India considering Canada as potential crude oil supplier, envoy says

A dump truck works near the Syncrude oil sands extraction facility near the city of Fort McMurray, Alberta on Sunday June 1, 2014. (THE CANADIAN PRESS/Jason Franson)

India is considering Canada as a potential crude oil supplier, High Commissioner Dinesh Patnaik said on Wednesday at the Global Energy Show in Calgary, Alberta, adding that the country’s newer refineries are designed to process heavy crude, making Canadian grades a viable option.

Patnaik said officials from the two countries are meeting regularly to discuss opportunities for sourcing Canadian energy.

He said, however, that global investors remain cautious about Canada’s regulatory and project approval processes, which could affect the pace of energy cooperation.

Separately, Abu Dhabi National Oil Company said on Tuesday it is exploring opportunities in Canada’s upstream and liquefied natural gas sectors through its international arm XRG.

Canada is the world’s fourth-largest crude oil producer and fifth-largest natural gas producer.

Reporting by Amanda Stephenson in Calgary and Katha Kalia in Bengaluru; Editing by Tasim Zahid