This report examines the short-and medium-term economic and profitability outlook for Canada’s Gas Extraction Industry.
Canada’s Gas Extraction Industry: Industrial Outlook Winter 2011
Canada’s Gas Extraction Industry: Industrial Outlook Winter 2011
Industry Economic Analysis
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- Production—Two consecutive years of weak drilling in Alberta will only exacerbate the steep decline rates at existing fields.
- Prices—North American natural gas prices are determined regionally, and thus remain insulated from the global factors driving oil prices higher.
- Trade—U.S. natural gas production has been bolstered by shale gas opportunities. This increase in production will satisfy a higher share of domestic demand requirements, lowering the need for imported natural gas from Canada.
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