IHS Markit sees Canadian oil sands growth moderating after 2019 [Reuters]
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Source: Reuters
IHS Markit sees Canadian oil sands growth moderating after 2019 | Reuters Reuters Staff 2 Min Read (Reuters) - Canadian oil sands production will rise more than half a million barrels per day in 2019 and growth will moderate thereafter, according to a forecast by data firm IHS Markit ( INFO.O ). Canada has emerged as the primary source of heavy oil supply in the world as output from other large producers, such as Venezuela, has declined. However, the pace of growth of Canadian oil sands is uncertain after 2019 and depends on the timing of investment decisions that are yet to be made. By then, ongoing projects will be completed and an initial boost to production will slow down, IHS Markit said in a blogpost on Tuesday. There will also be uncertainty related to adequate pipeline capacity, which influences the discount at which Canadian heavy crude trades to global benchmarks. “Over the past 12 months alone, the difference in price compared to a barrel of West Texas Intermediate (WTI)
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