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Expenditures of oil and gas extraction industry rose significantly in 2010

Ottawa, ON - Capital expenditures by the conventional oil and gas extraction industry in Canada totalled $35.2 billion in 2010, up 60.5% from 2009, according to the latest study of the industry from Statistics Canada.


Ottawa, ON – Capital expenditures by the conventional oil and gas extraction industry in Canada totalled $35.2 billion in 2010, up 60.5% from 2009, according to the latest study of the industry from Statistics Canada.

The non-conventional sector capital expenditures increased 51.1% to $17.7 billion in 2010. This marks the sixth year in a row that expenditures have surpassed $10 billion in the non-conventional sector.

Operating expenses for the conventional sector rose 6.5% from 2009 to $25.3 billion in 2010, the result of higher royalty payments and operating costs. For the non-conventional sector, operating expenses increased 14.2% from 2009 to $16.1 billion in 2010, also principally the result of higher royalty payments and operating costs.

Volume and value of marketable production

 

Crude oil and equivalent production increased 6.1% from 2009 to 167.8 million cubic metres in 2010. Marketable production of natural gas (-2.1%) and natural gas by-products (-2.2%) declined in 2010.

The value of crude oil and equivalent hydrocarbons produced totalled $76.2 billion in 2010, up 23.7% from $61.6 billion in 2009. This advance was attributable to increases in wellhead prices in 2010. The value of natural gas marketable production stood at $19.7 billion in 2010, down 5.9% from 2009, as a result of lower wellhead prices in 2010. The value of natural gas by-products increased 14.7% to $6.7 billion in 2010.