Alberta Surplus Swells to $3.8 Billion Amid High Oil Prices

Alberta's government has likely accumulated a surplus of $3.8 billion this fiscal year-to-date due to high oil prices, according to economist Trevor Tombe.

The University of Calgary professor estimates that every $1 per barrel change in the price of oil is worth about $680 million to the government's bottom line.

With current West Texas Intermediate (WTI) crude oil prices sitting at US $83.09, Alberta needs oil prices to be at US $66 per barrel or more to balance its budget by the end of March.

This means that instead of a deficit of $9.4 billion, the province is looking at a surplus of about $6 billion, Tombe said.