NEWS UPDATES

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GLOBAL

GREEN ENERGY COULD DRIVE COVID-19 RECOVERY WITH $100TN BOOST

Renewable energy could power an economic recovery from COVID-19 by spurring global GDP gains of almost $100 trillion (£80 trillion) between now and 2050, according to a report.

ALBERTA TO STAY COURSE AS OPEC, ALLIES REACH DEAL TO CUT OIL OUTPUT

The OPEC and allies led by Russia have agreed to cut oil output by a record amount – representing around 10 per cent of global supply – to stabilize prices as the COVID-19 pandemic has decimated demand for oil. After four days of marathon talks, the group, known as OPEC+, agreed to reduce output by 9.7 million barrels a day for May and June.

COVID-19 IS KILLING OIL AND GAS BUT THE VIRUS COULD ALSO POISON RENEWABLES

Given the economic downturn — 7 million jobs lost in March alone — the demand for oil and gas will remain weak. That will cause prices to fall even further, perhaps as low as $20 per barrel. But the dip will be relatively short-lived. And while oil prices are expected to climb again, green energy’s future is now in limbo. With gasoline prices so low, the pressure is off to invest in alternative fuels.

ENBRIDGE SUBMITS APPLICATION TO PROCEED BUILDING TUNNEL FOR PIPELINE UNDER MACKINAC STRAITS

Enbridge is seeking state and federal permits to build an oil pipeline beneath the waterway linking Lakes Huron and Michigan. Enbridge wants to drill a tunnel in bedrock beneath the Straits of Mackinac to replace an underwater segment of its Line 5 pipe. It carries 23 million gallons of oil daily between Superior, Wisconsin and Sarnia, Ontario.

TC ENERGY ENLISTS ALBERTA TO HELP BUILD US$8-BILLION KEYSTONE XL PROJECT

A final investment decision clearing the way for construction of the long-delayed Keystone XL Pipeline was greeted with relief by an Alberta oil patch where production has grown faster than pipeline capacity. The decision by TC Energy Corp. to go ahead with the US$8-billion project was widely anticipated after it cleared major U.S. regulatory hurdles earlier this year and began site preparation work in Montana, South Dakota, and Nebraska.

NATIONAL

CHINA’S LONG-TERM NEED FOR LNG STILL HUGE; SHORT-TERM DEMAND UNCERTAIN DUE TO COVID-19

The “30,000-foot-view,” in business parlance, describes getting to a high enough level to see the big picture. It’s also an apt phrase — both literally and figuratively — for describing the long-term need for Canadian LNG to displace the use of highercarbon producing coal for power generation.

OIL SANDS’ ‘UNTOUCHABLE’ DIVIDENDS FACE SOME RISK, TD SAYS

Canadian oilsands companies’ dividends aren’t fully immune to the dismal energy environment, and cuts could occur if commodity prices don’t improve, according to TD Securities.

CANADA'S EMISSIONS COUNT JUMPED 15 MILLION TONNES IN 2018, REPORT SHOWS

A surge in emissions from road traffic, manufacturing, home heating, and fossil-fuel production in 2018 almost entirely erased any progress this country had made cutting greenhouse gas emissions since 2005, the federal government reported April 15. Across Canada, truck drivers and couriers are being barred from restrooms while they deliver essential goods, including medical equipment and fresh produce. Drivers say their services are welcomed by businesses, but their basic human needs, including the need to relieve themselves, aren’t being accommodated because of fears they’ll spread COVID-19.

ENBRIDGE RUNNING MAINLINE WITH UNUSED SPACE AS CANADA OIL CUTS DEEPEN

Enbridge Inc. is running North America’s biggest oil pipeline network, the Mainline, with unused capacity as Canadian producers cut output because of the spread of the coronavirus and low prices, a senior executive said on April 6.

SHOCKPROOFING CANADA: WHY THE KEYSTONE PIPELINE IS JUST THE START OF MAKING US ENERGY SELF-SUFFICIENT

Two weeks before TC Energy Corp. and Alberta Premier Jason Kenney announced the $7.5-billion deal to begin construction on the long-delayed Keystone XL pipeline, crews were entering quarantine at work camps along the Canada /United States border to ensure everyone was healthy in preparation for a get-to-work order.

IMPERIAL OIL CUTTING SPENDING PLANS FOR 2020 BY $1 BILLION AMID COVID-19 PANDEMIC

Imperial Oil Ltd. is reducing its spending for this year by $1-billion, including a $500-million cut to its capital spending plan as it deals with the COVID-19 pandemic and crash in oil prices.

AS COVID-19 SPREADS, HOW SAFE IS IT TO PUMP GAS RIGHT NOW?

If you really need gas, don’t let viral rumours keep you from filling up. Touching a gas pump likely isn’t any riskier right now than touching door handles, bank machines, or anything else that gets touched by a lot of other people.

