Canadian oil made a almost 50% move today

Alberta Premier Rachel Notley in Ottawa on Nov. 28 2018.					James Park for National Post

Alberta's premier announced Sunday night that she is imposing an industrywide 8.7 percent cut in oil production for the Canadian province to deal with a storage glut that has hurt prices for Alberta oil.

The mandated cut ends on December 31, 2019.

He also mentioned that, with the price differential between Western Canadian Select and West Texas Intermediate, some companies are making a lot of money in the refining side of the industry, even if they're not making much in production.

At the end of trading on Monday, Cenovus Energy Inc. shares were trading at $10.99, nearly 12 per cent higher than their Friday close, while Canadian Natural Resources Ltd. closed at $36.58, up 9.55 per cent.

The steep discount has stripped billions of dollars from the Canadian economy by some estimates, and at one point Canadian oil was selling for more than $50 less than US oil traded on futures markets.

"Suncor believes the market is the most effective means to balance supply and demand and normalize differentials". The Financial Post quoted an asset manager, Eric Nuttall from Ninepoints Partners as saying, "If there is a cut of at least one million barrels per day ... then I think you'll see WTI rally to over US$60 and you could have a 50 per cent rally in many of these (stocks) simply because they've fallen so dramatically".

Shippers and refiners are moving discounted barrels of oil via rail or trucks, but the storage glut sits at more than 35 million barrels in Alberta, just below all-time records set in September, according to data firm Genscape.

Suncor said in its release on Monday that it is assessing the government's decision and will map out details of the impact when it releases 2019 capital and production forecasts.

Jackie Forrest, senior director at the ARC Energy Research Institute in Calgary, said some companies should have invested in rail capacity sooner in order to ease pipeline shortages.

Kohli or bust: Pujara says India is no one-trick pony
Paine said given the current conditions, his side was inclined to bat first should it win the toss Thursday morning. His performance has been below par in Australia in comparison to his overall Test record.

Sir David Attenborough at COP24: Collapse of Human Civilization on the Horizon
They aim to establish rules, figure out financing and build ways to verify that nations are meeting their commitments. For this reason, the COP24 is being called the most important climate conference probably "ever".

Mammootty Finds a Place In Forbes India Celebrity 100 List!
The Tamil and Telugu film industries have seven actors each on the list while Malayalam star Mammootty represented Kerala. If that's not exciting then this will be - Deepika Padukone has moved up seven places from #11 previous year to #4 now.

Still, MacNaughton says he has reached out to his counterpart Kelly Craft to emphasize the cuts are only temporary and that Canada does not feel they violate existing free-trade rules. Still, she said many pipeline delays were hard to predict amid assurances by industry and government that pipelines could be successfully built to tidewater.

- Canadian Dollar rises broadly as oil markets rebound on Monday.

In the 1970s, the federal government instituted price controls on oil to keep prices low for domestic consumers and created the crown corporation Petro-Canada to ensure Canadian ownership of some of the country's energy industry, which at the time was heavily owned by Americans.

"Pipelines only solve one component of this", Traya said.

"We are at an historically crucial point in terms of how tight this infrastructure is", Oberstoetter said. That's on top of mounting concern that the country's regulatory framework makes it very hard to get much-needed pipeline projects approved.

On Monday, Alberta Energy Minister Marg McCuaig-Boyd said her government had been in contact with Saskatchewan.

The federal government has not yet decided whether it will contribute anything toward Alberta's purchase of new rail cars so that two more trains a day can transport crude from Alberta to refineries in Canada and the United States.

The extraordinary intervention into the market was supported by some top Canadian oil executives. That narrower discount is now much more likely given the production cut.

