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2.9-2.9V10c.1-1.5-1.2-2.8-2.8-2.8zM6.3 2.5h9.3v4.6H6.3V2.5zm9.4 17H6.3v-5.6h9.3l.1 5.6zm3.8-4.7c0 .5-.4.9-.9.9h-.9v-2.8c0-.6-.4-1-1-1H5.3c-.6 0-1 .4-1 1v2.8h-.9c-.5 0-.9-.4-.9-.9v-4.7c0-.5.4-.9.9-.9h15.1c.5 0 .9.4.9.9v4.7h.1z"/></svg></button> </div> </div> </div> </div> </div> </div> <main style="margin-bottom: var(--s10)"> <div class="u-gutter"> <div class="l-center"> <div class="heading-navigation-wrapper l-sidebar" style="--sb-min-width: 49.78783592644979%; --sb-gap: var(--heading-navigation-desktop-gap); --sb-align-items: flex-start;" data-controller="heading-navigation-desktop"> <nav class="heading-navigation -desktop is-sidebar l-stack" style="--st-gap: var(--s6)"> <h3 class="heading">Oil and Natural Gas in Canada</h3> <ul class="l-stack" role="list" style="--st-gap: var(--vertical-rhythm)"> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#conventional-oil">Conventional oil</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#natural-gas">Natural gas</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#how-much-oil-and-natural-gas-does-canada-produce">How much oil and natural gas does Canada produce?</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#canadas-oil-sands">Canada's oil sands</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#pipelines">Pipelines</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#canadas-offshore-sector">Canada's offshore sector</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#refineries">Refineries</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#mineral-rights">Mineral rights</a></li> <li><a data-heading-navigation-desktop-target="anchor" data-action="heading-navigation-desktop#setAsActive" href="#our-energy-history">Our energy history</a></li> </ul> </nav> <div class="wp-block-post-content"> <div class='wp-block-paragraph-wrapper'> <p>Canada’s oil and natural gas deposits were formed over millions of years, as tiny sea creatures and plants died and drifted to the sea floor, to be covered by layers of sand and other sediment. Over time, pressure and temperature transformed the organic matter into oil and natural gas. </p> </div> <div class='wp-block-cover-wrapper'> <div class="wp-block-cover is-light"><span aria-hidden="true" class="wp-block-cover__background has-tertiary-light-blue-background-color has-background-dim-100 has-background-dim"></span><div class="wp-block-cover__inner-container is-layout-flow wp-block-cover-is-layout-flow"><div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-1 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"> <div class="wp-block-anchor" id="conventional-oil" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">Conventional oil </h3> </div> <div class='wp-block-paragraph-wrapper'> <p>Conventional oil recovery uses drilling rigs and is the production method most people are familiar with. The traditional pumpjack is often the image associated with conventional oil recovery. </p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex"><div class='wp-block-button-wrapper'> <div class="wp-block-button"><a class="wp-block-button__link wp-element-button" href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/conventional-oil/">LEarn More</a></div> </div></div> </div></div> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-2 wp-block-column-is-layout-constrained" style="flex-basis:50%"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd485335d"}" data-wp-interactive="core/image" class="wp-block-image aligncenter size-full wp-lightbox-container"><img fetchpriority="high" decoding="async" width="1000" height="425" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/02/CAPP-oil-workers.jpg" alt="Oil workers" class="wp-image-2292" style="aspect-ratio:3/2;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/02/CAPP-oil-workers.jpg 1000w, https://www.capp.ca/wp-content/uploads/2024/02/CAPP-oil-workers-300x128.jpg 300w, https://www.capp.ca/wp-content/uploads/2024/02/CAPP-oil-workers-768x326.jpg 768w" sizes="(max-width: 1000px) 100vw, 1000px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Oil workers" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> </div> </div></div></div> </div> <div class='wp-block-paragraph-wrapper'> <p><strong>Oil </strong>is a black, brownish or amber liquid that is a complex mix of elements including carbon, hydrogen, sulphur, nitrogen, oxygen and metals. Oil can be classified as light, medium, heavy, or extra heavy.