OTTAWA’S PLAN FOR OIL AND GAS HELPS IN THIS CRISIS – BUT A NEW ENERGY FUTURE MUST BE THE BIGGER GOAL

Opinion piece by Kevin Krausert is the president and chief executive officer of Beaver Drilling, co-founder of the Avatar Program, and the drilling rig executive chair of the Canadian Association of Oilwell Drilling Contractors.

WESTERN CANADA: OTTAWA PLEDGES $2.4-BILLION TO HELP OIL AND GAS WORKERS HIT BY LOW PRICES, PANDEMIC

The Alberta government and the industry have been ramping up pressure to act, as oil and gas companies continued to be hammered by the combined effects of a global price war that drove down prices and the COVID-19 pandemic, which has dried up demand. Finally, the government came forward with a $2.4-billion package yesterday that is aimed primarily at helping laid-off oil and gas workers.

9 ADDITIONAL COVID-19 CASES CONFIRMED AT KEARL LAKE OIL SANDS FACILITY

Twelve people linked to Imperial Oil’s Kearl Lake oil sands facility have now tested positive for COVID-19 on April 16, an increase of three since the day before.

ALBERTA OIL PRODUCERS SAY MORE NEEDS TO BE DONE TO STABILIZE INDUSTRY

The energy sector — hit hard by the dramatic drop in world oil prices —says the OPEC production cut deal isn’t enough to ensure Alberta’s patch stays healthy. Provincial affairs reporter Tom Vernon explains.

ATHABASCA SUSPENDS CANADIAN OIL-SANDS OPERATION ON LOW PRICES

Athabasca Oil Corp. fully suspended its Hangingstone oil sands operation to combat low oil prices and uncertainty surrounding coronavirus. The move comes shortly after Athabasca said in March it would curtail production at Hangingstone by about 50 per cent to maximize corporate funds flow and liquidity.

KENNEY ANNOUNCES $1.5B INVESTMENT IN KEYSTONE XL PIPELINE

Alberta Premier Jason Kenney announces a $1.5-billion equity investment in the Keystone XL pipeline for this year.

UNIFOR RECOMMENDS MEMBERSHIP REJECT COOP REFINERY'S 'BEST AND FINAL OFFER'

The Co-op Refinery Complex has made a new offer to their locked-out Unifor members and has applied to force a vote on the proposal. The union's leadership is recommending its membership reject the offer. Alberta’s highest court has overturned regulatory approvals for a $440-million oil sands project that would have encroached on land a First Nation considers sacred.

ONTARIO / QUÉBEC REGION

REPLACEMENT OIL PIPELINE CROSSING PROJECT MOVING AHEAD IN SARNIA

With energy projects deemed essential, work has continued on the replacement of Enbridge’s Line 5 oil pipeline crossing beneath the St. Clair River at Sarnia. The $20-million project began earlier this year to drill a new crossing deeper in the riverbed than the existing one.

McDougall Energy offers free beverages, snacks and meals at company's retail, gas locations. SUDBURY AREA ROADSIDE RESTAURANT SERVING FREE MEALS TO TRUCK DRIVERS, FIRST RESPONDERS

ATLANTIC REGION

IRVING OIL TO PRODUCE HAND SANITIZER DURING CORONAVIRUS PANDEMIC

Irving Oil announced that it will retool its blending and packaging facility in Saint John, N.B. to add hand sanitizer to the production line.

LAYOFF NUMBERS UNCERTAIN IN NORTH ATLANTIC REFINERY SHUTDOWN

In a statement on March 31, North Atlantic Refinery Ltd. said it is shutting down to standby mode, but what that means in terms of layoffs remains unclear.

The Covid-19 virus pandemic has inflicted delay on a planned LNG export project on Canada’s Atlantic Coast, Goldboro LNG, project sponsor Pieridae Energy Ltd. said April 16. NOVA SCOTIA’S GOLDBORO LNG DELAYED ON COVID-19 FALLOUT

Newfoundland and Labrador Premier Dwight Ball says there is no plan to slow oil production at this time, even though the world's largest key oil cartel is cutting production. DESPITE OPEC OIL PRODUCTION CUT, N.L. HAS NOT BEEN ASKED TO CURB PRODUCTION, BALL SAYS

BVD Petroleum has donated

$100,000 to the William Osler Health

System Foundation in support of their Health Care Heroes campaign.

The CIPMA member’s donation will help the Peel Region foundation raise funds for health care workers and urgent equipment needs during the COVID-19 pandemic.

The Coronavirus pandemic may have challenged us in many ways but it is also building a greater sense of community. Let us know what you are doing to give back to your community during these difficult times.

Send your story to Jennifer Stewart at jstewart@cipma.org We look forward to hearing from you!

We recently released our 2019 ANNUAL REPORT If you haven’t received your copy, please feel free to contact Jennifer Stewart directly at jstewart@cipma.org

We want to share the successes of our members. If you want to feature your company’s recent achievements, updates, or simply want to be featured, please reach out to Jennifer Stewart at jstewart@cipma.org

Jennifer Stewart, President and CEO jstewart@cipma.org | Cell: 613.915.5699

Rita Molinari, CMP, Operations Manager rmolinari@cipma.org | Cell: 416.358.5207

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