• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days Does Toyota Know Something That We Don’t?
  • 5 days OPINION: Putin’s Genocidal Myth A scholarly treatise on the thousands of years of Ukrainian history. RCW
  • 1 day World could get rid of Putin and Russia but nobody is bold enough
  • 11 hours America should go after China but it should be done in a wise way.
  • 5 days CHINA Economy IMPLODING - Fastest Price Fall in 14 Years & Stock Market Crashes to 5 Year Low
  • 3 days China is using Chinese Names of Cities on their Border with Russia.
  • 5 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 3 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 4 days Putin and Xi Bet on the Global South
  • 4 days "(Another) Putin Critic 'Falls' Out Of Window, Dies"
  • 5 days United States LNG Exports Reach Third Place
  • 5 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 9 days huge-deposit-of-natural-hydrogen-gas-detected-deep-in-albanian-mine

Canada’s Oil Boom Constrained By Workforce Shortage

While $100 oil incentivizes increased production in Canada’s crude-producing province of Alberta, the ramp-up of production is being held back by an issue all too familiar to the U.S. shale patch—there are not enough skilled workers to employ.

During the 2020 slump induced by the pandemic, the industry lost a lot of jobs, and many of the workers previously employed in oil and gas in Alberta have now moved on to other sectors of the economy, seeking stability, which is a rare and short-lived occurrence in today’s oil market.

“The pool that we relied on have moved to other occupations — trades, construction — and have found other employment elsewhere, whether in Western Canada, or have moved back home to jurisdictions that we had traditionally recruited from, like Central Canada and Eastern Canada,” Mark Scholz, president and CEO of the Canadian Association of Energy Contractors (CAOEC), told Julia Wong of CBC News.

At the end of last year, CAOEC had expected that a total of 6,457 wells were expected to be drilled in Canada in 2022, which would be an increase of 1,363 from the 5,094 wells planned for drilling in 2021.

The number of total jobs was to stand at 34,925 this year, an increase of 7,280 jobs in the Canadian oil patch compared to 2021, the association representing Canada’s energy service contractors operating close to the wellhead said in its Q4 2021 and 2022 Drilling Forecast. Back in November, CAOEC expected that the biggest risk to CAOEC’s forecast was going to be labor constraints. After years of lows, CAOEC members struggled in 2021 with crew constraints due to labor shortages, hampering the sector’s ability to meet growing demand, the association said in its forecast in November.  

This year, after the Russian invasion of Ukraine, Canada said it expects to boost its crude oil exports as Western importers turn away from Russian oil. Meanwhile, as oil prices remain high, a growing number of Canadian producers are considering production increases.  

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News