Updated September 2026
Crude Oil Production
Despite lower global oil prices, crude oil production increased by 3.3% in 2025 to 87.0 thousand cubic metres per day (103 m3/d), or 547.7 thousand barrels per day (103 bbl/d). Drilling focused on highly productive formations, as producers optimized well placement and took advantage of efficient horizontal drilling practices.
Based on the oil price forecast, total crude oil production is expected to increase from 87.0 103 m3/d (547.7 103 bbl/d) in 2025 to a peak of 92.5 103 m3/d (582.0 103 bbl/d) by 2028. Producers are expected to take advantage of short-term growth in oil prices resulting from global conflicts impacting global oil supply, as well as continue to target productive formations using prolific wells. Producers have taken advantage of the Trans Mountain Pipeline expansion and are expected to continue utilizing it until it reaches full capacity. However, crude oil production is expected to decline to 82.7 103 m3/d (520.4 103 bbl/d) by 2035, as production from new wells is not expected to offset the decline in production from existing wells.
Number of Crude Oil Wells (well legs)
After an increase in new wells placed on production in 2024, the number of new wells decreased by 28% to 2,430 in 2025. Lower oil prices contributed to the reduction, as drilling focused on highly productive formations, capitalizing on relatively lower per-barrel costs. As a result, production grew slightly despite fewer wells being drilled.
The number of new wells placed on production is forecast to increase to 2,885 by 2035, with most new wells targeting the Clearwater, Montney, and Duvernay Formations.
Crude Oil Demand and Removals
Alberta refineries processed slightly lower throughput of crude oil in 2025, averaging 17.6 103 m3/d (110.5 103 bbl/d), consistent with weaker economic growth nationally and extended maintenance periods for some refineries. Crude oil demand from Alberta refineries is expected to remain steady from 2026 to 2035, reflecting the absence of new refineries or significant refinery expansions in Alberta.
The remaining crude oil produced was removed from the province. Crude oil removals are projected to increase in the next few years as global oil demand grows.
Figures
Figure S4.1 shows the average daily crude oil production from all wells by PSAC area.
Figure S4.2 shows the average daily production of crude oil by density.
Figure S4.3 shows the average daily production of crude oil and the number of new wells placed on production.
Figure S4.5 shows the historical trend between average daily production and the number of wells producing crude oil in Alberta.
Figure S4.6 shows the crude oil demand for Alberta refineries and removal of crude oil from Alberta.
Figure S4.7 shows the 2025 throughput volumes for Alberta’s operating refineries.
