Oilsands producers can’t fill gap if Venezuela cuts of oil to U.S.

CALGARY – With Venezuela talking tough about cutting off its oil exports to the United States, the Americans might look to their friendly neighbour to the north – already the No. 1 exporter to the U.S. – for a stable fuel supply.

But the question is whether companies who operate in Northern Alberta’s vast oilsands can step up production fast enough to fill the gap should the South American communist state, the fourth largest exporter to the U.S., decide to follow through on its threat.


“The U.S. may have to get supply from other countries, including Canada,” said Gordon Laxer, a University of Alberta political economist.

But shortages in labour and pipeline capacity might put a damper on that plan, he said.

“I really don’t think that we can ramp up production quickly. We don’t have surplus production capacity.”

Canadian Press