Saskatchewan has had an exceptional last few years when it comes to oil production. According to the Ministry of the Economy, Saskatchewan produced 172.9 million barrels of oil in 2012, which is the new record. Some refer to the increased production as the “Bakken Boom”. The name comes from the Bakken formation which consists of parts of Saskatchewan, Manitoba, North Dakota and Montana. The increase in oil production in the Bakken formation started in 2006 and has been considered a “boom” since 2009. This boom isn’t expected to slow down any time soon. With so much oil production comes an overwhelming need for storage. GLM Industries is prepared to meet these needs and provide a product on which you can count.
Saskatchewan remains Canada’s second-largest oil producer, which means there is plenty of oil available; but does not necessarily mean revenue will be high. It is due to the increase of production and decrease in price that makes oil storage appealing. The price of oil was consistently over $100 per barrel until May 4th, 2012 when it dipped to $98.5. After that, there was a continual decrease until it hit a low of $77.69 on June 28th, 2012. Following, oil started to gradually rise again and has remained fairly steady, in the high $80s to low $90s. So in just eight months, the price of oil has dipped drastically and is now making a progressive recovery. Prices have been on the rise again due to confidence in the market. With the low prices, high production and the expectation of the price of oil to increase, storing oil now and selling it for a higher price later has become an attractive solution to build revenue.
GLM is an industry leader in the design, manufacturing and fabrication of atmospheric and pressure storage tanks. With the increase of production, there has been an expansion of production facilities and an increased need for both production equipment and storage solutions. GLM Industries is proud to be a part of this growth. With our facilities in both Battleford and Nisku, coupled with our professional engineering and drafting teams, GLM is able to accommodate the ever-growing demand for these storage solutions. GLM Industries is always ready to adapt to this changing economy. Whether it is a need for one tank, or an order for hundreds, GLM Industries will apply a combination of experience, good manufacturing practices and industry standards to provide solutions specific to the individual customer financial and technical requirements.
“The ever-increasing level of equipment complexity and client specification means GLM Industries, with its in-house engineering team, is well-positioned to provide clients with storage solutions that are designed and built for their particular applications,” states Craig Bradley, GLM sales manager.