Upstream natural gas and oil explorers in Canada are expected to increase their capital spending over 2023, but not by much, according to a top industry group.

The Canadian Association of Petroleum Producers (CAPP) issued its latest survey of capital expenditures (capex) for the upstream sector in Canadian dollars (C$1.00/US74 cents). 

Capex is forecast at $40.6 billion this year, versus actual spending of an estimated $39 billion in 2023.

“Upstream oil and natural gas producers are staying disciplined, with capital expenditures expected to remain stable in 2024,” CAPP CEO Lisa Baiton said. 

“There is room for cautious optimism,” Baiton said, noting oil expansions and the ongoing construction of the Shell plc-led LNG Canada export project in British Columbia (BC)....