Rail strike, pipeline spill prompt Alberta to extend oil curtailment levels

Shipping delayed by CN Rail strike, temporary shutdown of Keystone pipeline after North Dakota leak

Minister of Energy Sonya Savage listens while Premier Jason Kenney responds to the federal approval of the Trans Mountain Pipeline in Edmonton, Tuesday, June 18, 2019. THE CANADIAN PRESS/Amber Bracken

The Alberta government says it will leave its oil production quotas unchanged in January to deal with the lingering consequences after oil shipping was delayed by CN Rail strike and the temporary shutdown of the Keystone pipeline following a leak in North Dakota.

A spokesman for Energy Minister Sonya Savage says producers were informed Tuesday that the production limit for January will remain at 3.81 million barrels per day, the same as December, after several consecutive months of easing quotas.

Production limits were enacted by the previous NDP government starting in January to better match supply levels with pipeline capacity and alleviate wider-than-usual local price discounts for Alberta oil blamed on high inventory levels.

The curtailment program was to expire at the end of 2019, but the United Conservative government extended it through 2020 while gradually increasing the amount that can be produced. The quotas now affect only the top 16 producers.

READ MORE: ‘No excitement at all’ as oilpatch interest wanes for drilling rights auctions

The province recently announced oil production from new conventional wells won’t be subject to curtailment and producers who add crude-by-rail shipping capacity can also produce more.

Crude-by-rail exports from Canada rose to 310,600 bpd in September but remained short of the record 353,800 bpd set in December 2018.

The Canadian Press

Just Posted

Ice issue forces postponement of Stamps game

Big chunk of ice exposes concrete, officials halt game in third period

Still time to get in on Santa’s Anonymous

PSC program taking registrations until Dec. 12

Workout challenge more than doubles fundraising goal

Group takes in more than $13,000 for KidSport Ponoka

Metal recycler gets support for rezoning application

Ponoka County council not unanimous on decision

RCMP deal with snow-related incidents

The police in Ponoka were a busy bunch as December showed how… Continue reading

VIDEO: Merriam-Webster declares ‘they’ its 2019 word of the year

Declared word of year based on a 313-per-cent increase in look-ups on the company’s search site

Alberta premier opens war room to promote ‘truth’ about energy industry

Effort includes a $2.5-million public inquiry into foreign funding of anti-oil advocacy groups

Feds urge Air Canada to fix booking problems as travel season approaches

The airline introduced the new reservation system more than three weeks ago

Almost 14,000 Canadians killed by opioids since 2016: new national study

17,000 people have been hospitalized for opioid-related poisoning

Thunberg ‘a bit surprised’ to be Time ‘Person of the Year’

‘I could never have imagined anything like that happening,’ she said in a phone interview

Toronto Raptors, Don Cherry top the list of Canadians’ Google searches in 2019

‘Champions’ was the theme of the last year, Google said

Day parole revoked for man who strangled wife, buried body in their Calgary home

Parole Board revoked Allan Shyback’s day parole after he had sex with a massage parlour worker

Alberta plans to reduce surgery wait-times by building operating rooms, using private clinics

Health minister says goal is to have 80,000 more surgeries done over the next 3 1/2 years

Sylvan Lake woman charged with fraud over $500,000

Rimbey RCMP launched an investigation in July 2019 with the suspect turning herself in on Aug. 30

Most Read