Record oil production in Sask. in 2012, eclipsing 4-year-old mark

Oil production in Saskatchewan set a new record in 2012, with 172.9 million barrels produced, up more than seven per cent from the previous record of 161 million barrels set in 2008, according to statistics released Thursday by the Ministry of the Economy.

On a daily average basis, crude oil production in the province reached 473,600 barrels per day, breaking the previous record set in 2008 of 441,200 barrels per day, the ministry said in a press release.

“In 2012, Saskatchewan’s oil industry had an exceptional year,” said Tim McMillan, minister responsible for energy and resources. “Our economy continues to be one of the strongest in the country, and this record year in oil production proves that we have the resources and business climate the industry is looking for,” McMillan said in the release.

The oil and gas industry continues to be one of the largest contributors to the Saskatchewan economy, representing about 20.7 per cent of the province’s GDP, the release said.

The combined value of oil and gas sales for 2012 is estimated at $12.5 billion. This industry provides more than 34,000 direct and indirect jobs to people in the province.

Saskatchewan is the second-largest oil producing province in Canada and has an estimated 1.2 billion barrels of established crude oil reserves.