Record oil profits 'enough to make you ball up your fists,' says N.L. minister
BNN Bloomberg
After handing oil companies more than $280 million in cash during the COVID-19 pandemic, Newfoundland and Labrador's energy minister says it's tough to watch those same companies rake in record-shattering profits.
Andrew Parsons took on the energy portfolio in August 2020, about a month before crashing global oil prices prompted Husky Energy — which has since merged with Cenovus — to announce it was considering abandoning its oilfield off the province's east coast. On Thursday, Cenovus reported 2022 revenue of $11.4-billion — nearly double its revenue for 2021.
"It's frustrating when you're hearing about how a project might die, and then they roll out a multibillion-dollar profit. It's enough to make you ball up your fists," Parsons said in a recent interview as other companies began to report their earnings. "But that's the nature of it ... we have to find a way to do business with them."
Oil and gas companies have posted staggering profits over the past two weeks, renewing environmental advocates' calls for governments to rethink fossil fuel subsidies and incentives. But with another oil project on the horizon for Newfoundland and Labrador — Equinor's proposed Bay du Nord oilfield — Parsons said the government will still consider arrangements if they clearly benefit the province.
