Canada’s oil sells for less

CALGARY


At times in December, the price of a barrel of West Canadian light crude fell almost $10 below that of benchmark West Texas intermediate crude (WTI), but the gap has since narrowed to about $2.50. The two usually trade at similar prices, or even a slight premium for the Canadian blend.

The hit to fourth-quarter results from the anomaly is not expected to be dramatic, particularly given the much larger issue of the collapse of global prices. As well, pipeline companies are bringing on new projects that will relieve the strain on the system.

Globe and Mail