Canada's cost cutters
In the race to lower costs, Alberta's in situ oil sands producers are beating the miners
Since the crude price collapse in late 2014, Canadian oil sands producers have managed to slash bitumen production costs, both at open-pit mining and thermal in situ operations. Some of these reductions are cyclical, reflecting falling costs across the industry. The weaker Canadian dollar has helped as well, driving down domestic costs in US dollar terms. However, while these cyclical reductions have been seen across the board, some operators have been able to achieve clear, structural cost advantages in the low-price environment. In situ projects in particular have shown more effective energy usage and efficiency gains in reservoir engineering, giving them a leg up in Alberta's heavy oil pa
Also in this section
21 February 2025
While large-scale planned LNG schemes in sub-Saharan Africa have faced fresh problems, FLNG projects are stepping into that space
20 February 2025
Greater social mobility means increased global demand for refined fuels and petrochemical products, with Asia leading the way in the expansion of refining capacity
19 February 2025
The EU would do well to ease its gas storage requirements to avoid heavy purchase costs this summer, with the targets having created market distortion while giving sellers a significant advantage over buyers
18 February 2025
Deliveries to China decline by around 1m b/d from move to curb crude exports to Shandong port, putting Iran under further economic pressure
