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Oilsands an emerging global growth star
# t( F, n( j8 H G7 i+ y4 T6 PExxonMobil forecast predicts output of four million barrels a day by 2030
6 \: n& |8 y6 jGordon Jaremko, The Edmonton Journal/ [+ B- c b3 W5 O
Published: 2:37 am
4 a% K8 U7 @' w q1 jEDMONTON - As oil leaps towards a new landmark high of $100 US a barrel, the world's top investor-owned producer has singled out Alberta as an emerging global star of production growth.8 E/ \9 g, a9 x1 W$ G2 C& O! K
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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.4 ?' k: k+ f( V" E
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Oil jumped to $96.67 a barrel, up $2.69 in New York trading Tuesday on fears of global supply disruptions after storms battered North Sea production platforms and guerrillas attacked a pipeline in Yemen.
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Gasoline prices in Edmonton were 99.9 cents per litre at many stations on Tuesday. e# q- ~7 `: L" I
Larry Wong, The Journal$ `9 O# T. ^7 n- C8 p
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Edmonton refinery postings for Alberta output Tuesday ranged from $60.74 for low-grade heavy crude to $91.11 for premium oilsands synthetic production. The Canadian benchmarks are translations of international prices, adjusted for pipeline tolls and currency exchange rates.4 @0 s8 @ [2 R" @6 Z
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ExxonMobil's high oilsands expectations are realistic and reasonable, said Bob Dunbar, an Alberta industry veteran whose Strategy West Inc. specializes in the field.
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( p+ K$ k3 T; g! k+ B9 w/ _! VOutput 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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While 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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9 |, r( Z5 Z: o' XWhen 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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