Crude Oil Prices

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Don't Confuse Peter MacKay's Pipeline Claims For Facts

There is a catechism of the fossil fuel industry, with oft-repeated claims that seem by repetition to escape examination. Peter MacKay's recent opinion piece on pipelines was a veritable greatest hits compilation of such claims. He writes that "pipelines are by far the safest means of transporting oil." The first muddying of facts is the notion that we are talking about shipping oil. All the current pipeline proposals, including Energy East, are primarily about shipping unprocessed bitumen. Bitumen is in a pre-crude state and can only be casually referenced as "oil" if one accepted the idea that grain should be referred to as "croissants" when discussing markets.
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A "Fair Price" for Canada's Oil Is a Slippery Slope

The basic argument goes like this: A barrel of oil sands crude currently trades at a lower price than other global oil benchmarks. That price gap means Canadians are losing money on every barrel sold. Access to world markets will fetch higher prices, elevating our collective prosperity. It's a persuasive story, tickling the part of the brain associated with loss aversion. No one wants to bleed money day after day. At the same time it paints a picture of one nation, our fortunes rising and falling in unity. It's good politics. But the reality is more complex.
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The Costs of Canada's Inability to Ship Oil to Market

As almost everyone knows by now, Canada has some interesting challenges looming when it comes to transporting increasing oil production to markets both inside and outside of Canada. What many Canadians might not realize is how important oil exports are to Canada's economy, and how these exports may have become a crutch.