Canada Oil-Sands Plan Collapses Over Politics and Economics – The New York Times

Conservatives were quick to blame Mr. Trudeau for the loss of a project that they said would have produced thousands of jobs and provided a financial lift to the western province of Alberta, the hub of Canada’s energy market, which has actually suffered from low oil prices over the last 5 years. Canada supplies nearly 6 million barrels of oil a day, making it the world’s No. 4 producer and the greatest source of American imports. Kevin Birn, a vice president and oil-sands professional at the consultancy IHS Markit, approximated that for a task like Frontier to break even, the price of West Texas intermediate oil, the North American benchmark, would need to typical $65 a barrel over a decade or more of operations.

9 years in the planning, the job would have increased Canada’s oil production by roughly 5 percent. Conservatives were fast to blame Mr. Trudeau for the loss of a job that they stated would have developed thousands of tasks and given a financial lift to the western province of Alberta, the center of Canada’s energy market, which has suffered from low oil costs over the last five years. Canada supplies almost six million barrels of oil a day, making it the world’s No. 4 producer and the greatest source of American imports. Kevin Birn, a vice president and oil-sands expert at the consultancy IHS Markit, approximated that for a task like Frontier to break even, the rate of West Texas intermediate oil, the North American benchmark, would require to typical $65 a barrel over a years or more of operations.”Companies like Teck are understanding that global capital markets are changing rapidly,” stated Simon Dyer, executive director of the Pembina Institute, a leading Canadian ecological research study organization.

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