“r.itemList.length” “this.config.text.ariaShown”
“This.config.text.ariaFermé”
(Bloomberg) – Imperial, of Exxon Mobil Corp., closed its oil sands mine after a pipeline leading to the operation was spilled, which added to the problems of Canada’s deteriorating energy industry.
Imconsistent withial announced Wednesday that it would dismantle its Kearl mine in northern Alberta following a saturday leak that led to Inter Pipeline Ltd.to close the western segment of its Polaris network of 240,000 barrels a day.withated through Imconsistent withial and Husky Energy Inc.it is combined with the sticky bitumen they produce, so it can be sent through pipes.
Disruption is the latest blow to Canadian crude oil manufacturers who were battling the lack of pipeline infrastructure and the shale festival before the Covid-19 pandemic reduced demand for the U.S. refineries they supply.
Western Canadian Select’s benchmark for the October delivery was strengthened relative to West Texas Intermediate.Its reduction as opposed to the US benchmark is the same as the US benchmark.But it’s not the first time It has been reduced from $1.40 consistent with the barrel over the two days after $9.40.By Tuesday, the spread had fallen below $10 since August 17, according to NE2’s knowledge.
Imperial stated that the Kearl mine is in a position to be successful at its full production rate once the diluent source is restored, and that it is seeking measures to mitigate the effect of the disruption.
The domain where the pipeline rupture is believed to have occurred is known and the company is working to remove the “product” from the closed section, said On Wednesday Shawn Roth, spokesman for the Alberta Energy Regulator.to resume service on the line.
There were no estimates for a reboot of those affected by the Polaris system, Inter Pipeline said Tuesday.The east side of the pipeline, which feeds some other oil sand sites, is fully operational.
What Bloomberg Intelligence says:
Leakage in the Polaris dilule pipeline has forced the production of oil sands at a time when manufacturers are already suffering with low margins and tight balance sheets., which produces more than 270,000 barrels per day. Husky, BP and Cenovus can also see effects on production and costs.
– Fernando Valle and Talon Custer, BI analysts
Husky, operator of the Sunrise site, affected by the closure of the pipe, “however, we have other features to help mitigate the effects,” spokeswoman Dawn Delaney said Tuesday.
(Updates with comment from the controller in the sixth paragraph)
For more items like this, visit bloomberg.com.
Subscribe now to forward with the highest source of reliable business news
© 2020 Bloomberg L.P.