The Canadian Association of Petroleum Producers says Canada needs to improve its competitiveness and get pipelines built if it wants to transport an additional 1.6 billion barrels a day to new emerging markets.
The association released its 2018 Crude Oil Forecast, Markets and Transportation report yesterday.
CAPP says Western Canada accounts for about 95 per cent of the country’s total production, with conventional oil representing more that one million barrels per day of the region’s total.
In this part of the country, oil production will rise to 290,000 barrels per day by 2025 from major offshore projects including Hebron, Hibernia, Terra Nova and White Rose.
CAPP says Hebron will account for the bulk of the production highs between now and 2025 as production ramps up. Beyond 2025, production will drop to 70,000 barrels per day by 2035.
CAPP says all the while the US continues to aggressively streamline and reduce the costs associated with its regulations. Capital spending in the US rose 38 per cent to $120-billion in 2017, while investment in Canada fell to $45-billion.