Nov 12 (Reuters) - The discount on Western Canada Select

(WCS) heavy crude versus the North American benchmark West Texas

Intermediate (WTI) tightened on Tuesday:

* WCS for December delivery in Hardisty, Alberta, settled at

$11.45 a barrel under the WTI benchmark, according to brokerage

CalRock, having settled at a discount of $11.65 a barrel under

the U.S. benchmark in the previous session.

* Oil sands producer Suncor Energy ( SU ) reported a 20%

increase in third-quarter production versus the same period a

year earlier, hitting 828,600 barrels per day.

* Global oil prices held near a two-week low after dropping

about 5% over the past two sessions, as investors absorbed

OPEC's latest downward revision for demand growth, a stronger

U.S. dollar and disappointment over China's latest stimulus

plan.