G7 leaders have formally endorsed Canada’s potential to deliver “significant additional capacity” to global energy markets, a direct acknowledgment of the country’s role in reducing the world’s dependence on oil and gas routed through the Strait of Hormuz.
The endorsement emerged from a joint statement at the G7 summit in Évian-les-Bains, France, where leaders pledged to accelerate energy supply route diversification following disruptions to Persian Gulf shipping caused by Iranian actions. Before those disruptions, the Strait served as the transit point for roughly a fifth of all crude oil traded globally.
“We commit to accelerate the diversification of energy supply routes in order to reduce global vulnerability to the Strait of Hormuz and to increase our energy stocks. We welcome the potential for Canada to deliver significant additional capacity to global markets in the coming years.”
-G7 Leaders’ statement on geopolitical issues
Canada already has momentum toward expanded production, Carney told reporters, pointing to several major liquefied natural gas projects underway, rising output from the Trans Mountain Expansion pipeline, and the prospect of two additional pipelines from Western Canada, one directed toward the U.S. and another toward the West Coast.
He noted that “other alternatives in the east” could further broaden the country’s export capacity.
Carney described Canada’s energy position as both a commercial and strategic opportunity. “It’s quite substantial and it’s important to our European partners. It’s important to our Asian partners,” he said at his closing news conference, adding the subject arose during several bilateral meetings on the sidelines of the summit.
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