Canada's Oliver says new energy markets crucial for economy

|By:, SA News Editor

Just days before Canada's government issues a verdict on the proposed Northern Gateway pipeline, Finance Minister Joe Oliver says a failure to get landlocked Alberta crude to markets other than the U.S. will have stark consequences for the Canadian economy.

Oliver says growing U.S. supply and a lack of pipeline infrastructure means Canadian producers sold their crude at a discount vs. benchmark oil prices, leading to lost revenue of nearly C$30B (US$27.4B) in 2013.

The government is set to issue a decision by June 17 on whether Enbridge (ENB -0.3%) can proceed with the controversial pipeline, which would connect Alberta's landlocked oil sands to a Pacific coast port for export primarily to markets in Asia.