Canada: Energy

The Canadian energy sector is actively positioning itself within a shifting North American market, with a focus on global diversification. A new competitive dynamic is emerging as Venezuelan oil is currently priced higher than Canadian barrels for U.S. Gulf Coast buyers. In response, Canadian industry figures like Mark Carney are publicly advocating for Canadian oil, arguing it is competitive, cleaner, and lower-risk compared to a potential resurgence from Venezuela, while dismissing U.S. influence over Venezuelan reserves as a threat.

Concurrently, Canada is pursuing significant expansion of its energy trade with major Asian economies. The country is discussing deals to export more oil, petroleum, and uranium to India, with a potential official visit to finalize agreements, while also plotting a course to increase exports of oil, gas, and uranium to China. This strategy is yielding results, as the country set a record in November for oil exports to non-U.S. destinations, with sales to China increasing significantly. In a separate development, Shell and Mitsubishi are exploring the sale of their ownership stakes in the LNG Canada liquefied natural gas export project in British Columbia.