The Globe and Mail reports in its Friday, March 6, edition that Canadian Natural Resources has paused its planned $8.2-billion expansion of the Jackpine oil sands mine in Northern Alberta. The Globe's Emma Graney writes that the project would have added a new extraction and treatment processing plant, increasing bitumen production by 150,000 barrels a day.
CNRL president Scott Stauth said Thursday that Jackpine was being deferred "due to lack of finalization of government regulatory policies around carbon pricing and methane, which creates uncertainty and economic burden for our long-term growth."
Mr. Stauth said CNRL will wait until the federal and Alberta governments iron out new rules to figure out if the project remains economically viable.
Carbon-pricing and emissions policies form part of a sweeping energy agreement signed by the two governments in November.
The agreement set conditions for building a new oil pipeline to the West Coast to diversify energy exports and committed Alberta to raising its industrial carbon price from the current $95 a tonne to an effective price of $130 a tonne.
It did not set a deadline, but both sides committed to an agreement on carbon pricing by April 1.
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