The Canadian oil and gas sector is getting $1.6 billion in funding from the federal government to support the industry and its workers. The money will be made available through four different initiatives which include:
- $1 billion in commercial financial support from Export Development Canada to be made available to exporters of all sizes to assist companies looking to invest in innovative technologies, address working capital needs or explore new markets.
- A new $500-million Energy Diversification commercial financing envelope over three years from the Business Development Bank of Canada to help higher risk but viable oil and gas small business enterprises weather the current market uncertainty.
- A $50-million investment through Natural Resources Canada’s Clean Growth Program in oil and gas projects — projected to generate $890 million in investment.
- $100 million through Innovation, Science and Economic Development Canada’s Strategic Innovation Fund in energy and economic diversification-related projects.
In the news release, the government says that money is also available from the National Trade Corridors Fund for projects that address bottlenecks in the freight rail system and to support the efficiency and fluidity of transportation of all commodities.
“The oil and gas industry is core to Canada’s economy. These investments will help protect jobs and restore competitiveness during this difficult time. We know that getting our resources to non-U.S. markets is the long-term solution to ensuring every barrel of oil gets its full value. That remains our focus, and we will continue to work hard to deliver results.”
Canada’s Minister of Natural Resources, Amarjeet Sohi.
“Alberta’s oil and gas expertise is recognized globally. Today’s investments respond to the current environment, but also demonstrate our confidence in the ingenuity and determination of Albertans to prevail in the global marketplace. This government is committed to helping any business, however small, tap the unparalleled trade deals and job-creating investment now open to Canadians.”
Canada’s Minister of International Trade Diversification, Jim Carr.