Alberta
Canada’s oil sector is built to last, unlike its U.S. counterpart

This article supplied by Troy Media.
By Rashid Husain Syed
Low-cost oilsands give Canada a crucial edge as U.S. shale oil struggles with rising costs
While global oil markets have rebounded slightly on news of a U.S.-China trade truce, not all producers are equally positioned to benefit. In North America, the contrast is clear: Canada’s oil sector is built for stability, while the U.S. industry is showing signs of strain.
Canada’s oil production is dominated by the oilsands —capital intensive to build, but efficient and low-cost to maintain. Oil sands projects involve mining or steaming oil from sand-rich deposits and can produce for decades, unlike U.S. shale wells that decline rapidly and require constant reinvestment. This gives Canadian producers a structural edge during market downturns.
“The largest companies here in Canada … they have cost structures that are among the best in the world,” said Randy Ollenberger of BMO Capital Markets. “They can withstand WTI (West Texas Intermediate) prices in the range of US$40 and still have enough cash ow to maintain production.”
Mid-sized conventional producers in Canada often break even at US$50 to US$55 per barrel. Major players like Canadian Natural Resources can operate sustainably in the low-to-mid-US$40 range. A break-even price is the minimum oil price needed to cover production costs and avoid operating at a loss.
“We’re not planning on shutting any rigs down or changing our plans, yet,” said Brian Schmidt, CEO of Tamarack Valley Energy. “And it largely is
because our company can tolerate, and is quite profitable, at low prices.” He added: “I think we had already, even before the downturn, put ourselves into a defensive position.”
The data supports that confidence. According to Statistics Canada, 2024 was a record year: crude oil and equivalent output rose 4.3 per cent to 298.8 million cubic metres (about 1.88 billion barrels); exports increased five per cent to 240.4 million cubic metres; and shipments to non-U.S. markets jumped nearly 60 per cent, aided by the completion of the Trans Mountain pipeline expansion.
Nearly 89 per cent of Canada’s oil exports still flow to the United States, but structurally, the two industries are diverging fast.
In the U.S., the shale-driven oil boom is losing steam. Production dropped from a record 13.465 million barrels per day in December 2024 to 13.367 million, according to the U.S. Energy Information Administration.
Industry leaders are warning of a turning point.
“It is likely that U.S. onshore oil production has peaked and will begin to decline this quarter,” said Travis Stice, CEO of Diamondback Energy, the largest independent producer in the Permian Basin. The company is “dropping three rigs and one crew this quarter.”
ConocoPhillips, another major player, is also pulling back. It reduced its capital budget to between US$12.3 billion and US$12.6 billion—down from US$12.9 billion—citing “economic volatility.” Rig counts are falling as well, according to oilfield services company Baker Hughes.
The core challenge is cost. A Federal Reserve Bank of Dallas survey found that Texas producers’ average break-even price is around US$65, the cost to drill replacement wells ranges from US$50 to US$65, and growth drilling requires prices between US$78 and US$85.
Even after the recent rebound—sparked by the May 12 U.S.-China trade truce—West Texas Intermediate sits at around US$63.07, below what many U.S. firms need to expand operations.
Shale’s short life cycles, higher reinvestment demands and rising capital discipline are colliding with lower prices. The U.S. sector is being forced to slow down.
Canada’s oil sector isn’t just surviving—it’s adapting and growing in a volatile market. With lower ongoing costs, long-life assets and increased export flexibility, Canadian producers are proving more resilient than their American peers.
With tens of thousands of jobs across Canada tied to the oilpatch, the sector’s ability to remain profitable through downturns is critical to Canada’s economy, government revenues and energy security.
In a world of unpredictable oil prices, Canada is playing the long game—and winning.
Toronto-based Rashid Husain Syed is a highly regarded analyst specializing in energy and politics, particularly in the Middle East. In addition to his contributions to local and international newspapers, Rashid frequently lends his expertise as a speaker at global conferences. Organizations such as the Department of Energy in Washington and the International Energy Agency in Paris have sought his insights on global energy matters.
Troy Media empowers Canadian community news outlets by providing independent, insightful analysis and commentary. Our mission is to support local media in helping Canadians stay informed and engaged by delivering reliable content that strengthens community connections and deepens understanding across the country.
Alberta
Alberta poll shows strong resistance to pornographic material in school libraries

