The head of Shell Canada Mr. Michael Crothers, in a statement said that the company’s capital expenditure is estimated to drop by 500 million dollars this year. He noted that this came after a closed deal was made in a sale of oil sands resources the past week.
He added that, the total annual spending which amounted to 2 billion dollars will now register a decrease to 1.5 billion dollars. This will not affect their relationship with the Royal Dutch Shell’s global operations since they are a great partner and remain a significant contributor to the overall out-turn of the company.
Mr. Crothers further stated that the organization’s focus will shift to shale oil and gas properties found in the British Columbia, Alberta together with its refineries and compound organizations near Edmonton and the anticipated West Coast LNG extend. This greatly advantages the Canadian Natural Resources (TSX:CNQ).
Shell Canada will add 20,000 barrels of oil equivalent every day in the year with the present Western Canada generation of 130,000 barrels of oil each day, says Mr. Crothers. This will be owed to the immense amounts of new barrels coming from the Alberta Duvernay milieu.
Crothers also related that the current market for melted gaseous petrol portrays a trend of being augmenting. Although there isn’t a specific schedule inference for the Kitimat, B.C. based LNG Canada and its abettors have recommended production.
This undertaking says Crothers isn’t predisposed to susceptibility over who will eventually run the B. C. government. Despite the recent close tie in the race, both the Liberals and the NDP are strongly in support of it.
J C Loum