Canada can increase oil, gas exports in 2022 to help global energy security: Wilkinson
Canada has capability to extend oil and gasoline exports by as much as 300,000 barrels per day (bpd) in 2022 to assist enhance international power safety following Russia’s invasion of Ukraine, Pure Assets Minister Jonathan Wilkinson mentioned in an announcement on Thursday.
Canada can also be methods Canada might displace Russian gasoline with liquified pure gasoline (LNG) from Canada after requests from European international locations, the minister added.
Wilkinson was in Paris for a gathering on the Worldwide Vitality Company (IEA) headquarters, the place the US and allies mentioned methods to assist calm risky oil markets.
Canada, the world’s fourth-largest crude producer, is eager to assist shore up long-term power safety as international locations that beforehand relied on Russian oil and gasoline search for replacements amid sanctions aimed toward punishing Russia.
Wilkinson mentioned Canada might enhance oil exports by as much as 200,000 bpd and pure gasoline exports by as much as 100,000 barrels of oil equal per day (boepd) this 12 months in response to requests from allies to handle provide shortages.
“Our European associates and allies want Canada and others to step up,” Wilkinson mentioned. “They’re telling us they want our assist in getting off Russian oil and gasoline within the quick time period, whereas dashing up the power transition throughout the continent.”
Canada at the moment exports round 4 million bpd of oil to the US, a small portion of which is re-exported abroad.
The announcement comes lower than per week earlier than Canada releases an in depth plan on the way it will minimize carbon emissions. Environmental activists urged the federal government to give attention to changing Russian power with cleaner sources.
“The one actual resolution to oil-fueled aggression towards folks and the local weather is to speed up the transition off fossil fuels by investing in renewable power and effectivity,” mentioned Greepeace Canada’s senior power strategist Keith Stewart.
Wilkinson mentioned Canada is having conversations with European international locations about whether or not it could actually construct extra LNG initiatives. At the moment, Canada doesn’t export any LNG, however a Shell-led consortium is constructing a big facility on the west coast.
Any LNG challenge would should be ultra-low emissions and in a position to transport hydrogen in future as Europe weans itself off fossil fuels, Wilkinson mentioned.
On the east coast there are a few potential initiatives “which can be a way by the regulatory course of,” Wilkinson mentioned, with out specifying which of them.
“We’re what we might be able to do … as a result of, after all, they (Europe) have a really massive dependence on pure gasoline that comes from Russia,” he mentioned.
The minister additionally attended a gathering to debate how IEA member international locations can work collectively to make sure availability of crucial minerals required for the power transition.