Related news:

Hot News

isis-killer-beheading-video-story-top Need a flu shot? Here's how to get one
Dec 06, 2018 - 09:31
The Centers for Disease Control and Prevention recommends that everyone ages six months and older receive a flu vaccine each year. Antiviral drugs may shorten the duration or lessen the severity of the flu if started within 48 hours of the onset of symptoms.

isis-killer-beheading-video-story-top Surprise Tornado Blitz Strikes Central Illinois, Injuring at Least 30
Dec 06, 2018 - 09:10
Hardest hit was the town of Taylorville, about 30 miles southeast of the capital of Springfield. He said at least 100 homes had major damage, including his own.

isis-killer-beheading-video-story-top Second summit needed as North Korea not living up to commitments: Bolton
Dec 06, 2018 - 08:29
Moon said it's still unclear whether Kim will visit Seoul by the end of this year, and that it's up to the North Korean leader. He did not specify which sites were under consideration, saying they had not been determined yet.

isis-killer-beheading-video-story-top What Is Motion Smoothing and Why Does Tom Cruise Hate It?
Dec 06, 2018 - 07:00
But many in the film industry hate it, however, as it can degrade the image quality of the original film, and alter colouring. But high-definition widescreen TVs could be ruining your movie nights, according to one of Hollywood's biggest stars.

isis-killer-beheading-video-story-top Cardi B Says She And Husband Offset Have Split
Dec 06, 2018 - 05:36
I know it's not any of my business but I really would love people to know what they are doing before conceiving a child. Cardi went on to say she will "always have a lot of love" for Offset "because he is my daughter's father".

isis-killer-beheading-video-story-top Canada Arrests Huawei CFO at Request of U.S. Authorities
Dec 06, 2018 - 04:42
As part of the sanctions, the USA halted the import of Iranian oil, cutting off a key source of revenue for the nation. However, according to the Globe and Mail , she was arrested on suspicion she violated US trade sanctions against Iran.

isis-killer-beheading-video-story-top Walker signals support for lame-duck package
Dec 06, 2018 - 03:29
Spectators shouted "Shame!" and hurled complaints at senators, temporarily halting debate, as they walked out under police escort. Other pieces are aimed at insisting on legislative backing for certain decisions traditionally made by the attorney general.

isis-killer-beheading-video-story-top PETA Gets Dogged For Tweet Demanding End To 'Anti-Animal Language'
Dec 06, 2018 - 03:26
In another tweet , PETA took the bull by the horns, er, "took the flower by the thorns" and explained its reasoning. Instead of saying " kill two birds with one stone ", they suggested, " feed two birds with one scone ".

isis-killer-beheading-video-story-top One Marine rescued, 6 missing after planes collide off Japan
Dec 06, 2018 - 02:44
They also said they were unsure how the mishap may have occurred but none suspected foul play. U.S. media reported five crew were on the C-130 and two on the F-18.

isis-killer-beheading-video-story-top Delhi Daredevils Change Name to Delhi Capitals
Dec 06, 2018 - 01:36
The squad has already been bolstered by the return of Shikhar Dhawan, who has switched over from Sunrisers Hyderabad. Besides a change in the name of the franchise, the colour of the apparel of the side may also be altered.

isis-killer-beheading-video-story-top Josh McDaniels leaves door open for head coaching gig
Dec 06, 2018 - 01:13
On Tuesday night, Philbin decided to make his first big move, firing associate head coach/ outside linebackers coach Winston Moss. Moss posted a message on Twitter on Tuesday that appeared to question that Packers leadership and quarterback Aaron Rodgers .

isis-killer-beheading-video-story-top Victims of crime at Global Citizens concert urged to come forward
Dec 06, 2018 - 01:11
Authorities are urging victims of crime following the Global Citizen festival to come forward to ensure successful prosecution. A spate of muggings marred a charity concert at which Beyonce , Jay-Z and other stars performed in honour of Nelson Mandela .

isis-killer-beheading-video-story-top Lawmakers Say Facebook Struck Deals Over Personal Data
Dec 05, 2018 - 22:27
Facebook also used its position as user data provider to affect the businesses of its competitors in social media, like Twitter, the report said.

isis-killer-beheading-video-story-top Priyanka Chopra and Nick Jonas’s honeymoon plans revealed
Dec 05, 2018 - 20:15
As empirical evidence of the above, the writer cited Tom Hiddleston, with whom Priyanka Chopra co-presented an Emmy award. You're so mad that a deserving Indian woman found someone who values her worth.

isis-killer-beheading-video-story-top Giuliani's Twitter typo used to abuse President Trump
Dec 05, 2018 - 18:38
Giuliani suggested without evidence that Twitter may have been involved in linking his tweet to the apparent anti-Trump website. With no facts or justification, he blamed Twitter , saying employees there are "cardcarrying anti-Trumpers".