Did you know that 12 of the 13 provinces and territories in Canada have an active petroleum industry stimulating the economy within their respective boundaries in some way or another?
These companies are using goods and services in many regions throughout the country, making the exploration and production of oil and gas truly a national industry.
Here’s some quick facts on the oil and gas industry across Canada – you might be surprised as to how much the provinces and territories other than Alberta are involved in this precious industry of ours!
- In the 2017/2018 fiscal year, industry made $5 billion in payments to the Alberta government for use of its oil and gas resources – 7% of the government’s total revenue
- Over the last decade, $77 billion in royalty payments were made by industry to the provincial
- In 2017, 10.4 billion cubic feet of marketable natural gas was produced every day
- In 2017, 446,000 barrels of conventional oil were produced every day
- In 2017, the oil sands produced 2.7 million barrels of oil per day, contributing to the 92.6 million barrels produced worldwide.
- Home to the Montney and Horn River natural gas basins, estimated to hold up to 349 trillion cubic feet of ultimate market natural gas – the main sources for the proposed $40 billion BC LNG project
- In 2016, a total of $380 million was paid by industry in royalties and crown land sales to the provincial government for use of oil and natural gas resources
- In 2016, industry spent $2.5 billion on exploration and development of oil and natural gas
- In 2017, 4.7 billion cubic feet of marketable natural gas was produced every day
- In 2017, 21,000 barrels of crude oil was produced every day
- Saskatchewan has around 7 billion barrels of crude oil and around 9.5 trillion cubic feet of natural gas. To date, about 6 billion barrels of oil and 7.2 trillion cubic feet of natural gas have been produced
- Is the second largest oil producer of all Canadian provinces and territories, making up 12% of Canada’s total oil production
- In 2017, the province produced 485,000 barrels per day of crude oil
- In 2017/2018 fiscal year, nearly $721 million in royalties was paid by the petroleum industry into government coffers for use of its oil and gas resources
- In 2016, industry spent about $2.8 billion on oil and gas exploration and development
Newfoundland & Labrador
- Home to significant offshore crude oil deposits with 4 major projects including Hibernia, Hebron, Terra Nova and White Rose
- Produces about 250,000 barrels of oil per day from these offshore projects
- In 2016, industry spent $5.4 billion on exploration and development of oil and natural gas
- In 2017/2018, an estimated $920 million will be paid to the provincial government in royalties from offshore oil production
- In 2018/2019, an estimated 16% of total provincial revenues will come from oil royalties
- Bay du Nord, a new reserve with an estimated 300 million barrels of oil, is the first remote deepwater project to be approved, with first production projected in 2025
- The first offshore well was drilled in 1967, with the first offshore discovery at Sable Island in 1971. Since then, about 23 major discoveries have been made from 127 wells drilled.
- Estimates of offshore reserves by the provincial government is 120 trillion cubic feet of gas and 8 billion barrels of oil
- Between 2000 – 2016, approximately $2 billion in royalties was paid to the provincial government by industry
- Over the past two decades, there’s been about $8.5 billion in capital spending by the industry
- New Brunswick is home to approximately 77.9 trillion cubic feet of technically recoverable natural gas
- In 2017, approximately 3.2 million cubic feet of marketable natural gas was produced every day
- There’s currently 32 total natural gas wells being produced in the province
- In total, there’s 302 oil and natural gas wells drilled in various locations throughout the province
- A total of 121,379 hectares have been leased for oil and gas exploration and development
- Has managed to increase its production of crude oil by nearly four-times since the turn of the century – currently produces about 40,000 barrels per day
- In 2016, a total of $250 million was paid by industry on exploration and development of oil and natural gas
- Is the 4th largest crude oil producer among all provinces of Canada
- Quebec’s refining capacity is currently around 402,000 barrels per day
- Around 400 companies across Quebec play a vital role in supplying the oil sands with much needed goods and services
- Between 2017 and 2027, the oil sands will contribute about $45 billion to the economy of Quebec
- Between 2017 and 2027, about $5 billion in taxes will be paid to the provincial government as a result of companies in the oil and gas sector operating across Canada
- Ontario’s refining capacity sits at 394,700 barrels per day, about 20% of Canada’s total capacity
- Despite not producing much petroleum, there’s 2,385 producing oil and gas wells across the province.
- In 2014/2015, Canada’s oil and gas sector spent $3.9 billion on goods and services from about 1,500 companies found across the province
- From 2017 to 2027, about 12% of the total jobs created by Canada’s oil and gas industry will be in Ontario
- From 2017 to 2027, a whopping $153 billion is expected to be contributed to the economy of Ontario
- Around 1,600 companies across Ontario play an important role in supplying the oil sands industry with goods and services
Prince Edward Island
- While the oil and gas industry in P.E.I. remains in its early stages of development, there are more than 1 million acres of land currently being used for exploration of oil and natural resources.
- In 1943, the first offshore well in Canada was drilled off the coast of P.E.I.
Nunavut, Yukon & Northwest Territories
- Nunavut, the Yukon and Northwest Territories is home to a vast amount of untapped crude oil and natural gas reserves.
- As technology progresses along with higher commodity prices for petroleum, northern Canada is attracting more producers
- Substantial exploration and development is currently underway, especially in the warmer southern areas of the three territories close to provincial borders
- In 2016, the territories produced 9,000 barrels of conventional produced oil per day
- In 2016, approximately 5.4 million cubic feet of natural gas was produced per day
Canada’s Oil & Natural Gas Industry Benefits Us All
While Alberta is home to the majority of oil and natural gas reserves in Canada, from the points above it’s clear that the oil and natural gas industry is operating in almost all provinces and territories and brings about economic benefits for almost all Canadians.
Today, Canada’s petroleum industry is under attack by special interest groups who spread misinformation about our nation’s most valuable industry.
As Canadians we owe it to ourselves, our children and grandchildren to speak up in support of Canadian-produced oil and gas as our prosperity today and for future generations is on the line!
What Can YOU Do?
There’s several actions you can take to help support Canada’s natural resource and petroleum industries. Check them out here:
Join Us @ Canada Action
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Sources: Government of Canada, Canadian Association of Petroleum Producers (CAPP)