Canada’s oil and gas industry recovery will take two years, analysts say

Oil prices may have recovered to pre-pandemic levels, but for Canada’s oil and gas industry, recovering from what was arguably the worst year in its history is going to take a couple of years, analysts say. The International Energy Agency (IEA) estimates the global demand for petroleum products won’t be back to pre-pandemic levels until 2023 and may never return to “normal. As of mid-week last week, Western Canadian Select (WCS) was trading at about C$52 per barrel, compared with C$66 per barrel for West Texas Intermediate (WTI), which are pre-pandemic prices. Natural gas prices were not nearly as affected by the pandemic.