Since Alberta Premier Rachel Notley announced an oil production cut of 325,000 bpd beginning next month, the spot price for Western Canadian Select has gained over 70 percent, Bloomberg reports , adding that the deep discount, at certain times more than US$40 a barrel, had closed by more than half over the last eight days since the cut was announced. The discount could narrow even further as the cut enters into effect in January and producers and refiners negotiate future deliveries. This will in turn benefit Canadian producers who have already begun revising capital expenditure plans for 2019 pressured by the low price of their oil. Last week, Premier Rachel Notley announced that the government of the province will enact an 8.7-percent crude oil production cut to clear excess stockpiles as pipeline bottlenecks and growing volumes of oil being transported by the costlier railway pressured Western Canadian Select to […]