SARNIA, Ontario, Aug. 16 (UPI) -- Canadian oil is stranded unless there's new pipeline infrastructure in place to move products to the market, the Canadian natural resources minister said.
The Canadian government said it expects its crude oil production to double by 2030. It holds some of the largest oil reserves in the world in Alberta province and aims to get its product to international markets through national and multinational pipelines.
"Without the infrastructure to move our product to where it is in demand, our oil will be stranded," Canadian Natural Resources Minister Joe Oliver said at a regional Chamber of Commerce meeting Thursday.
Pipeline company TransCanada (TSX:T.TRP, Stock Forum) said it made a decision to move ahead with its Energy East pipeline designed to carry 1.1 million barrels of oil per day from Alberta and Saskatchewan to refineries in Quebec and New Brunswick.
Oliver in early August said the project would help offset the estimated 700,000 bpd imported from overseas markets to feed eastern refineries.
"Energy market diversification is about more than reaching new international markets. It's also about expanding markets right here at home in Canada," he told the chamber. "Therefore, the government believes delivering Canadian crude to Central and Eastern Canada is important for our future."
Deliveries for Quebec are expected by 2017 and for New Brunswick by 2018.