</p> </div> <div class='wp-block-list-wrapper'> <ul class="wp-block-list"> <li><strong>Light and medium oil</strong> can flow naturally and is generally produced (extracted) using drilling and pumping – this includes Canada’s offshore oil. Some light oil is trapped in “tight” (non-porous) rock formations, usually shale. This “light tight oil” can be recovered using hydraulic fracturing. </li> <li><strong>Heavy </strong>oil is thick and does not flow easily, often requiring advanced technology to produce. Heavy oil deposits are found in Alberta and Saskatchewan in the Cold Lake and Lloydminister areas.</li> <li><strong>Bitumen</strong> is the kind of oil found in the <a href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/oil-sands/">oil sands</a> – is extra-heavy and is too thick to flow without being heated or thinned (diluted) with lighter hydrocarbons.</li> </ul> </div> <div class='wp-block-cover-wrapper'> <div class="wp-block-cover is-light"><span aria-hidden="true" class="wp-block-cover__background has-tertiary-light-blue-background-color has-background-dim-100 has-background-dim"></span><div class="wp-block-cover__inner-container is-layout-constrained wp-block-cover-is-layout-constrained"><div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-2 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"> <div class="wp-block-anchor" id="natural-gas" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">Natural gas</h3> </div> <div class='wp-block-paragraph-wrapper'> <p>Natural gas is mostly methane, but also contains other compounds such as ethane, propane, butane, and pentanes. Canada currently produces 18.4 billion cubic feet of natural gas per day.</p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex"><div class='wp-block-button-wrapper'> <div class="wp-block-button"><a class="wp-block-button__link wp-element-button" href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/natural-gas/">LEarn More</a></div> </div></div> </div></div> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-4 wp-block-column-is-layout-constrained" style="flex-basis:50%"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd4853b68"}" data-wp-interactive="core/image" class="wp-block-image size-full wp-lightbox-container"><img decoding="async" width="1920" height="1280" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1.jpg" alt="Natural gas production" class="wp-image-3094" style="aspect-ratio:3/2;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1.jpg 1920w, https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1-300x200.jpg 300w, https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1-1024x683.jpg 1024w, https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1-768x512.jpg 768w, https://www.capp.ca/wp-content/uploads/2024/02/Natural-gas-rig_-workers-in-foreground-1-1536x1024.jpg 1536w" sizes="(max-width: 1920px) 100vw, 1920px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Natural gas production" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> </div> </div></div></div> </div> <div class="wp-block-anchor" id="how-much-oil-and-natural-gas-does-canada-produce" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">How much oil and natural gas does Canada produce? </h3> </div> <div class='wp-block-paragraph-wrapper'> <p>About 95% of Canada’s oil production (including the oil sands) and all current natural gas production occurs in the Western Canadian Sedimentary Basin (WCSB), which spans the provinces of British Columbia, Alberta, Saskatchewan, and Manitoba. Oil is also produced offshore from Newfoundland and Labrador.</p> </div> <div class='wp-block-paragraph-wrapper'> <p>In 2024, YTD average Canadian production of natural gas was 18.4 billion cubic feet per day (Bcf /d). (Source: <a href="https://www.capp.ca/wp-content/uploads/2023/12/Canadian-Oil-and-Gas-Production.pdf" target="_blank" rel="noreferrer noopener">CAPP</a>)</p> </div> <div class='wp-block-paragraph-wrapper'> <p>In 2024, YTD average Canadian oil production totaled 5.8 million barrels per day, including:</p> </div> <div class='wp-block-list-wrapper'> <ul class="wp-block-list"> <li><strong>Oil sands</strong> – 3.3 million barrels per day (MM b/d) or about 57% of Canada’s total production.