CAPP forecasts upstream oil/gas production to reach nearly $30 B in 2023

The Canadian Association of Petroleum Producers (CAPP) said on Wednesday it expects oil and natural gas investment in upstream production will reach C$40 B ($29.4 B) in 2023, surpassing pre-COVID levels.

The total investment forecast is C$4 billion, or 11%, more in additional spending across Canada's economy than the previous year, mainly directed towards environmental protection and emission reduction technologies.

"Investment into Canada's oil and natural gas industry circulates back into the economy, benefiting all Canadians," said Lisa Baiton, CAPP President and CEO.

Out of the total investment, conventional oil and natural gas capital investment for 2023 is forecast at C$28.5 billion, while oil sands investment is expected to reach C$11.5 billion, CAPP said in a statement.

"The year 2023 may be one of the most pivotal moments in time for Canada's oil and natural gas industry," Baiton said.

The additional spending on emission reduction technologies will include advancing the development of carbon capture utilization and storage (CCUS), the statement added.

In Alberta, investment is expected to reach C$28 billion in 2023, representing about 70% of all upstream oil and natural gas investment nationally, CAPP said. 

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