Output of raw crude oil and bitumen will be reduced initially by 325,000 barrels per day.
On Monday, Alberta Energy Minister Marg McCuaig-Boyd said her government had been in contact with Saskatchewan. Western Canada Select (WCS) has plunged below $15 per barrel, representing a discount to WTI that has hovered at around $40 per barrel. The surplus is filling storage up quickly.
Oil production cuts announced by the Alberta government will have the desired outcome of reducing steep price discounts on western Canadian crude, but will also create winners and losers, financial analysts say.
The province also expects a deal in the works to purchase its own railcars to transport oil will help with the backlog next year.
"We have set out a 10,000 barrel [a day] exemption for all producers".
Members of the oil industry, meanwhile, were split Monday on whether production cuts are a good idea.
"We're facing, I think, something that qualifies as a crisis, or very almost that, and there are no other tools available to the provincial government so given that the market or even coalition of players in the market can't do this on their own without running afoul of price fixing laws, this is something that makes a lot of sense for all of the parties but I give full credit, not just to the fact that they are agreeing on this, but that they're saying that they don't want this to be about partisan politics and they want it to be about the interests of Alberta and I have no question that Albertans want to see more of that kind of collaboration", she said.
While the Conservatives have consistently supported pipeline construction, the Liberals refused to say during the 2015 election whether they would champion the building of several proposed pipelines. That additional rail would add 120,000 bpd in takeaway capacity but wouldn't be available for another year, and would take time to scale up. After the province achieves an 8.7 per cent reduction in supply, it will then lower production cuts to 95,000 barrels per day, ending in December 2019. Any effort to cut output by one company only stands to benefit another.
The planned cuts by the world's fifth-biggest producer follows a renewed commitment over the weekend by Saudi Arabia and Russian Federation to extend their deal to manage the oil market.
"We are at an historically crucial point in terms of how tight this infrastructure is", Oberstoetter said.
The statement goes on to say this is an extreme case in need of curtailment. Those railcars won't come into effect at least until mid-2019. The reductions will erase some of the inventory overhang, allowing the cuts to be phased out. More rail capacity could ease the midstream burden as well.
Industry feelings prior to the announcement had been mixed.
It's worth noting that years of pipeline fights from environmental groups, local communities and First Nations are bearing some fruit.
Western Canadian Select, the heavy oil benchmark in Canada, soared almost 37 per cent on the news, up to around US$30 per barrel, according to Bloomberg data, with the blend trading in the low $20 range below the USA crude, compared WITH $32 before the announcement. Industry groups and pundits scolded protestors, declaring that the oil would find its way to the market one way or another. However, pipeline delays and logjams are literally keeping oil in the ground.
It's not an assist, but if you guys register it, obviously I'll take it. "They did really well, they performed well". He later admitted his reaction was "not cool" and claimed to have apologised to Marco Silva on the final whistle.
With the holiday season upon us, a lot of gamers have been hoping that Fortnite will bring some winter weather to the island. Of course, the fact that Fortnite Season 7 and the event fall on the same day could purely be a coincidence.
Mark Russell, PGA TOUR Vice President of Rules and Competition, said that Woods' double-hit at 18 falls under that decision. Masters champion made following the American team's Ryder Cup loss in September, the 14-times major victor said yesterday.
They maintained that in terms of Article 48 of the Constitution, the Cabinet stood dissolved from November 14, 2018. The order was issued in a Quo Warranto case filed by 122 Parliamentarians against Rajapaksa and his new Government.
But Google has announced on Monday that it will be broadening the eSIM support to more wireless carriers around the globe. If you are in the United States, support is coming to Sprint "in the coming months".
As well as the U.S, they are Denmark, Sweden, Finland, Luxembourg, France, Italy, Netherlands, Spain, Norway and South Korea. The country moved from third to first place after four more countries granted visa-free access to citizens of the emirate.
Earlier this year, Sri Lankan-born PhD student Mohamed Kamer Nizamdeen was arrested on a terror-related charge. It did not appear from the charges that the list was linked to any credible assassination plots.
The actress turned heads at the closing ceremony of the festival on Thursday when she appeared in a lacy black dress. He was sentenced to two years in prison, sparking outrage amongst human rights activists.
And yes, there's a good chance Carlos Santana heads to Seattle as some salary relief in this equation, too. Last year, in 49 games, the 2013 first-round pick hit.214/.319/.393 with three home runs and 12 RBIs.
My mother will start to worry - Beautiful, what's your hurry? Not when its lyrics suggest a man who won't take no for an answer. Comedian Jen Kirkman said it was not about coercive sex but a woman "who knows her reputation is ruined if she stays".
Washington needed an upgrade after Matt Wieters batted below.240 in each of the past two seasons as the primary catcher. There isn't a player coming back to Cleveland that will excite Indians fans, which only makes Gomes' departure tougher.
Napoli reject £91m bid from United for Koulibaly
Chelsea have been linked with a move for Koulibaly, after he played under Maurizio Sarri for Napoli last season. Manchester United are now seventh in the Premier League, and have conceded 23 goals in 14 games so far.
Samsung launching punch-hole display phone first
The phone is expected to arrive with Huawei's Kirin 980 processor as well as 4GB or 6GB of RAM and 128GB of onboard storage. Rumours indicate that there may be no 3.5mm audio jack, indicating that this is a USB Type C only smartphone.
Passwords from 100 million Quora users stolen in data breach
Someone's taken a wander through the systems of question-and-answer website Quora, pilfering account details of 100 million users. They do advise users to change their passwords for other accounts where they use the same password as on Quora.
Apple Won't Launch a 5G iPhone Until 2020
The list includes Huawei and Samsung, two companies that make both networking gear as well as a slew of iPhone competitors. Samsung, for instance, says that it plans to bring a 5G smartphone to the US with Verizon during the first half of 2019 .
Israel launches operation to destroy Hezbollah tunnels
Israel has accused Iran of supporting Hezbollah with money and arms to continue fighting in Syria and retain its power in Lebanon. Reports in recent days have indicated that Iran is now flying weapons for Hezbollah directly to Beirut , rather than via Syria.
Kat Von D Welcomes First Child With Husband Leafar Seyer
On Sunday, Kat posted a pic of her newborn baby, writing on Instagram, "Meet our attractive baby boy, Leafar Von D Reyes ". Celebrity tattoo artist Kat Von D's bundle of joy has arrived! The baby arrived 10 months after they tied the knot.
Wolves-Celtics game recap
After returning from last year's gruesome ankle injury, Hayward has had a hard time finding his groove with his still-new team. The two-game winning streak puts the Celtics at 12-10, hardly where an Eastern Conference contender wants to be.
Nebraska grabs early lead, fends off Illinois at home
Nebraska went through a number of scoring droughts throughout the contest and turned the ball over a season high 16 times. But he's an awfully good player. 3-point shots (6-14) - Copeland 1-1, Roby 0-2, Palmer 3-6, Watson 2-4, Akenten 0-1.