Canadian Oil Production to Rise 33% by 2030, Straining Pipelines

Canada will churn out 33 percent more oil by 2030, exceeding the capacity of existing pipelines to ship the product to market and threatening producers’ competitiveness, according to the industry’s main trade group.

The nation’s output will increase to 5.1 million barrels a day from 3.85 million last year, the Canadian Association of Petroleum Producers said June 13. Production from the oil sands will increase 53 percent to 3.7 million barrels.

Canada’s oil producers have long argued that the lack of pipelines reduces their profitability and makes them too dependent on shipments to the U.S. All told, Canada’s pipelines will ...