</li> <li><strong>Conventional</strong> (non-oil sands) – 1.6 MM b/d or about 28% of Canadian total production</li> <li><strong>Offshore</strong> – 0.2 MM b/d or about 3% of Canadian total production.</li> <li><strong>NGLS (Natural Gas Liquids) </strong>– 0.7 MM b/d, at 12% of production</li> </ul> </div> <div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-3 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-5 wp-block-column-is-layout-constrained" style="flex-basis:50%"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd48542b7"}" data-wp-interactive="core/image" class="wp-block-image size-full wp-lightbox-container"><img decoding="async" width="1080" height="1080" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9.png" alt="Top 10 natural gas producers" class="wp-image-3181" style="object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9.png 1080w, https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9-300x300.png 300w, https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9-1024x1024.png 1024w, https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9-150x150.png 150w, https://www.capp.ca/wp-content/uploads/2024/02/Untitled-design-9-768x768.png 768w" sizes="(max-width: 1080px) 100vw, 1080px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Top 10 natural gas producers" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-6 wp-block-column-is-layout-constrained" style="flex-basis:50%"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd485450b"}" data-wp-interactive="core/image" class="wp-block-image size-large wp-lightbox-container"><img decoding="async" width="1024" height="1024" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/02/Millions-1024x1024.png" alt="Top 10 crude oil producers" class="wp-image-5810" srcset="https://www.capp.ca/wp-content/uploads/2024/02/Millions-1024x1024.png 1024w, https://www.capp.ca/wp-content/uploads/2024/02/Millions-300x300.png 300w, https://www.capp.ca/wp-content/uploads/2024/02/Millions-150x150.png 150w, https://www.capp.ca/wp-content/uploads/2024/02/Millions-768x768.png 768w, https://www.capp.ca/wp-content/uploads/2024/02/Millions.png 1080w" sizes="(max-width: 1024px) 100vw, 1024px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Top 10 crude oil producers" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> </div> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">The oil and natural gas industry is divided into three separate but connected sectors:</h3> </div> <div class='wp-block-list-wrapper'> <ul class="wp-block-list"> <li><strong>Upstream </strong>– exploration and production of both oil and natural gas, including offshore, conventional, and oil sands.</li> <li><strong>Midstream </strong>– transporting, processing, and storing oil and natural gas, including pipelines, natural gas processing plants, and storage hubs.</li> <li><strong>Downstream </strong>– refining oil into final products like gasoline, diesel, jet fuel, and petrochemicals, then distributing those products to final consumers. Downstream facilities include refineries and petrochemical plants.</li> </ul> </div> <div class='wp-block-cover-wrapper'> <div class="wp-block-cover is-light"><span aria-hidden="true" class="wp-block-cover__background has-tertiary-light-blue-background-color has-background-dim-100 has-background-dim"></span><div class="wp-block-cover__inner-container is-layout-constrained wp-block-cover-is-layout-constrained"><div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-4 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"> <div class="wp-block-anchor" id="canadas-oil-sands" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">Canada’s oil sands</h3> </div> <div class='wp-block-paragraph-wrapper'> <p>With estimated reserves of about 164 billion barrels, the Canadian oil sands are among the largest oil deposits on the planet. They are so large that Canada ranks third behind Venezuela and Saudi Arabia in terms of oil reserves. The oil sands are a significant part of Canada’s oil production. In 2023 about 58% of all production was from the oil sands.