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Canada’s oil price woes reaching an ’emergency situation,’ Cenovus CEO says

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The head of one of the country’s largest oilsands producers says Canada’s oil price woes are reaching an « emergency situation, » and on Wednesday saw his company’s call for production cuts echoed by a competitor. 

Oil « is a provincial resource and… we’re giving it away for free, » Cenovus Energy CEO Alex Pourbaix said on CBC Calgary’s morning show, The Eyeopener.

« Nobody is making money at this price and this is rapidly becoming an emergency situation in the economy. »

Pourbaix made the comments following his company’s calls for the Alberta government to mandate temporary production cuts to help deal with an oil glut and pipeline bottlenecks that are weighing heavily on many producers.

The value of Western Canadian Select is tracking roughly $40 per barrel less than the U.S. benchmark. On Wednesday it was at $15.75 US a barrel, compared to $56.18 US for West Texas Intermediate.

Calgary-based Cenovus is blaming political setbacks for the failure to build pipelines, urging the province to take action.

That sentiment was echoed Wednesday by Canadian Natural Resources executive vice chairman Steve Laut, said his company is « fully supportive of curtailments » by all Alberta producers.

« It’s something that has worked in the past, » Laut told CBC News. 

Laut noted that then-premier Peter Lougheed cut output in 1980, a point also raised by Cenovus. 

« It just makes total sense. It’s the simplest, cleanest and most effective way to ensure Albertans get value for resources and end the subsidies to U.S. buyers, » Laut said. 

Analysts have said that while many Canadian oil companies can’t seem to catch a break on prices, some American refineries are enjoying a « heyday » because of the price differential. 

If the whole sector reined in production, Laut believes there probably would be a market response almost immediately from the psychological effect of the news. 

« But I think, depending on what size of curtailment they used, it could be within 30 to 50 days, » for the strategy to correct the supply-demand problem, Laut said.

Canadian Natural Resources executive vice chairman Steve Laut told CBC News that the company is ‘fully supportive of curtailments’ by all Alberta producers. (Larry MacDougal/Canadian Press)

CNR said recently it has already cut production by up to 15,000 barrels per day and could increase that figure to as much as 55,000 this month and in December.

Canadian prices crashed in September because of a backlog of oil in Alberta.

The Fort McMurray region has increased production throughout this year, but export pipelines are full and several refineries in the U.S. which process heavy oil from Alberta, have shut down for maintenance.

Some industry experts now expect low prices for Canadian heavy crude could persist into 2020, though more export pipeline space is expected once Enbridge’s Line 3 replacement project is complete in about 12 months.

The situation has stung many Alberta producers, with one estimate pegging the cost to the sector at $100 million a day.

But some observers have noted that not all companies are affected the same way and it would be difficult to get everyone to agree on output cuts.

Large integrated companies would not be affected like companies without refineries or other options for their oil productions, said Warren Mabee, an expert on energy policy at Queen’s University.

Suncor president and CEO Steve Williams told analysts this month that the market is working. (Jeff McIntosh/Canadian Press)

Indeed, Suncor’s CEO said this month his company has full pipeline access to market for all of its production.

« That was a strategic decision we made, » Steve Williams said in a financial call with analysts.

« I have a great deal of sympathy for where the market is, and I understand the pressure that others are under. We invested for this circumstance to make sure it had — it’s not a zero impact but minimal impact on us.

« So what’s happening is, the market is working. The higher cost producers are having to pull back because they’re not making any margin on their last barrel. We are not in that circumstance. »

The provincial government has so far said little about the call for mandated production cuts.

On Wednesday, it reiterated its position that Premier Rachel Notley is fighting to build new pipelines and pushing Ottawa to step up and help fix the backlog in rail shipments.

However, spokesman Mike McKinnon said in an email that « we’re not ruling out any options. »

In Calgary on Wednesday, the federal natural resources minister said he shares Albertan’s « frustration » at billions of dollars being lost to the Canadian economy due to oil price discounts linked to export pipeline capacity constraints.

