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Nov 28, 2014

Alberta premier says budget surplus forecasts will be reduced

CALGARY, Alberta, Nov 28 (Reuters) – At current crude
prices, Alberta will have a “tight, balanced budget” for the
2014/15 fiscal year, Premier Jim Prentice said on Friday as he
scaled back oil price forecasts and signalled cuts in government
spending for Canada’s richest province.

After addressing a Calgary business audience, Prentice told
reporters that a forecast of Alberta having a 2014/15 budget
surplus of C$933 million, made earlier this week, is already
likely too high.

Nov 26, 2014

Canada’s Alberta cut budget surplus, oil price forecast

CALGARY, Alberta, Nov 26 (Reuters) – The Canadian province
of Alberta, the largest exporter of oil to the United States,
cut its forecast budget surplus on Wednesday and sharply lowered
its projection for the price of crude.

Robin Campbell, the province’s finance minister, said in his
second-quarter budget update that Alberta expects to post a
C$933 million ($830.8 million) surplus in the 2014/2015 fiscal
year, down from the C$1.1 billion it forecast in March when it
presented the budget.

Nov 18, 2014

Bank of Canada eyes lifting inflation target, but threshold high

CALGARY, Nov 18 (Reuters) – The inability to cut interest
rates below zero to stimulate the economy in the aftermath of
the recent financial crisis has caused the Bank of Canada to
begin considering whether it should raise its 2 percent
inflation target, the bank said on Tuesday.

Deputy Governor Agathe Cote said another argument in favor
of raising the target was that interest rates are likely to be
lower than before the crisis, and this increases the likelihood
of being constrained by the phenomenon known as the “zero lower
bound” for rates.

Nov 7, 2014

Shell says LNG Canada project to cost up to C$40 billion

CALGARY, Alberta, Nov 7 (Reuters) – Royal Dutch Shell Plc
, the lead partner in the consortium planning the LNG
Canada facility on British Columbia’s northern coast, said on
Friday the project to liquefy natural gas for export to Asia
could cost as much as C$40 billion ($35.3 billion) when fully

Shell’s cost estimate for the LNG Canada facility near
Kitimat, British Columbia, was included in the environmental
assessment filed with provincial regulators on Friday.

Nov 5, 2014

Penn West says low oil prices no threat to dividend

CALGARY, Alberta, Nov 5 (Reuters) – Penn West Petroleum Ltd
, one of Canada’s largest conventional oil producers,
said on Wednesday it can pay its dividend and fund its capital
program even as falling oil prices cut into profits.

The company, which on Wednesday reported a surprise
quarterly loss compared with a year-earlier profit, moved to
reassure investors that the 14 Canadian cent per share quarterly
payout is safe, even as its declining share price pushes its
dividend yield above 10 percent.

Nov 4, 2014

Canada oil producers set to cut 2015 spending as price tumbles

CALGARY, Alberta, Nov 4 (Reuters) – Falling oil prices will
lead to lower capital spending in Western Canada next year,
observers say, as both oil sands and light oil producers look to
cope with less cash coming in the door.

North American benchmark oil prices touched $75.84 a barrel
on Tuesday, the lowest since October 2011, after Saudi Arabia
cut export prices to the United States.

Oct 30, 2014

TransCanada seeks approval for Energy East pipeline

CALGARY, Alberta/SINGAPORE, Oct 30 (Reuters) – TransCanada
Corp said on Thursday it has filed for regulatory
approval of its C$12 billion ($10.8 billion) Energy East
pipeline, the largest, longest and most expensive ever proposed
for the country, as it pushes ahead with a plan to ship oil
sands crude to eastern refineries and Atlantic export ports.

Canada’s No.2 pipeline operator said it has filed the formal
project application with the National Energy Board, officially
starting the clock on a regulatory review of the proposed 4,600
kilometer (2,860 mile) line, a process expected to last about 18

Oct 23, 2014

Encana deal spurs Cenovus to eye sale of freehold lands

CALGARY, Alberta, Oct 23 (Reuters) – Cenovus Energy Inc
, Canada’s No. 2 independent oil producer, said on
Thursday it is mulling the future of its royalty-generating
freehold oil and gas properties in Western Canada after
competitor Encana Corp raised billions through the sale
of similar properties.

Cenovus, whose shares rose 6 percent after it reported its
third-quarter operating profit climbed by nearly a fifth, said
it is looking at strategic alternatives for the lands, which
currently produce about 8,000 barrels of oil equivalent per day.

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.

    • 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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