{"id":645686,"date":"2026-05-03T19:48:15","date_gmt":"2026-05-03T19:48:15","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/645686\/"},"modified":"2026-05-03T19:48:15","modified_gmt":"2026-05-03T19:48:15","slug":"credit-agency-says-surging-global-oil-prices-will-help-n-l-s-bottom-line-winnipeg-free-press","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/645686\/","title":{"rendered":"Credit agency says surging global oil prices will help N.L.\u2019s bottom line \u2013 Winnipeg Free Press"},"content":{"rendered":"

ST. JOHN\u2019S \u2013 One of the world\u2019s largest credit rating agencies says surging global energy prices related to the Iran war could help tackle the deficit in Newfoundland and Labrador.\u00a0<\/p>\n

DBRS Morningstar says the province\u2019s recent budget \u2014 with a deficit of $688 million \u2014 is based on an oil price of US$79 per barrel.\u00a0<\/p>\n

The price has been hovering around US$110 for weeks and the government estimates that every extra dollar is worth about C$33 million in revenue for the province.\u00a0<\/p>\n

\t\t\t\t\t\t\t\t\t
\n\t\t\t\t\t\t\t\t\t\t\"The
\n\t\t\t\t\t\t\t\t\t<\/a>
\n\t\t\t\t\t\t\t\t\tThe Hebron Platform, anchored in Trinity Bay, N.L., is shown on Tuesday, April 18, 2017. THE CANADIAN PRESS\/Paul Daly<\/p>\n

Regulators say Newfoundland and Labrador produced nine million barrels of oil in March, about 14 per cent more than the same time last year.\u00a0<\/p>\n

That oil had a total value of about $1.3 billion, up almost 55 per cent, year-over-year.<\/p>\n

DBRS says Premier Tony Wakeham\u2019s first budget also doesn\u2019t include any potential upside from the memorandum of understanding between the province and Quebec that includes an increased price for power generated by the Churchill Falls hydroelectric plant in Labrador.<\/p>\n

The two governments have not yet ratified the agreement. \u00a0\u00a0\u00a0<\/p>\n

\u201cBudget 2026-27 reiterates the PC Party\u2019s campaign priorities but presents a fiscal plan with ongoing deficits and rising debt,\u201d Travis Shaw, a senior vice-president at DBRS, said in a statement.<\/p>\n

\n\t\tWinnipeg Free Press | Newsletter\n\t<\/p>\n

\t\t\t\t\t\"Sign<\/p>\n

\u201cHowever, Newfoundland\u2019s exposure to global commodity prices presents material fiscal upside.\u201d<\/p>\n

This report by The Canadian Press was first published March 3, 2026.<\/p>\n","protected":false},"excerpt":{"rendered":"ST. JOHN\u2019S \u2013 One of the world\u2019s largest credit rating agencies says surging global energy prices related to…\n","protected":false},"author":2,"featured_media":645687,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[194296],"tags":[49,48,22073],"class_list":["post-645686","post","type-post","status-publish","format-standard","has-post-thumbnail","category-winnipeg","tag-ca","tag-canada","tag-winnipeg"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/645686","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=645686"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/645686\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/645687"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=645686"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=645686"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=645686"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}