Canada Oil and Gas Industry
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Nexen, a major independent company of Canada oil and gas industry declared on 22nd January 2009 that its oil sands project at Long Lake has started to produce synthetic crude oil. This project is worth $5 billion.
In a recent development for oil and gas industry in Canada, Mackenzie valley gas pipeline project has met with approval from federal government of China. Developers of this pipeline had submitted this project in December 2007 but till January 2009 Canadian government had been silent on this issue. This project is worth $13 billion.
Nexen, a major independent company of Canada oil and gas industry declared on 22nd January 2009 that its oil sands project at Long Lake has started to produce synthetic crude oil. This project is worth $5 billion.
In a recent development for oil and gas industry in Canada, Mackenzie valley gas pipeline project has met with approval from federal government of China. Developers of this pipeline had submitted this project in December 2007 but till January 2009 Canadian government had been silent on this issue. This project is worth $13 billion.
During December 2008 Jim Prentice, environment minister of Canada, had expressed optimism regarding this project. He said that this project would go ahead as per schedule in spite of problems like various outstanding issues about financial structure of this project and regulative set offs.
As per reports from oil and gas industry of Canada this financial assistance would involve federal government putting in money for pre construction and infrastructure purposes. This implies that expenses for constructing barge landings and airstrips would be covered by this financial assistance. There would be a share of returns and risks for federal government of Canada as well.
Oil sands sector of oil and gas industry at Canada has been experiencing a slowdown in recent years. In December 2008 StatoilHydro of Norway has taken back a regulative application for building a bitumen upgrader at Alberta. During November 2008 Royal Dutch Shell had taken back a regulative approval for oil sands projects it was executing at Carmon Creek Canada.
Latest reports from Canadian oil and gas industry have confirmed that Nexen is not ready for itself to be taken over by another company. As per reports of Financial Times, Total, a well known French oil and gas company, had decided in October 2008 not to place a bid for Nexen, which is based on Calgary. This decision, was influenced owing to expenses involved.
Kitimat LNG has been looking out for oil and gas companies in Canada to show interest in a export terminal of liquified natural gas it has planned at Bish Cove in British Columbia. Experts have predicted that 2009 would be a difficult year for Canada oil and gas industry.
