Canadian Energy Sector to Boost Spending
Capital spending by Canada's oil and gas industry will rise by 6%, or C$1.9 billion, in 2020 from the previous year, halting a six-year decline due to improving economics, the Canadian Association of Petroleum Producers (CAPP) forecast on Thursday.CAPP said a corporate tax cut by Alberta's provincial government last year and its easing of oil production limits will lead to higher spending.Congested pipelines created a glut of oil in storage in the Western Canadian province in recent years…
Husky Cuts Long-term Spend to Boost Cash Flow
Husky Energy Inc on Tuesday nearly doubled its free cash flow target over five years as it cut its planned capital spending at a time when investors have been calling on oil and gas companies to shore up capital for buybacks and dividends.Oil production curtailments imposed this year by the government of Canada's energy-rich province Alberta, as well as rising global oil prices, have allowed Canadian producers to rake in the highest revenues in five years.
Partial Shutdown of Keystone Oil Pipeline
A shutdown of a portion of TransCanada Corp's Keystone oil pipeline will last a further "days not weeks," following a leak in Missouri last week, crude producer Cenovus Energy said on Wednesday.Citing a conversation with TransCanada, Cenovus executive vice-president of downstream, Keith Chiasson, said the pipeline company has identified the location of the leak and is working on a repair plan.The 43-barrel leak caused TransCanada to shut an arm of Keystone from Steele City, Nebraska to Patoka, Illinois.
Atlantic Canada Oil Spill Caused by Weak Flowline Connection
A weak connector on an underwater oil flowline caused a spill during a fierce Atlantic storm last week off the coast of Canada's Newfoundland & Labrador, Husky Energy Inc said on Tuesday.The spill is the largest-ever off the coast of the Canadian province, the regulator Canada-Newfoundland & Labrador Offshore Petroleum Board said.Husky, the operator of the White Rose Field, detected the problem on Monday during surveys by a remotely operated underwater vehicle…
Canadian Oil Merger to Help Manage Price Discounts - Husky CEO
Husky Energy Inc's hostile bid for MEG Energy Corp reflects the need for Canadian oil companies to own integrated assets, from production to refineries, to manage the deep price discounts on Canadian crude, Husky Chief Executive Rob Peabody said on Monday.Peabody said Husky will shortly begin to meet with MEG shareholders about the deal, valued at C$6.4 billion, but would welcome talks with MEG's board. Reporting by Rod Nickel in Winnipeg, Manitoba
Sinopec Plans to Build Canadian Oil Refinery
China's Sinopec Corp has joined a group planning to build an oil refinery in Alberta, an enterprise that would strengthen demand for the Canadian province's heavily discounted crude.State-owned Sinopec, formally known as China Petroleum & Chemical Corp, along with an Alberta indigenous group, China State Construction Engineering Corp and Alberta management company Teedrum, plan to build a refinery to process 167,000 barrels per day of crude into gasoline and other products…
Canada Crude Differential Seen Staying High as Refiners Take Downtime
The discount on Canada's heavy crude, which reached a nearly five-year high this week, looks to remain elevated with pipelines strained and the refiners who buy it going offline for maintenance, industry officials say.Western Canada Select (WCS) oil traded on Tuesday for $34.15 per barrel less than West Texas Intermediate light oil, the biggest differential since November 2013, according to Shorcan Energy Brokers. The differential reduces the benefits of otherwise…
Enbridge Eyes Additional Asset Sales
Enbridge Inc may sell more assets than expected this year, seeing strong interest from potential buyers after achieving a goal this week for 2018 divestitures.Enbridge has been under pressure to reduce leverage, one of the factors that has weighed on its share price. Selling assets would also help the company become a pure pipeline utility.The company announced two sales on Wednesday that will help it exceed its target for $3 billion in divestitures this year…
Halcon Resources to Shed Some Williston Assets
Oil producer Halcon Resources Corp said on Tuesday it would sell assets it operates in the Williston Basin to Bruin E&P Partners for $1.4 billion in cash, as it looks to focus on the more lucrative Delaware Basin. Halcon shares were up 40 percent at $6.30 in premarket trading. The Delaware basin, part of the larger Permian Basin, has seen a slew of land acquisitions as producers scramble to gain or expand positions in the top U.S. oil field. The assets to be sold produce about 29,000 barrels of oil equivalent per day, Halcon said in a statement.
Canada's Enbridge Expects Adjusted Profit to Rise on Spectra Deal
Enbridge Inc , Canada's largest pipeline company, said on Thursday it may acquire more assets and forecast a rise in adjusted earnings before interest and taxes this year following its purchase of Spectra Energy Corp. Enbridge said last September it would buy Spectra, a smaller rival then valued at $28 billion, to create the largest energy infrastructure company in North America. The deal, which closed on Feb. 27, highlighted the pressure on pipeline companies to merge as they grapple with over-capacity and sliding tariffs.
