Pipelines, Storage & Power

Western Canada’s gas prices will stay at rock bottom

Gas prices in western Canada will remain under pressure because of maintenance issues and the country’s rising gas production Gas prices in western Canada will remain under pressure because of maintenance issues and the country’s rising gas production.
By Abhishek Kumar 31 October 2017 0 28194
Transcanada maintenance work Maintenance work on a TransCanada pipeline. (TransCanada)

Directional impact on forecast:
Bearish on gas prices in western Canada

A combination of maintenance issues and rising output from the Western Canadian Sedimentary Basin (WCSB) has caused gas prices in western Canada to collapse to unprecedented levels. Gas producers in Canada’s west are temporarily shutting down production because of a lack of pipeline capacity to transport the fuel to other regions. However, prices are expected to remain under pressure even after the maintenance ends.

Major maintenance and expansion work is taking place on TransCanada’s...