Monday, September 27, 2010

Quebec Loves Oil

Quebec's own government portal demonstrates how dependent they are in exporting to the U.S. market. Did you know the United states accounted for 69.2% or $ 40.3 billion CAD in 2009? The importance continues with import accounting for thirty one per cent from the U.S.

Quebec is blessed with geography and able to utilize water to generate vast amounts of electricity for it's industries and residents. Some provincial government have complained the government of Quebec keeps the rates of hydro artificially low to protect Quebec's energy intensive manufacturing in automobiles, airplanes and newsprint.

International Merchandise

Crude Oil makes up the largest part accounting for 12.9% - $ 9.0 Billion CAD in 2009. Automobile and chassis came in second for 8.8% - $6.2 Billion CAD. Other oil and coal derivatives third 3.3% - $ 2.3% Billion CAD.


Québec exports its goods and services across Canada and around the globe. Exports totaled $133.8 billion (CAD) in 2009, representing 44.5% of Québec’s Gross Domestic Product (GDP). Of this total, the share of international exports is 57.5%, whereas that of interprovincial exports stands at 42.5%. Moreover, goods account for 72.5% of this trade while services represent 27.5%.

Canadian Oil Imports

  • For geographic and economic reasons oil is exported from the west and the Atlantic offshore and crude oil is imported in the eastern and central regions; on balance, we are a large and growing net oil exporter.
  • About half of the crude oil used by Canadian refiners comes from imports.
  • The Atlantic region and Quebec are dependent on crude oil imports. Following the reversal of the Sarnia to Montreal pipeline in 2001, Ontario refiners imports have declined to only 124 MB/D in 2006.
  • Interestingly, in 2006, while Canada’s oil imports totalled .85 MMB/D, 44 percent of these imports came from OPEC countries and 37 percent came from the North Sea.
  • Between 2005 and 2006, Canada’s crude oil imports declined by 77 thousand barrels per day to 850 MB/D, as domestic oil production made up for a decline in crude oil imports.
  • In Ontario, between 2005 and 2006, crude oil imports declined by 34 thousand barrels per day. In the Atlantic Provinces crude oil imports declined by 45 thousand barrel per day. There was a slight increase in crude oil imports in the Province of Quebec (1-2 thousand barrels per day).
As we ramp up our domestic production our need for foreign imports decrease in Ontario and Atlantic Canada.

Does it make sense to buy less oil from OPEC?

For nearly 60 years the US dependence on impor...

If we help the Americans import less oil from OPEC nations that don't share our Western values of democracy, rule of law, equality and protection regardless of gender, sexual orientation will Canada's oil and natural gas exports be recognized?

What countries benefit from the import of their oil and what environmental groups are unlikely to be critical of them?

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