Oil Spill from Husky Pipeline Reaches Saskatchewan City
An oil spill by Husky Energy Inc into a major Canadian river reached the city of Prince Albert, Saskatchewan on Monday, hours earlier than expected, as workers there raced to stretch a 30-kilometre (19-mile) hose to draw drinking water from another source. The heavy oil and diluent leaked from Husky's Saskatchewan Gathering System pipeline on Thursday, flowing into the North Saskatchewan River, which supplies drinking water to several communities in the western Canadian province.
Husky Energy Rushes to Clean up Canada Oil Spill
Crews rushed to clean up on Friday an oil leak by Husky Energy into a major Canadian river, as officials focused on concerns about contaminating drinking water of communities downstream. The company said late on Thursday it shut and isolated a pipeline on its Saskatchewan Gathering System, after roughly 200,000 to 250,000 liters of heavy oil and diluent spilled from the line, running into the North Saskatchewan River. "My understanding is that the leak is stopped…
Bottlenecks Expected as More Canadian Oil Meets Tight Pipe Space
Deeply-discounted prices for heavy crude from the heart of Alberta's oil sands look set to sink further, thanks to hundreds of thousands of barrels of new supply that will have difficulty finding space in crowded pipelines, traders say. It would be another hit for Canada's ailing oil sands producers, who have slashed millions in capital expenditures and been forced to lay off thousands of workers over the two-year downturn in oil prices. Until recently, pipeline…
Bottlenecks Expected as More Canadian Oil Meets Tight Pipe Space
Deeply discounted prices for heavy crude from the heart of Alberta's oil sands look set to sink further, thanks to hundreds of thousands of barrels of new supply that will have difficulty finding space in crowded pipelines, traders say. It would be another hit for Canada's ailing oil sands producers, who have slashed millions in capital expenditures and been forced to lay off thousands of workers over the two-year downturn in oil prices. Until recently, pipeline…
Bill Gates plots a surprise attack on the energy sector
Bill Gates grows most animated when the talk turns to the "cool" new energy technologies that have yet to leave the lab. Gates was a rare civilian sharing the limelight alongside presidents and prime ministers at the opening session of Paris climate talks on Monday. Offstage, in a barren conference room, he excitedly described the possibility of generating energy through the long-speculated process of artificial photosynthesis, using the energy of sunshine to produce liquid hydrocarbons that could challenge the supremacy of fossil fuels.
Some Oil Product Spills in Manitoba Derailment
Canadian National Railway Co said Thursday 13 train cars carrying refinery cracking stock, a petroleum product, derailed Wednesday night in rural Manitoba, and one car spilled some of the product onto the ground. The derailment was CN Rail's third in a week. On Saturday, an oil train derailed and burned in northern Ontario while a train hauling empty tank cars that had recently held hazardous liquids derailed last Thursday, also in Ontario. There were no injuries and no threat to the public from Wednesday night's derailment, CN spokesman Brent Kossey said in an email.
Train Carrying Crude Oil Derailed in Northern Ontario
A Canadian National Railway Co train carrying crude oil has derailed near the Northern Ontario community of Gogama, with crews reporting a fire but no injuries, the company said on Saturday. CN said the derailment along its main line, which occurred just before 3 a.m. ET/0800 GMT on Saturday, is affecting rail traffic running between Toronto and Winnipeg, Manitoba. (Reporting by Jeffrey Hodgson; Editing by Catherine Evans)
Derailment Blocks CN Rail Main Line in Northern Ontario
A derailment has blocked Canadian National Railway Co's main line in northern Ontario, the railway said in a service bulletin on Thursday. In a separate statement CN said early indications were that most of the cars that may be involved were residue cars, tank cars that recently carried flammable liquids. There were no injuries, and no indication of any fire. CN said traffic running both directions along the route, which links Toronto and Winnipeg, Manitoba, could be delayed by 24 hours or more.
STATS Group Appoint Technical Directors
Pipeline engineering specialist STATS Group has appointmented two directors to its management team to oversee the company’s design engineering functions. Bill Herron takes on the role of Group Technical Director and will be responsible for STATS’ product development, standardization and project design requirements for UK, European, Middle East and Far East markets. Assisting him will be Winnipeg-based Doug Krokosz, who as Technical Director for the USA and…
Regulators Slap Plains Midstream Canada with Pipeline Audit
Plains Midstream Canada must hire a third party to audit its pipelines in Alberta, Saskatchewan, Manitoba and Ontario, regulators said on Thursday, an order that came after the company failed to comply with previous safety directives. Plains Midstream, a subsidiary of Plain All American Pipeline, has been under scrutiny by Canada's National Energy Board since a corrective action plan in 2010 highlighted safety and environmental issues. The company has had two spills in Alberta in recent years.
