Low oil prices not dampening mood at Calgary pipeline expo
Oilfield service companies optimistic business will pick up in the winter
Oil prices may be at a two-year low, but that doesn’t seem to be dampening the spirits at the International Pipeline Exposition in Calgary.
Tomco president Wes Tomyn says business is picking up after a slow summer for his pipeline and facility services company.
"A lot of indications to us from downtown Calgary is that this winter is supposed to be busy and plugging away for us,” he said.
"You like to see the prices higher so the projects, they won’t be postponed or cancelled or anything like that."
Eric Johnson with software and services firm Energy Solutions International said he expects the value of crude will bounce back.
Prices expected to bounce back in winter
"I don't think it is going to stay at $90 through the winter,” he said.
“The road of people making prognostications about oil and gas in the future is littered with disaster, but I would say, right now, typically oil and gas prices do go up in the winter."
Judith Dwarkin with ITG Investment Research says stronger output from Libya and the U.S. is what’s driving down oil prices.
"Crude demand growth is pretty lacklustre this year and expectations aren't much better for next year. So stocks are building,” she said.
The three-day expo at the Calgary Telus Convention Centre, which attracted about 5,000 participants, wraps up on Thursday.