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CANADA-CRUDE-Discount on Western Canada Select narrows

The discount between West Texas Intermediate and Western Canada Select futures, the North American benchmark, was slightly higher on Tuesday.

Brokers said that WCS for August deliveries in Hardisty Alberta was trading at $10.25 per barrel below the U.S. benchmark WTI. This is 5 cents higher than Monday's settlement of $10.30.

The summer and the return to road construction season is a strong season for Canadian heavy crude. This is used by U.S. refiners to make asphalt.

* The WCS Discount has increased slightly since last week, when wildfire concerns in Canada's oil producing regions temporarily tightened the discount. The price of Canadian crude oil remains historically high, partly due to the Trans Mountain expansion pipeline, which increased the country's ability to export oil to Asian markets. (Reporting from Georgina McCartney, Houston)

(source: Reuters)