Rant: Can someone explain this to me?

[jesseps]

We get our petrol from Alberta, I know its more costly than a Saudi operation, seeing its oil sand and what not. Plus all the taxes, but with the situation in Libya why are people freaking out about oil production, when we have our own shit. For one why should our prices go up, if we produce and refine our own petrol The way I see it, if people in Canada raise their gas prices because of Libya, they are just profiting from people's stupid fear. Plus what we are paying doesn't make sense already, but thats just me.

 

We pay around 0.16 cents per liter.

 

Actually, I might have figured out my question. Seeing most oil prices are set by outside production (i.e OPEC) that was really effects the price, which to be if thats the case, fuck them and their oil politics and Canada and other countries should form a new oil union for other countries who want off OPEC oil and want something else.

 

-end /rant.

[OursNoir]

Le pétrole de l'ouest canadien est exporté vers l'ouest américain, et transporté par pipeline. Ça leur revient moins cher que de transporter par bateau en passant par le canal de Panama.

 

Pour l'est du Canada, construire un pipeline revient plus cher que de s'alimenter par bateau avec du pétrole "cheap" de l'OPEP.

 

Tout est une question d'argent.

[Malek]

Alberta does not supply Quebec and the maritimes.

 

We get our oil from algeria, venezuela, etc.

[mtlrdp]

We get our natural gas from Alberta ,oil comes from the north sea (uk Norway) venezuela and from the middle east

[jesseps]

Thank you for clearing that up for me Much appreciated.

[Cyrus]

Basically Canadian oil is traded at a world price, so it is affected via the market. Montreal is kind of interesting as it runs on imports mostly via the Portland-Montreal pipe line, which allows Montreal to buy any cheap oil that they can find at that time (opportunity crudes). With a pipeline to a specific field, you are kind of locked-in on that source, but if it is coming via boat, you can take any boat (assuming it is refinable)

 

The current situation has Canada running on Canadian oil west of Sarnia and imports east of that, mostly because of the feds manipulating things and Imperial Oil & friends wanting to maintain the access to opportunity crudes and inexpensive production from their foreign assets in Montreal.

 

There has been talk though of reversing the pipeline from Sarnia to Montreal and Montreal-Portland so that Alberta oil would supply Canada and also export to the northeast USA but I think it got shelved during the economic crisis (might come back though) as the oil output in the oilsands region especially is increasing fast and markets are desirable. It would still end up affected though since the price is "world price" and variable.

 

PET and the NDP tried to flip this over (fixed low prices for petroleum products) with the National Energy Program but this really was not very good for the economy and it nearly broke up the country, because it pissed off the West and nobody in the East noticed and Quebec was pissed anyway

 

It's important to note that oils are not the same and not at the same price. Typically "oil" means "West Texas Intermediate" delivered to Cushing, OK, but there are other standards traded on the market like Edmonton Par or the OPEC basket or UK Brent. Usually they all trade at a discount of WTI but sometimes a bit more (like Brent recently or Edmonton often is).

 

Probably a better way is to just rant about taxes. I was in Pembroke ON around noon and tanked up at 1.109/L and that is with the crazy-high taxes of Ontario. Just by my house in Montreal when I got home, they were at 1.259 with insane taxes of Quebec & Montreal...

Edited February 24, 2011 by Cyrus