for Oil sands
While growth in shale has garnered a lot of attention, overlooked is the fact that Canada and Brazil are expected to add a combined 2 mbd over the next five years.
Approval from the federal government of two major pipelines, rising oil prices, and a the potential shift on Keystone XL mean that after two years of contraction, optimism has finally returned to Canada's oil patch.
Although the carbon tax proposed by Canadian Prime Minister Justin Trudeau will likely cause more stress for the country's oil industry, it may lead to approval for much-need oil pipelines.
As Canadian wildfires have failed to cause lasting damage to tar sands extraction facilities, oil markets remain calm despite the size of the disruption.
The outlook appears bleak for Canada’s oil industry, with prices for some crude grades in the country trading for just $15 per barrel. The outlook is so bad that some companies are shutting in production.
Despite the bleak picture for producers, oil sands output in Alberta is still expected to grow by .8 mbd between now and 2020.