CALGARY, A.B. – The Petroleum Services Association of Canada has released its first update to the 2020 Canadian Oilfield Services Activity Forecast.

According to PSAC, the number of wells drilled across Canada for 2020 has been revised to 4,800 wells. This represents an increase of 300 wells, or seven percent, from PSAC’s original 2020 Forecast released in October 2019.

PSAC says it is basing its updated 2020 Forecast on average natural gas prices of $1.85 CDN/mcf, crude oil prices of $59.00 USD/barrel, and the Canada-US exchange rate averaging $0.76.

On a provincial basis for 2020, PSAC now estimates 2,460 wells to be drilled in Alberta, up 14 percent from 2,155 wells in the original forecast. The revised forecast for Saskatchewan now sits at 1,790 wells, down five wells from the original forecast, while British Columbia and Manitoba are unchanged at 345 and 190 wells, respectively.

Compared to 2019, 2020 is expected to have two percent less activity.