</p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex"><div class='wp-block-button-wrapper'> <div class="wp-block-button"><a class="wp-block-button__link wp-element-button" href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/oil-sands/">LEarn More</a></div> </div></div> </div></div> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-8 wp-block-column-is-layout-constrained"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd4854c5d"}" data-wp-interactive="core/image" class="wp-block-image size-large wp-lightbox-container"><img decoding="async" width="1024" height="683" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-1024x683.jpg" alt="Canadian oil sands" class="wp-image-2702" style="aspect-ratio:3/2;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-1024x683.jpg 1024w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-300x200.jpg 300w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-768x512.jpg 768w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-1536x1024.jpg 1536w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-471795257-2048x1365.jpg 2048w" sizes="(max-width: 1024px) 100vw, 1024px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Canadian oil sands" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> </div> </div></div></div> </div> <div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">Markets and transportation</h3> </div> <div class='wp-block-paragraph-wrapper'> <p>Canada produces more oil and natural gas than we need to meet energy demand within our country, so the remainder is exported. Currently, most of Canada’s oil and natural gas exports go to the United States. New Canadian infrastructure such as the Trans Mountain Expansion Project pipeline, and liquefied natural gas (LNG) facilities on the West Coast, will enable Canada to reach new markets such as China, India, and other destinations in the Asia-Pacific region.</p> </div> <div class='wp-block-paragraph-wrapper'> <p>Oil and natural gas are transported by pipelines, rail, marine shipping, and trucking. </p> </div> <div class='wp-block-separator-wrapper'> <hr class="wp-block-separator has-alpha-channel-opacity"/> </div> <div class="wp-block-anchor" id="pipelines" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h4 class="wp-block-heading">Pipelines</h4> </div> <div class='wp-block-paragraph-wrapper'> <p>Pipelines are a critical part of Canada’s transportation infrastructure. </p> </div> <div class='wp-block-list-wrapper'> <ul class="wp-block-list"> <li><strong>Upstream </strong>pipelines include gathering and feeder lines that collect oil and natural gas from multiple wells or production sites and transport them to processing facilities or main transmission lines.</li> <li><strong>Midstream</strong> pipelines transport oil and gas to refineries, distribution points, or export terminals.</li> <li><strong>Downstream </strong>pipelines include refined product pipelines (eg. gasoline, diesel, and jet fuel) that transport from refineries to distribution terminals, and natural gas distribution pipelines which deliver gas to homes, businesses, and industries from facilities to local distribution networks. </li> </ul> </div> <div class='wp-block-image-wrapper'> <figure class="wp-block-image aligncenter size-full is-resized"><a href="https://www.capp.ca/wp-content/uploads/2024/03/CAPP-2023-Pipeline-and-Refinery-Map-36x22-wall-size.pdf" target="_blank" rel="https://www.capp.ca/wp-content/uploads/2024/03/CAPP-2023-Pipeline-and-Refinery-Map-36x22-wall-size.pdf noopener"><img decoding="async" width="768" height="474" src="https://www.capp.ca/wp-content/uploads/2024/03/pipeline-map.-2023.png" alt="Map of Canada's oil and gas pipelines" class="wp-image-6960" style="width:768px;height:auto" srcset="https://www.capp.ca/wp-content/uploads/2024/03/pipeline-map.-2023.png 768w, https://www.capp.ca/wp-content/uploads/2024/03/pipeline-map.-2023-300x185.png 300w" sizes="(max-width: 768px) 100vw, 768px" /></a></figure> </div> <div class='wp-block-paragraph-wrapper'> <p>Canada’s pipeline system is made up of four main types of pipelines that gather, transport, and deliver energy to Canadians and to export markets in the United States. Pipelines that cross provincial or international borders are regulated by the <a target="_blank" rel="noreferrer noopener" href="https://www.cer-rec.gc.ca/en/index.html">Canadian Energy Regulator</a> (CER) within Canada. Smaller pipelines within each province are under provincial jurisdiction.