Energy statoids

A country’s wealth is a key indicator of economic performance in that it represents the potential to generate income and benefit society. Natural resources are arguably the most fundamental component of wealth and the latest quarterly Envirostat from Statistics Canada highlights the importance of the role played by resources in general and energy resources in particular.

The latest numbers show that in 2008, the value of energy, minerals and timber rose 45.3 per cent to $1,723 billion in 2008 and accounted for more than 22 per cent of Canada’s overall wealth.

Unsurprisingly, given the state of world markets last year, the value of energy in Canada soared by 72.5 per cent to $1.162 billion as higher commodity prices easily offset higher capital and operating costs. Energy assets accounted for more than 67 per cent of total natural resource assets in 2008, up 10 points from the previous year.

The value of crude bitumen nearly doubled last year, rising 97.5 per cent to $604.8 billion, which reflected increased reserves and production as well as record prices for much of the year. In dollar terms, crude oil ranked second at $256.9 billion (up 55.4 per cent from 2007), followed by natural gas at $231.8 billion (up 40.2 per cent) and coal at $68.7 billion (up 86 per cent).