Canadian Natural Crude Prices Soar as Middle East Conflict Drives Up Demand

Canadian Natural Resources, Canada's largest oil and gas producer, has raised its full-year production forecast for the second time this year. The company beat analysts' estimates for second-quarter profit, thanks to record production and stronger crude prices.

The realized price for exploration and production liquids during the quarter jumped 51% from a year earlier to $105.11 per barrel, while synthetic crude oil prices rose 44% to $125.78 per barrel.

Strong demand for synthetic crude and tighter crude supplies have helped widen price premiums. As a result, Canadian Natural's synthetic crude traded at an average premium of $8.37 per barrel to U.S. benchmark West Texas Intermediate crude during the period, up from $0.98 a year earlier.