Saturday he would impose tariffs on crude imports if he has to "protect" U.S. energy workers from the oil price crash that has been exacerbated by a war between Russia and Saudi Arabia over market share. "If I have to do tariffs on oil coming from outside or if I have to do something to protect our ... tens of thousands of energy workers and our great companies that produce all these jobs, I'll do whatever I have to do," Trump told reporters in a briefing [Read more]
Canada weekly rig count down 13 to 41
Canada’s fleet of active drilling rigs shrank from 54 to 41 since last week according to data from Baker Hughes. Total drilling count was 41 at April 3rd. 9 rigs were drilling for oil; 32 for natural gas. The drilling activity in Alberta fell from 46 to 29 since last week. Saskatchewan’s drilling remained at 1 rig. View a full breakdown of Western Canada’s rig activity. [Read more]
Alberta to join OPEC+ call ‘with open mind’
The Canadian province of Alberta, which produces most of the country's oil, will take part in Monday's OPEC+ conference call aimed at reducing a global glut of crude, Premier Jason Kenney said on Friday. Energy Minister Sonya Savage will participate in the call, Kenney said. OPEC has scheduled the emergency meeting, led by Saudi Arabia, where cuts equal to 10% of world supply - about 10 million barrels per day - could be agreed. A Saudi-Russian price war that started last month has [Read more]
Heavy discount edges wider as storage levels swell
Canadian heavy crude's discount widened slightly versus the U.S. benchmark West Texas Intermediate (WTI) oil on Friday, as storage levels filled and OPEC and its allies debated coordinated production cuts to stem the market rout caused by the coronavirus pandemic. Western Canada Select (WCS) heavy blend crude for May delivery in Hardisty, Alberta, traded at $16.25 per barrel below WTI, according to NE2 Canada Inc, wider than Thursday's settle of $16 under. OPEC and allies are working on a [Read more]
Putin says Russia agrees on oil output cuts, blames Saudis for low prices
President Vladimir Putin said on Friday Russia was ready for deep oil production cuts with the United States and OPEC, but firmly put the blame for the collapse in oil prices on OPEC's de facto leader Saudi Arabia. Putin, speaking in a televised video conference with Russian government officials and domestic oil producers, proposed to cut combined oil production by around 10 million barrels per day, or around 10% of global output. Oil prices hit an 18-year low following the failure of the [Read more]