Province’s oil estimates unrealistically high in budget: analyst
The province is being too ambitious with its oil price assumptions in this year’s budget, according to a senior petroleum advisor.
“I can only see prices going down from where they are right now,” Roger McKnight with En-Pro International said. Oil closed at US$43 a barrel Thursday.
The Saskatchewan government is assuming West Texas Intermediate (WTI) oil will be an average of US$53 a barrel in 2015 and US$67 a barrel next year.
“I don’t know how anyone can guess what crude is going to be next month let alone next year. There are too many factors involved,” McKnight said.