</p> </div> <div class='wp-block-paragraph-wrapper'> <p>Oil and natural gas pipelines are typically made of coated steel pipe that is normally buried underground (in the far North and in thermal operations, pipelines are built above ground due to permafrost – these above-ground pipelines are insulated).</p> </div> <div class='wp-block-paragraph-wrapper'> <p>Natural gas pipelines have above-ground compressor stations at intervals along the route to maintain pressure inside the pipeline. Crude oil or liquids pipelines have above-ground pump stations along the route to keep the pipeline’s contents moving.</p> </div> <div class='wp-block-paragraph-wrapper'> <p>Operators have options for building pipelines over, through, or below water. Sometimes a tunnel is drilled underneath the river or water body and the pipeline is pulled through. A pipeline can be suspended above a waterway, similar to a bridge. Pipelines can also be laid on the lakebed or riverbed and anchored in place. The pipeline is monitored during and after construction.</p> </div> <div class='wp-block-cover-wrapper'> <div class="wp-block-cover is-light"><span aria-hidden="true" class="wp-block-cover__background has-tertiary-light-blue-background-color has-background-dim-100 has-background-dim"></span><div class="wp-block-cover__inner-container is-layout-constrained wp-block-cover-is-layout-constrained"><div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-5 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"><div class='wp-block-heading-wrapper'> <h3 class="wp-block-heading">Canada’s offshore sector</h3> </div> <div class="wp-block-anchor" id="canadas-offshore-sector" data-anchor-block> </div> <div class='wp-block-paragraph-wrapper'> <p>About 4% of Canada’s oil production comes from four developments offshore Newfoundland and Labrador: Hibernia, Terra Nova, White Rose, and Hebron.</p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex"><div class='wp-block-button-wrapper'> <div class="wp-block-button"><a class="wp-block-button__link wp-element-button" href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/offshore/">LEarn More</a></div> </div></div> </div></div> <div class="wp-block-column is-layout-constrained wp-container-core-column-is-layout-10 wp-block-column-is-layout-constrained" style="flex-basis:50%"><div class='wp-block-image-wrapper'> <figure data-wp-context="{"imageId":"6741fd4855922"}" data-wp-interactive="core/image" class="wp-block-image size-full wp-lightbox-container"><img decoding="async" width="1024" height="683" data-wp-class--hide="state.isContentHidden" data-wp-class--show="state.isContentVisible" data-wp-init="callbacks.setButtonStyles" data-wp-on-async--click="actions.showLightbox" data-wp-on-async--load="callbacks.setButtonStyles" data-wp-on-async-window--resize="callbacks.setButtonStyles" src="https://www.capp.ca/wp-content/uploads/2024/01/cenovus_searose_sept2022-292d-1024x683-1.jpg" alt="Canada's offshore oil sector" class="wp-image-1922" style="aspect-ratio:4/3;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/01/cenovus_searose_sept2022-292d-1024x683-1.jpg 1024w, https://www.capp.ca/wp-content/uploads/2024/01/cenovus_searose_sept2022-292d-1024x683-1-300x200.jpg 300w, https://www.capp.ca/wp-content/uploads/2024/01/cenovus_searose_sept2022-292d-1024x683-1-768x512.jpg 768w" sizes="(max-width: 1024px) 100vw, 1024px" /><button class="lightbox-trigger" type="button" aria-haspopup="dialog" aria-label="Enlarge image: Canada's offshore oil sector" data-wp-init="callbacks.initTriggerButton" data-wp-on-async--click="actions.showLightbox" data-wp-style--right="state.imageButtonRight" data-wp-style--top="state.imageButtonTop" > <svg xmlns="http://www.w3.org/2000/svg" width="12" height="12" fill="none" viewBox="0 0 12 12"> <path fill="#fff" d="M2 0a2 2 0 0 0-2 2v2h1.5V2a.5.5 0 0 1 .5-.5h2V0H2Zm2 10.5H2a.5.5 0 0 1-.5-.5V8H0v2a2 2 0 0 0 2 2h2v-1.5ZM8 12v-1.5h2a.5.5 0 0 0 .5-.5V8H12v2a2 2 0 0 1-2 2H8Zm2-12a2 2 0 0 1 2 2v2h-1.5V2a.5.5 0 0 0-.5-.5H8V0h2Z" /> </svg> </button></figure> </div></div> </div> </div></div></div> </div> <div class="wp-block-anchor" id="refineries" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h4 class="wp-block-heading">Refineries</h4> </div> <div class='wp-block-paragraph-wrapper'> <p>There are <a href="https://www.canadianfuels.ca/our-industry/fuel-production/" target="_blank" rel="noreferrer noopener">14 refineries</a> in Canada and they have a collective crude oil refining capacity of 1.9 million barrels per day (b/d).