File photo by THE CANADIAN PRESS The Petroleum Services Association of Canada is forecasting a modest rebound in 2017 for the oil sector, but well below the levels prior to the current commodity price slump. Pumpjacks pump crude oil near Halkirk, Alta., June 20, 2007. A flurry of stock sale financings by oil and gas producers in Canada has sparked optimism among investors that the stalled drilling industry will soon go back to work. But analysts warn that’s not likely to happen this year, THE CANADIAN PRESS/Larry MacDougal

Oilfield services group predicts modest drilling increase in 2017

Oil and gas drilling expected to make a modest rebound in 2017, remaining below pre-downturn levels.

CALGARY — The Petroleum Services Association of Canada says oil and gas drilling will stage a modest rebound in 2017, but remain well below levels reached before the current commodity price slump began.

PSAC forecasts 4,175 wells will be drilled in 2017, up about six per cent from an anticipated total of 3,950 wells this year.

The 2017 forecast is 63 per cent lower than the number of wells drilled in 2014, when benchmark U.S. oil prices began their fall from more than US$100 per barrel to current levels around US$50 per barrel.

PSAC president Mark Salkeld said the global supply of oil and gas is expected to continue to exceed demand in 2017, leaving little optimism for a significant rebound in price or activity.

On a provincial basis, PSAC expects most of the drilling increases to take place in Saskatchewan, with 240 more wells. Alberta is expected to see a year-over-year increase of about 50 wells and both B.C. and Manitoba are expected to experience declines. Canada’s largest driller, Calgary-based Precision Drilling, reported recently that it has begun rehiring staff in anticipation of a busier winter drilling season based on customer bookings.

Just Posted

Maskwacis RCMP seeking suspect in fatal hit and run

A Maskwacis man was fatally injured after being hit early Saturday morning on Hwy 611

Red Deer to get new a plan to end homelessness as the problem persists

Despite some successes there’s ‘a long way to go,’ says manager

Many Red Deer-area farmers deal with a disastrous year

Dought in the spring, snow at harvest creates bad yields, sends hay prices soaring

Photos: Part of downtown Red Deer covered in trash over the weekend

Downtown businesses deal with trash, needle debris, graffiti

Delburne man’s reckless driving led to fatal crash: Crown prosecutor

Jury began deliberating in manslaughter trial on Monday afternoon

Speaker at rally says Alberta oil ‘puts tofu on the table in Toronto!’

GRANDE PRAIRIE, Alta. — A rally in support of Alberta’s oil industry… Continue reading

Moneywise: Canadian workers unhappy with pay, want pension plans

Many working Canadians are feeling underpaid and are so worried about their… Continue reading

Brazil police say faith healer has turned himself in

RIO DE JANEIRO — A celebrity faith healer accused of sexually abusing… Continue reading

B.C. hockey coach creates ‘gear library’ to remove cost barrier of sport

VANCOUVER — Nicola Froese says she has always loved playing sports, but… Continue reading

Canada’s Kim McRae finishes seventh at luge World Cup in Lake Placid, N.Y.

LAKE PLACID, N.Y. — Canada’s Kim McRae finished in seventh place at… Continue reading

Jeff Bridges to receive Cecil B. DeMille Award at Globes

LOS ANGELES — Jeff Bridges may have once been considered as one… Continue reading

Top of mind: ‘Justice’ is Merriam-Webster’s word of the year

NEW YORK — Racial justice. Obstruction of justice. Social justice. The Justice… Continue reading

Man who demolished landmark house ordered to build replica

SAN FRANCISCO — A man who illegally demolished a San Francisco house… Continue reading

Giuliani: ‘Over my dead body’ will Mueller interview Trump

WASHINGTON — With a number of probes moving closer to the Oval… Continue reading

Most Read