The Canadian Association of Energy Contractors (CAOEC), which represents 95 land drilling, offshore drilling, and service rig member companies across the country, says its drilling forecast for 2025 is bright, but competitiveness concerns remain.
CAOEC reports the highest levels of drilling activity and associated jobs since 2015, with projected 2025 wells drilled at 6,604 – an increase of 448 (7.3%) from 2024 (6,156). The Association projects a 7.3% increase in drilling 2025 drilling operating days next year, and the total jobs expected is 41,800 – an increase of 2,720 (7%) from 2024.
With increased pipeline capacity following the completion of the Trans Mountain Expansion (TMX) and LNG Canada projects, combined with the new U.S. administration’s strong interest in securing more affordable energy, CAOEC said Canada’s growth potential in oil and gas is only expected to increase.
Caveat
But the Association said policies like the oil and gas emissions cap and anti-greenwashing provisions in Bill C-59 have left Canada’s energy sector in a difficult position, weakening its investment climate and creating additional uncertainty at a time when affordability and global energy security are already under threat.
“The Trump administration will have profound implications for Canada’s economy as it adopts a pro-business agenda and seeks to expand the US energy sector, CAOEC said in a news release on Friday.
President and CEO Mark Scholz warned that unless Canada responds with its own pro-business and pro-development approach, Canadian families, particularly those who live in rural, remote, and Indigenous communities will be negatively impacted.
“Recent projects like LNG Canada and TMX, as well as the growth indicated in our 2025 Rig Forecast, have demonstrated that the energy sector not only helps sustain Canadian jobs but also strengthens our ability to support domestic and international consumers facing energy insecurity,” Scholz said.
The Association said it will continue to push for informed legislation that would allow Canada to strike a healthy balance between supporting a robust economy—preserving the jobs—and upholding environmental stewardship in the industry.
Read the full report here.
Source: MINING.COM – Read More
