Canadian Oil Field Services Companies Are Doing Great… In The United States

Some of the companies are now earning more than half their revenue in the U.S.

In another sign of the diverging economic prospects of Canada and the United States, BNN is reporting that 12 of the largest Canadian oil field services companies that also operate in the United States are now earning more than half their revenue in the United States, as opposed to Canada.

According to the report, those 12 companies are now making 54% of their revenue in the U.S. By comparison, they were earning 40% in the U.S. in 2013.

And there’s more bad news, according to a survey by analysts:

“They forecast a 16 per cent decline in Canadian drilling rig activity this year to an average of 159 active rigs, while the U.S. average rig count will be 1,009, largely flat versus 2017.

The survey includes large Calgary-based drilling companies like Precision Drilling Corp. and Ensign Energy Services Ltd., as well as well completion firms such as Calfrac Well Services Ltd.

The Canadian Association of Oilwell Drilling Contractors reports that the industry relocated 16 Canadian rigs to the U.S. in 2018, up from six in 2017, and is continuing to send rigs south of the border this year.”

This is a direct consequence of Justin Trudeau’s failed policies. He can’t blame the world market, since both Canada and the United States are operating within that market. Trudeau’s decision to impose policies that hurt the energy industry is pushing investment and growth out of Canada and into the U.S., which is costing our nation billions of dollars and putting our economic future at serious risk.

Spencer Fernando

Photo – YouTube

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Michael McInnesDel Recent comment authors
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Much of their millions in income are also being spent in the States. Think of all the taxes lost that could actually be helping Canadians, of the hundreds of high paying jobs of people trying to get int the middle class.

Michael McInnes
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Michael McInnes

Really “Spencer Fernando”?……look guy, I agree with you about the content of this article and I was on your side until you asked for my donation via PayPal to fight back against the “corrupt and biased political establishment”. Are you needing toner ink or some more pens? Isn’t it payment enough to have the people on your side? Did you not become a journalist, political or otherwise, to speak your mind freely? What I hear when you ask for my hard earned money is that supporting your speech is not free.