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Oilsands an emerging global growth star
/ {5 B( B; ^0 M0 x" v* yExxonMobil forecast predicts output of four million barrels a day by 20301 V" G/ @4 _- r+ [& x& z
Gordon Jaremko, The Edmonton Journal/ f& N$ t& E% O/ V
Published: 2:37 am
3 o6 N l# V. H Y, L+ ] gEDMONTON - As oil leaps towards a new landmark high of $100 US a barrel, the world's top investor-owned producer has singled out Alberta as an emerging global star of production growth.
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Oilsands output will multiply fourfold to more than four million barrels daily by 2030, ExxonMobil Corp. predicts in a new international industry outlook report. And that forecast errs on the conservative side by projecting "fundamentals" of demand and supply trends instead of relying on prices to stay sky-high, ExxonMobil spokesman Allan Jeffers said Tuesday. i) X) \. ?" s# l% `( P
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Oil jumped to $96.67 a barrel, up $2.69 in New York trading Tuesday on fears of global supply disruptions after storms battered North Sea production platforms and guerrillas attacked a pipeline in Yemen.+ C6 ?4 R1 O6 R
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Gasoline prices in Edmonton were 99.9 cents per litre at many stations on Tuesday.: B1 E. E. T, p1 g; X. E) L- |
Larry Wong, The Journal2 v( S2 p# t2 O. ]2 |; f6 T
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Edmonton refinery postings for Alberta output Tuesday ranged from $60.74 for low-grade heavy crude to $91.11 for premium oilsands synthetic production. The Canadian benchmarks are translations of international prices, adjusted for pipeline tolls and currency exchange rates.
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# V! p9 N7 C- g/ h) @" p/ L" rExxonMobil's high oilsands expectations are realistic and reasonable, said Bob Dunbar, an Alberta industry veteran whose Strategy West Inc. specializes in the field.
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, I) {) U: @6 ~6 A3 o9 B/ @Output from the northern bitumen belt would grow to six million barrels a day if all known projects were built on their announced schedules, Dunbar said.
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& z( `: i" i$ y4 iWhile no one believes the current spike will last, the looming new record high is seen as confirming that a new era of premium prices has arrived to stay, he said.
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When the oilsands rush began in the late 1990s developers only relied on markets to stay in a range of $20 to $30 a barrel. To be profitable, new projects today count on sustained averages in a higher band of $60 to $70, Dunbar estimated. |
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