​Pipeline, transportation bottlenecks causing lower prices for Canadian oil and gas: Deloitte | JWN Energy

Canadian oil and gas producers and the governments they pay royalties too are not benefiting as much as they could be from improving commodity prices.

A new report from Deloitte says that concerns over transportation bottlenecks to the U.S. market have increased the historic price differential between Canadian WCS and U.S. WTI oil, while infrastructure issues in Canada have also created extreme volatility in natural gas prices between AECO and Henry Hub.

Deloitte forecasts that in 2018, WTI will average US$55/bbl while WCS will average US$36.19/bbl. Meanwhile, Henry Hub natural gas pricing is expected to average US$2.80/Mcf compared to US$1.56/Mcf for AECO. This compares to 2017 numbers of US$50.84 for WTI, US$39.21 for WCS, US$2.99 for Henry Hub and US$1.67 for AECO.

Read complete article here:

​Pipeline, transportation bottlenecks causing lower prices for Canadian oil and gas: Deloitte | Pipelines & Transportation | JWN Energy.

Post a Comment

WP-SpamFree by Pole Position Marketing