Federal Natural Resources Minister Amarjeet Sohi said Ottawa is focused on finding long-term solutions for the oil sector. (CBC/Scott Neufeld)

But Amarjeet Sohi said Ottawa is focused on finding long-term solutions by getting approval for new export pipelines such as the Trans Mountain pipeline expansion project it bought in August.

Asked about an Alberta request in October for the federal government to support crude-by-rail shipments, Sohi said the Alberta request is being examined by his department but he hasn’t actually seen it.

« My department is engaging with provinces, we are engaging with other federal departments, to see what can can be done in the short term, » Sohi told reporters. 

« But as you know, more than 200,000 barrels of oil is shipped through rail now and that is going up. What we need to do, we need long-term solutions. »

With files from The Canadian Press

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Nostalgia and much more with Starburst XXXtreme

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Get a taste of adventure with Starburst XXXtreme based on the legendary NetEnt Game. The nostalgic themes are sure to capture fans of the classic version as they get treated to higher intensity, better visuals, and features. The most significant element of the game is its volatility. Patience will not be an essential virtue considering the insane gameplay, and there is a lot of win potential involved. It retains the original makeup of the previous game while adding a healthy dose of adrenaline. 

Starburst Visuals and Symbols

The game is definitely more conspicuous than before. The setting happens over a 5-reel, 3-row game grid with nine fixed win lines, which function if a succession from the left to the right reel is present. Only those players that that attain the highest win per bet line are paid. From a visual standpoint, the Starburst XXXtreme slots illustrates lightning effects behind the reels, which is not surprising as it is inherited from the original version. Available themes include Classic, Jewels, and Space. The game is also available in both desktop and mobile versions, which is advantageous for players considering the global pandemic. According to Techguide, American gamers are increasingly having more engaging gaming experiences to socialize to fill the gap of in-person interaction. Starburst XXXtreme allows them to fill the social void at a time when there is so much time to be had indoors. 

Starburst XXXTreme Features

Players get to alternate on three features which are Starburst Wilds, XXXtreme Spins, and Random Wilds. The first appears on reels 2,3, or 4. When these land, they expand to cover all positions while also calculating the wins. They are also locked for a respin. If a new one hits, it also becomes locked while awarding another respin. Starburst XXXtreme offers a choice between two scenarios for a higher stake. In one scenario with a ten times stake, the Starburst Wild is set on random on reels 2,3, or 4, and a multiplier starts the respin. The second scenario, which has a 95 times stake, starts with two guaranteed starburst wilds on reels 2,3, or 4. it also plays out using respin game sequence and features. The game also increases the potential with the Random Wilds feature to add Starburst Wilds to a vacant reel at the end of a spin. Every Starburst Wild gives a random multiplier with potential wins of x2, x3, x5, x10, x25, x50, x100, or even x150.

The new feature is sure to be a big hit with the gaming market as online gambling has shown significant growth during the lockdown. AdAge indicates the current casino customer base is an estimated one in five Americans, so Starburst XXXtreme’s additional features will achieve considerable popularity. 

What We Think About The Game

The gambling market has continued to diversify post-pandemic, so it is one of the most opportune times to release an online casino-based game. Thankfully Starburst XXXtreme features eye-catching visuals, including the jewels and space themes. These attract audience participation and make the gameplay inviting. The game also has a nostalgic edge. The previous NetEnt iteration featured similar visuals and gameplay, so the audience has some familiarity with it. The producers have revamped this version by tweaking the features to improve the volatility and engagement. 

That is characterized by the potential win cap of 200,000 times the bet. Starburst XXXtreme does not just give betting alternatives for players that want to go big. The increase of multipliers also provides a great experience. If the respins in the previous version were great, knowing that multipliers can go hundreds of times overtakes the game to a new level. 

