August 23, 2023 – Reuters
Canada steps up pace of oil production growth, seen rising 8% in two years
By Nia Williams
Aug 23 (Reuters) - A busy oil sands maintenance season and early summer wildfires put a dent in Canadian crude production in the second quarter, but oil companies are ramping up growth over the next two years and will add nearly 8% to Canada's total output, analysts estimate.
Read the full article here: https://www.reuters.com/markets/commodities/canada-steps-up-pace-oil-production-growth-seen-rising-8-two-years-2023-08-23/
The move to boost output - while continuing to funnel free cash to shareholders - shows producers are confident prices will stay firm, analysts said.
"Companies can finally say things have recovered enough in the industry that we can maintain returns to shareholders and put some money into production growth," said RBN Energy analyst Martin King.
Benchmark North American crude has averaged $75.64 a barrel year-to-date, declining from 2022 highs, but above the five-year average of $65.89 a barrel.
