Canadian Oil Price Hits 18-Month Low Against U.S. Benchmark

Canadian heavy oil prices are sharply declining as Venezuela’s political turmoil raises the possibility of increased oil imports to the U.S. Western Canada Select (WCS) is now selling at a $14.45 discount to the West Texas Intermediate (WTI) benchmark, the widest gap since July 2024. President Trump announced a deal for Venezuela to supply up to 50 million barrels of oil to the U.S., threatening Canadian oil exports, particularly those sent to Gulf Coast refineries. This situation impacts about 10% of Canada’s total oil exports, approximately 350,000 barrels per day.

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