Players should get excited about this offering. All of the features can be triggered within a single spin. Whether one plays the standard game or takes the XXXtreme spin route, it is possible to activate all of the features. Of course, the potential 200,000 times potential is a huge carrot. However, the bet size is probably going to be restricted and vary depending on the casino. It is also worth pointing out that a malfunction during the gameplay will void all of the payouts and progress. Overall, the game itself has been designed to provide a capped win of 200,000 times the original bet. 

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Anglais

‘We’re back’: Montreal festival promoters happy to return but looking to next year

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In downtown Montreal, it’s festival season.

In the city’s entertainment district, a musical act was conducting a sound check on stage Friday evening — the second day of the French-language version of the renowned Just For Laughs comedy festival. Tickets for many of the festival’s free outdoor shows — limited by COVID-19 regulations — were sold out.

Two blocks away, more than 100 people were watching an acoustic performance by the Isaac Neto Trio — part of the last weekend of the Festival International Nuits d’Afrique, a celebration of music from the African continent and the African diaspora.

With COVID-19 restrictions continuing to limit capacity, festival organizers say they’re glad to be back but looking forward to next year when they hope border restrictions and capacity limits won’t affect their plans.

Charles Décarie, Just For Laughs’ CEO and president, said this is a “transition year.”

“Even though we have major constraints from the public health group in Montreal, we’ve managed to design a festival that can navigate through those constraints,” Décarie said.

The French-language Juste pour rire festival began on July 15 and is followed by the English-language festival until July 31.

When planning began in February and March, Décarie said, organizers came up with a variety of scenarios for different crowd sizes, ranging from no spectators to 50 per cent of usual capacity.

“You’ve got to build scenarios,” he said. “You do have to plan a little bit more than usual because you have to have alternatives.”

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MELS new major movie studio to be built in Montreal

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MONTREAL — MELS Studios will build a new film studio in Montreal, filling some of the gap in supply to meet the demand of Hollywood productions.

MELS president Martin Carrier said on Friday that MELS 4 studio construction will begin « as soon as possible », either in the fall or winter of next year. The studio could host productions as early as spring 2023.

The total investment for the project is $76 million, with the Quebec government contributing a $25 million loan. The project will create 110 jobs, according to the company.

The TVA Group subsidiary’s project will enable it to stand out « even more » internationally, according to Quebecor president and CEO Pierre Karl Péladeau. In the past, MELS Studios has hosted several major productions, including chapters of the X-Men franchise. The next Transformers movie is shooting this summer in Montreal.

Péladeau insisted that local cultural productions would also benefit from the new facility, adding that the studio ensures foreign revenues and to showcase talent and maintain an industry of Quebec producers.

STUDIO SHORTAGE

The film industry is cramped in Montreal.

According to a report published last May by the Bureau du cinéma et de la télévision du Québec (BCTQ), there is a shortage of nearly 400,000 square feet of studio space.

With the addition of MELS 4, which will be 160,000 square feet, the company is filling part of the gap.

Carrier admitted that he has had to turn down contracts because of the lack of space, representing missed opportunities of « tens of millions of dollars, not only for MELS, but also for the Quebec economy. »

« Montreal’s expertise is in high demand, » said Montreal Mayor Valérie Plante, who was present at the announcement.

She said she received great testimonials from « Netflix, Disney, HBO and company » during an economic mission to Los Angeles in 2019.

« What stands out is that they love Montreal because of its expertise, knowledge and beauty. We need more space, like MELS 4, » she said.

There is still not enough capacity in Quebec, acknowledged Minister of Finance, the Economy and Innovation Eric Girard.

« It is certain that the government is concerned about fairness and balance, so if other requests come in, we will study them with the same seriousness as we have studied this one, » he said.

Grandé Studios is the second-largest player in the industry. Last May, the company said it had expansion plans that should begin in 2022. Investissement Québec and Bell are minority shareholders in the company.

For its part, MELS will have 400,000 square feet of production space once MELS 4 is completed. The company employs 450 people in Quebec and offers a range of services including studio and equipment rentals, image and sound postproduction, visual effects and a virtual production platform.

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