</p> </div> <div class='wp-block-paragraph-wrapper'> <p>Refineries turn crude oil into useable products such as transportation fuels – gasoline, diesel, and jet fuel – plus other materials such as asphalt for roads and petrochemicals for making other products. Most Canadian oil is used for transportation, essential for moving people and goods. Crude oil can be refined to make these transportation fuels:</p> </div> <div class='wp-block-list-wrapper'> <ul class="wp-block-list"> <li><strong>Gasoline </strong>– designed for internal combustion engines, commonly used in cars and light-duty trucks.</li> <li><strong>Diesel</strong> – designed for engines commonly used in trucks, buses and public transport, locomotives, and farm and heavy equipment like bulldozers. Diesel contains more energy and power density than gasoline.`</li> <li><strong>Jet fuels</strong> – specialized fuels used to power various types of aircraft.</li> </ul> </div> <div class='wp-block-separator-wrapper'> <hr class="wp-block-separator has-text-color has-secondary-dark-blue-color has-alpha-channel-opacity has-secondary-dark-blue-background-color has-background"/> </div> <div class='wp-block-columns-wrapper'> <div class="wp-block-columns is-layout-flex wp-container-core-columns-is-layout-6 wp-block-columns-is-layout-flex"> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"><div class='wp-block-image-wrapper'> <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="713" src="https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-1024x713.jpg" alt="" class="wp-image-5800" style="aspect-ratio:4/3;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-1024x713.jpg 1024w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-300x209.jpg 300w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-768x535.jpg 768w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-1536x1070.jpg 1536w, https://www.capp.ca/wp-content/uploads/2024/02/iStock-841010090-2048x1426.jpg 2048w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure> </div> <div class="wp-block-anchor" id="mineral-rights" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h4 class="wp-block-heading">Mineral rights</h4> </div> <div class='wp-block-paragraph-wrapper'> <p>Who has the right to develop Canada’s oil and natural gas resources?<br><br></p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex"><div class='wp-block-button-wrapper'> <div class="wp-block-button"><a class="wp-block-button__link wp-element-button" href="https://www.capp.ca/en/oil-natural-gas-you/oil-natural-gas-canada/mineral-rights/">Learn More</a></div> </div></div> </div></div> <div class="wp-block-column is-layout-flow wp-block-column-is-layout-flow"><div class='wp-block-image-wrapper'> <figure class="wp-block-image size-large"><img decoding="async" width="809" height="1024" src="https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-809x1024.jpg" alt="History of Canadian oil and gas" class="wp-image-2177" style="aspect-ratio:4/3;object-fit:cover" srcset="https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-809x1024.jpg 809w, https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-237x300.jpg 237w, https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-768x972.jpg 768w, https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-1214x1536.jpg 1214w, https://www.capp.ca/wp-content/uploads/2024/01/Alberta-Leduc-_1-Energy-Discovery-Centre_Imperial-strikes-oil-in-farm-field_Leduc-_1-Energy-Discovery-Centre-1619x2048.jpg 1619w" sizes="(max-width: 809px) 100vw, 809px" /></figure> </div> <div class="wp-block-anchor" id="our-energy-history" data-anchor-block> </div> <div class='wp-block-heading-wrapper'> <h4 class="wp-block-heading">Our energy history</h4> </div> <div class='wp-block-paragraph-wrapper'> <p>Canada has a long history of oil and natural gas exploration and development.</p> </div> <div class='wp-block-buttons-wrapper'> <div class="wp-block-buttons is-layout-flex 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