(Kitco News) - According to Statistics Canada (StatCan), Canada’s mining, quarrying and oil and gas extraction sector contracted 1.0% in August, following a significant gain recorded the previous month.
StatCan said that the domestic oil and gas extraction contracted 2.0% in August, led by a decrease in oil sands extraction, following a large gain in July.
The agency noted that oil sands extraction decreased 2.9% in August as lower synthetic oil production in Alberta contributed the most to the decline, adding that production was interrupted by the commencement of maintenance activity at a synthetic crude upgrader.
According to a report, oil and gas extraction (except oil sands) declined 0.8%, as both crude petroleum extraction and natural gas extraction decreased. Lower crude oil exports to the United States contributed to the decrease.
Meanwhile, natural gas production and pipeline transportation were also down as export oriented pipeline maintenance constrained pipeline capacity in August, which in part led Canadian producers to curtail production in response.
Support activities for mining, and oil and gas extraction grew 3.3% in August, mainly as a result of increased drilling activity.
StatCan added that the mining and quarrying (except oil and gas) subsector contracted 0.8% in August as a result of a decrease in metal-ore mining. All metal-ore mining industries decreased, with the largest decline posted in copper, nickel, lead and zinc ore mining (-4.6%).
|
| BHP and Rio Tinto join forces on new tailings technology to reduce potential safety risks |
