Alberta Oil Sands Production Hits New Record in July

Alberta's oil production reached a record 4.32 million barrels per day in July, with oil sands output at a record 3.67 million barrels per day. The increase was driven by a surge in production from wells that use steam to extract bitumen, and was supported by the expansion of the Trans Mountain pipeline. Oil sands producers such as Cenovus Energy and Canadian Natural Resources increased output to fill the expanded pipeline.

Alberta's oil production reached a record 4.32 million barrels per day in July, with oil sands output at a record 3.67 million barrels per day. The surge in production was driven by a significant increase in output from wells using steam to extract bitumen, according to data from the Alberta Energy Regulator [1].

The expansion of the Trans Mountain pipeline played a crucial role in supporting this surge. The pipeline's capacity was increased by almost 600,000 barrels per day, allowing oil sands producers to fill the pipeline and boost local crude prices. Major oil sands producers, including Cenovus Energy Inc. and Canadian Natural Resources Ltd., increased their output to take advantage of the expanded pipeline capacity [1].

The increase in oil production is part of a broader trend in Alberta. Total oil production in the province was up by 154,000 barrels per day in the first seven months of 2025 compared to the same period in 2024. This growth underscores Alberta's position as the top source of crude oil in Canada, the world's fourth-largest oil producer [1].

The appointment of Dawn Farrell as the CEO of the Liberal government's Major Projects Office (MPO) is also noteworthy. Farrell, who has extensive experience in the energy industry, will oversee the MPO, which aims to streamline approvals for major infrastructure projects and ensure that the interests of First Nations, Inuit, and Métis are at the center of these initiatives. The MPO will be headquartered in Calgary and will have offices in other major Canadian cities [2].

The MPO's establishment is part of a broader effort by the federal government to fast-track major infrastructure projects. The government has indicated that it plans to spend half a trillion dollars on infrastructure projects, including new port infrastructure in Churchill, Manitoba, and Montreal. The MPO will play a crucial role in coordinating these projects and ensuring that they deliver value for taxpayers [2].

The industry has welcomed the establishment of the MPO. The Canadian Association of Petroleum Producers (CAPP) and the Canadian Chamber of Commerce have both expressed support for Farrell's appointment and the creation of the MPO, seeing it as a positive step towards making Canada an energy superpower [2].

References:
[1] https://www.bloomberg.com/news/articles/2025-09-03/alberta-oil-output-hits-record-in-july-as-well-production-surges
[2] https://www.cbc.ca/news/politics/major-projects-office-carney-1.7620935