Booster, the price of crude does not have a direct correlation to CLL revenues. CLL actually sells bitumen, which is priced independently of crude or WTI. WTI (West Texas Intermediate) is often used as an industry benchmark, and referred to in press releases. However, the price of bitumen is the real key here. Bitumen, like other commodities, can be bought and sold at fluctuating prices. Just as WTI is a global benchmark, yet different types of crude can be bought or sold for higher or lower prices than WTI depending on quality and location, the same happens with bitumen. There are a couple places that CLL sells its bitumen, and the price can vary from place to place depending on a number of factors. So (as I understand it), if the purchase price offered at one terminal is higher than at another, CLL can actually shift their deliveries to take advantage of the slightly higher price.

Anyway, the price of bitumen dropped to an extremely low level there for a while. However, just before the announcement to up production again, bitumen pricing suddenly made a decent recovery, even though crude didn't have a big change at the time.

It all depends on supply and demand. More so on the supply side, I would imagine. With limited processing/upgrading/refining capacity, what will affect bitumen the most to the upside should be other companies pulling the plug on production projects, or reducing production temporarily, which would reduce the amount supplied to the regional markets.

Someone else with more knowledge of CLL's local markets could fill in more of the salient details here ...