From LifeSiteNews
A government survey revealed strong public support, particularly among parents, for restricting or banning sexually explicit books.
Albertans are largely opposed to their children viewing pornography in school libraries, according to government polling.
In a June 20 press release, the Government of Alberta announced that their public engagement survey, launched after the discovery of sexually explicit books in school libraries, found that Albertans strongly support removing or limiting such content.
“Parents, educators and Albertans in general want action to ensure children don’t have access to age-inappropriate materials in school libraries,” Demetrios Nicolaides, Minister of Education and Childcare, said.
“We will use this valuable input to guide the creation of a province-wide standard to ensure the policy reflects the priorities and values of Albertans,” he continued.
READ: Support for traditional family values surges in Alberta
The survey, conducted between May 28 to June 6, received nearly 80,000 responses, revealing a widespread interest in the issue.
While 61 percent of respondents said that they had never previously been concerned about children viewing sexually explicit content in libraries, most were opposed to young children viewing it. 34 percent said children should never be able to access sexually explicit content in school libraries, while 23 percent believed it should be restricted to those aged 15 and up.
Similarly, 44 percent of parents of school-aged children were supportive of government regulations to control content in school libraries. Additionally, 62 percent of respondents either agreed or strongly agreed that “parents and guardians should play a role in reporting or challenging the availability of materials with sexually explicit content in school libraries.”
READ: Alberta Conservatives seeking to ban sexually graphic books from school libraries
The polling results come after the Conservative Alberta government under Premier Danielle Smith announced that they are going ahead with plans to eventually ban books with sexually explicit as well as pornographic material, many of which contain LGBT and even pedophilic content, from all school libraries, on May 27.
At the time, Nicolaides revealed that it was “extremely concerning” to discover that sexually explicit books were available in school libraries.
The books in question, found at multiple school locations, are Gender Queer, a graphic novel by Maia Kobabe; Flamer, a graphic novel by Mike Curato; Blankets, a graphic novel by Craig Thompson; and Fun Home, a graphic novel by Alison Bechdel.
Alberta
Alberta’s government is investing $5 million to help launch the world’s first direct air capture centre at Innisfail

Taking carbon capture to new heights
Alberta’s government is investing $5 million from the TIER fund to help launch the world’s first direct air capture centre.
Alberta is a global leader in environmentally responsible energy production and reducing emissions, already home to two of the largest carbon capture, utilization and storage facilities operating in North America, and seeing emissions decline across the economy.
Most of the current technologies used around the world focus on facilities and worksites. Direct air capture offers a potential new way of removing greenhouse gas emissions straight from the air. If successful, the potential is huge.
Through Emissions Reduction Alberta, $5 million is being invested from the industry-led TIER program to help Deep Sky in the design, build and operation of the world’s first direct air capture innovation and commercialization centre in Innisfail. This funding will help Alberta keep showing the world how to reduce emissions while creating jobs and increasing responsible energy production.
“We don’t need punitive taxes, anti-energy regulations or nonsensical production caps to reduce emissions. Our approach is to support industry, Alberta expertise and innovation by helping to de-risk new technology. Direct air capture has some potential and is being looked at in other jurisdictions, so it’s great to see companies choosing Alberta as a place to invest and do business in.”
“Alberta companies are leaders in developing carbon capture and storage technology. Deep Sky has the potential to take the next major step in decarbonization through direct air capture. These advancements and investments through the TIER fund are a major reason why global demand is increasing for our responsibly produced energy products.”
“Investing in Deep Sky supports Alberta’s global leadership in emissions reduction. This project accelerates cutting-edge carbon removal technologies, creates jobs and builds a platform for innovation. By capturing legacy emissions, it complements other climate solutions and positions Alberta at the forefront of a growing carbon removal economy.”
“We are thrilled to be supported by the Government of Alberta through Emissions Reduction Alberta’s investment to help deliver a world first in carbon removals right here in Alberta. This funding will be instrumental in scaling direct air capture and creating an entirely new economic opportunity for Alberta, Canada and the world.”
Deep Sky is helping establish Alberta as a global leader in carbon removal – an emerging field that is expected to grow exponentially over the next decade. The new centre is located on a five-acre site and will feature up to 10 direct air capture units, allowing multiple technologies and concepts to be tested at once. Starting this summer, Deep Sky Alpha’s units will begin pulling in air, trapping carbon dioxide, transporting it by truck, and safely storing it underground at an approved site in Legal.
This new technology will give Alberta’s oil and gas, energy and utilities, cement and heavy industry, and agriculture and agri-tech sectors new technologies to reduce emissions, while creating local jobs and reinforcing Alberta’s position as a global leader in responsible energy development.
Quick facts
- Deep Sky aims to capture 3,000 tonnes of emissions each year and estimates creating 80 construction jobs, 15 permanent jobs, and more than $100 million in local economic benefit over the next 10 years, including regional development in rural communities.
- Research shows that carbon capture technology is safe and effective. Careful site selection and rigorous monitoring serve to ensure the injected carbon dioxide remains sequestered thousands of metres below the surface, with no impact on fresh water, plants or the soil.
- Provincial funding for this project is delivered through Emissions Reduction Alberta’s Continuous Intake Program, funded by Alberta’s industry-funded Technology Innovation and Emissions Reduction (TIER) system.
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