Originally published Jan. 8, 2026 at The Narwhal. Read the full story here.

Politicians in Alberta like to claim credit, or cast blame, when it comes to the price of a barrel of oil. Low prices are Ottawa’s fault, or the previous government’s — its regulations or policy or ideology or some mishmash of all three. High prices are the result of prudent governance, of course. 

In reality, Canada, and Alberta in particular, are at the mercy of global markets and global powers that are largely outside either’s control — stock markets, political upheaval, election cycles and war all impact the price. Not to mention the fundamentals of supply and demand. 

It’s why the U.S. attack on Venezuela, and assertion of control over its oil, is turning heads here in the north, and raising all sorts of questions about the future of Canada’s oil industry. Venezuela has the largest reserves in the world. 

We’ll forgo, for now, discussions about whether or not it makes sense to invest heavily in oil and gas infrastructure at a time of climate-driven transition and look at the basics of what’s happening and why.

So, how do global oil markets work, and why is Venezuela, in particular, causing so much concern here in Canada?

READ THE FULL STORY AT THE NARWHAL.