• 3 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 7 minutes Saudi and UAE pressure to get US support for Oil quotas is reportedly on..
  • 11 minutes China devalues currency to lower prices to address new tariffs. But doesn't help. Here is why. . . .
  • 15 minutes What is your current outlook as a day trader for WTI
  • 1 hour Domino Effect: Rashida Tlaib Rejects Israel's Offer For 'Humanitarian' Visit To West Bank
  • 5 hours In The Bright Of New Administration Rules: Immigrants as Economic Contributors
  • 2 hours Will Uncle Sam Step Up and Cut Production
  • 8 hours Gretta Thunbergs zero carbon voyage carbon foot print of carbon fibre manufacture
  • 8 hours Continental Resource's Hamm (Trump Buddy) wants shale to cut production.Can't compete with peers. Stock will drop in half again.
  • 20 hours US Petroleum Demand Strongest Since 2007
  • 20 hours Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 19 hours Movie Script: Epstein Guards Suspected Of Falsifying Logs
  • 8 hours Strait Of Hormuz As a Breakpoint: Germany Not Taking Part In U.S. Naval Mission
  • 3 hours Significant: Boeing Delays Delivery Of Ultra-Long-Range Version Of 777X
  • 2 hours Why Oil is Falling (including conspiracy theories and other fun stuff)
  • 3 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
Alt Text

The U.S. Plans To Send Nuclear Reactors To Space

Despite the nuclear industry stumbling…

Alt Text

Oil Demand Growth Slowdown Isn’t Over Yet

Oil demand growth forecasts continue…

Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

Canadian Oil Industry On Edge Ahead Of Election Outcome

The Conservatives in Canada could see a decade of rule come to an end this week, and although there is a lot of uncertainty about what that means for the oil and gas sector, it is clear that a new government would not be as friendly.

Canadians headed to the polls on October 19 to choose the next Prime Minister. Three parties are neck and neck, with the Liberals expected to squeeze out a slight advantage. Without a clear majority, Liberal Party leader Justin Trudeau will need to form a coalition. Related: Russia Could Gain A Stranglehold On This Market

Canadian Prime Minister Stephen Harper has been an ally of the oil and gas industry in Canada, representing a district in oil-rich Alberta. He has strongly supported drilling and the construction of pipelines, including heavily lobbying the U.S. government to approve Keystone XL.

However, in addition to his long tenure as Prime Minister, which has likely contributed to some fatigue among the electorate, Harper has also been undermined by the collapse in oil prices. With crude trading for less than half of what it was compared to the boom years, the Canadian economy fell into recession earlier this year. Related: Oil Market Showdown: Can Russia Outlast The Saudis?

Alberta, home of the vast oil sands, has been especially battered by the plunge in commodity prices. Major oil sands producers have dramatically scaled back investment and spending, and the shrinking flow of capital has reverberated throughout the economy. Canada’s manufacturing sector has declined in recent years, leaving the country with fewer options to pick up the slack.

All of this adds up to an electorate seeking change. And political change could rub salt in the wound for the oil and gas industry. A potential Liberal government, especially if they formed a coalition with the more leftist New Democrat Party, would, by all accounts, be less accommodating to resource extraction companies than the current government. Trudeau has already come out against the controversial Northern Gateway Pipeline that would allow oil sands producers in Alberta to export their product by reaching the Pacific Coast. Related: Downturn Hits Bottom But High Oil Storage Could Delay Recovery

At the same time, Trudeau has promised to run deficits in order to finance major infrastructure spending, which could cushion the blow to the economy from declines in spending by private industry.

But after ten years of a friendly government, oil and gas companies are about to enter a new political era, adding yet more uncertainty to an already tough period.

By Charles Kennedy of Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play