Transportation & Downstream
Transportation & Downstream
Transportation & Downstream

Transportation & Downstream

With almost 700 000 kilometres of pipelines in North America, Canada's crude oil and natural gas production is continually flowing from producing fields to markets across the continent. Canada is one of the largest exporters of crude oil to the United States, and the top supplier of natural gas.

Oil in 2007:

  • Canada exported 296 000 cubic metres per day of crude oil;
  • 38% of exports were light crude oil; the remaining 62% were exports of heavy crude oil;
  • Imports into Eastern Canada from the U.S. totalled 38 000 cubic metres of crude oil per day.

Natural Gas in 2007:

  • Canada produced about one quarter of the combined natural gas production of Canada and the U.S.
  • Canada exported 290 million cubic metres of natural gas per day.
  • Eastern Canada imported 36.2 million cubic metres of natural gas per day.

The Canadian and U.S. natural gas markets operate as one large integrated market. However, for both natural gas and oil, the Eastern Canadian market is more easily served by imports than by Canadian production.

Pipelines

Strict regulatory standards developed by government and industry ensure the safety and viability of Canada's pipelines. Industry takes pipeline safety very seriously. Employees work year round to ensure safe, reliable operations. Pipeline companies regularly communicate important information to local governments; community fire departments; police and ambulance services; utilities; contractors; land owners and neighbours. Companies that do not adhere to government rules and regulations face disciplinary actions such as fines and plant shutdowns.

Refining

Canada has a well established crude oil refinery sector which meets domestic demand. There are currently 19 full-product oil refineries operating in Canada. The utilization rate exceeds 90% - a benchmark level for North America.

Crude oil, including from oil sands and heavy crude oil upgrading plants, is processed into a full spectrum of refinery products, heating oil, diesel fuel, aviation fuels, different grades of gasoline, lubrication oils and numerous other petroleum products. In refineries near the Canada/United States border, product exchanges between the countries often occur to accommodate changing market conditions and the availability of feedstock.

In Western Canada, the feedstocks used for petrochemical processing are mainly natural gas and natural gas liquids. In Eastern Canada, the petrochemical plants are based primarily on crude oil and specialized refinery streams.