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Oct 7, 2014

CN Rail train derails in Saskatchewan; two cars of distillate burn

CALGARY, Alberta, Oct 7 (Reuters) – A freight train derailed
in the Canadian province of Saskatchewan on Tuesday, setting two
cars carrying petroleum distillate on fire, Canadian National
Railway Co said.

The railway said the train, traveling from Winnipeg,
Manitoba, to Saskatoon, Saskatchewan, had three locomotives and
was pulling 100 cars. It said 26 cars derailed near the
community of Clair.

Oct 7, 2014

EU abandons ‘dirty’ label for Canada tar sands oil

BRUSSELS/CALGARY, Oct 7 (Reuters) – A European Union plan to
label Canadian tar sands oil as highly polluting as part of its
fight against climate change has been abandoned after years of
opposition from Canada, clearing the way for exports of tar
sands crude to the European market.

A proposal published by the European Commission on Tuesday
removes what could have been an EU obstacle to shipments of the
crude and comes at a time when tensions between the EU and its
top oil supplier, Russia, are running high.

Oct 6, 2014

Petronas threatens 15-year delay of Canada LNG plant if no tax deal

VANCOUVER/CALGARY, Oct 6 (Reuters) – Malaysian state-owned
energy company Petronas said on Monday it could delay
its planned $11 billion liquefied natural gas plant on Canada’s
Pacific Coast by up to 15 years unless it can reach a favorable
tax deal by month’s end.

Petronas said in a statement that the economics of the plant
are marginal and without a favorable tax arrangement with the
province of British Columbia and Canada’s federal government, it
could shelve the project for a decade or more.

Sep 30, 2014

Enbridge eyes Mainline oil pipe expansion if demand strong

Sept 30 (Reuters) – Enbridge Inc, Canada’s largest
pipeline operator, said on Tuesday it may have to build new
pipeline capacity from its Superior, Wisconsin, storage hub if
oil shipments from Canada and the Bakken shale field of North
Dakota keep expanding.

Speaking at the company’s annual investor day in Toronto,
Guy Jarvis, head of the oil pipeline unit, said Enbridge could
handle up to 500,000 more barrels per day (bpd) on its 2.5
million bpd system once it completes rebuilding its Line 3
pipeline from Alberta to Superior and finishes its Sandpiper
pipeline serving the Bakken in 2017.

Sep 29, 2014

Encana to buy Athlon for $5.93 bln in push for oil

CALGARY/TORONTO Sept 29 (Reuters) – Canada’s Encana Corp
said on Monday it will buy Athlon Energy Inc
for $5.93 billion in cash, taking aim at Athlon’s oil-rich lands
in Texas’s Permian Basin and at jump-starting its plan to boost
output of lucrative oil and natural-gas liquids.

Encana, Canada’s largest natural-gas producer, is offering
$58.50 per Athlon share, a 25 percent premium on the stock’s
Friday closing price. The deal would give the Calgary-based
company control of about 140,000 acres in the oil-rich Permian
Basin, where Encana says it can raise liquids output by two
thirds, to 50,000 barrels per day, by 2015.

Sep 26, 2014

New Alberta premier sees oil pipelines as key to growth

CALGARY, Alberta, Sept 26 (Reuters) – Jim Prentice, the
one-time federal minister and investment banker sworn in as
premier of Alberta earlier this month, said on Friday the
Canadian province must secure new oil-export pipelines to ensure
the growth of its oil sands sector.

In an interview, Prentice said Alberta, which produces more
than three million barrels of oil per day, would strongly back
more pipeline projects to ship its crude overseas and minimize
its reliance on the U.S. market, where Western Canada crude
trades at a discount. New pipelines would also draw more
investment in Alberta’s oil sands, he added.

Sep 19, 2014

Who’s afraid of falling oil? Not Canada’s oil sands yet

CALGARY, Alberta, Sept 19 (Reuters) – Canada’s oil sands
industry is shrugging off declining world oil prices as some of
the world’s highest-cost producers find a cushion in strong
demand and a weakened domestic currency.

The companies that mine and drill the world’s third-largest
crude reserve in northern Alberta are sanguine about the latest
round of falling oil prices, arguing that costs have dropped and
that domestic prices are firm even as world prices falter.

Sep 8, 2014

New Alberta premier faces challenge winning back voters

CALGARY, Alberta, Sept 8 (Reuters) – Jim Prentice, a former
key Cabinet minister in the government of Canadian Prime
Minister Stephen Harper, has firm control over the province of
Alberta’s governing Progressive Conservatives, but convincing
voters to extend the party’s 43-year rule will be more
challenging.

Prentice, 58, took nearly 80 percent of the votes for the
party’s leadership on Saturday, trouncing two rivals from the
Cabinet of former Premier Alison Redford, who resigned earlier
this year following a series of spending scandals.

Aug 19, 2014

Penn West lawsuits stacking up after disclosure of accounting woes

CALGARY, Alberta, Aug 19 (Reuters) – Penn West Petroleum Ltd
, a Canadian oil producer that said last month it had
discovered nearly C$400 million ($364 million) in accounting
irregularities, faces a growing number of lawsuits after its
shares dropped more than a fifth following the admission.

The Calgary, Alberta-based company, one of Canada’s largest
conventional oil producers, last month said it will delay the
release of its second-quarter results and revise its financial
statements beginning in 2012. The delay came after it discovered
that C$181 million in operating expenditures were misidentified
as capital spending over the past two years and C$200 million in
expenses were classified as royalty payments.

Jul 30, 2014

Penn West to restate results amid accounting probe, shares slump

CALGARY, July 30 (Reuters) – Penn West Petroleum Ltd
said it has uncovered accounting irregularities
that misclassified nearly C$300 million ($275.05 million)in
expenses over the last four years, and the Canadian oil producer
will restate its results.

Investors reacted with dismay, sending its shares down 18
percent on Wednesday, while several U.S. law firms said they
would assess if there had been violations of securities laws on
behalf of Penn West’s investors and lawsuits could follow.

    • About Scott

      "Based in Calgary, Alberta, I've covered Canada's energy industry and the oil sands for the past five years for Reuters, and a decade before that for newspapers and other wire services."
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