June 6 (Reuters) - The discount on Western Canada Select
(WCS) to the North American benchmark West Texas Intermediate
(WTI) futures narrowed on Friday.
WCS for July delivery in Hardisty, Alberta, settled at $8.85
a barrel under the U.S. benchmark WTI, according to brokerage
CalRock, after having settled at $9.10 under the U.S. benchmark
on Thursday.
* Global crude prices rose more than $1 a barrel on Friday,
posting their first weekly gain in three weeks after a favorable
U.S. jobs report and resumed trade talks between the U.S. and
China, raising hopes for growth in the world's two largest
economies.
* Stronger U.S. demand means higher U.S. refinery runs and
boosts
demand for Canadian heavy crude, said Rory Johnston, energy
analyst and founder of the Commodity Context newsletter.
* The WCS discount had narrowed early in the week as
wildfires
burning in Canada's oil-producing province of Alberta prompted
several oil sands operations to evacuate workers as a
precaution. About 344,000 barrels per day of production, or
about 7% of Canada's average daily crude production, was
disrupted as a result.
* But concerns about long-term supply impacts appeared to
lessen
mid-week. Canada's largest crude producer, Canadian Natural
Resources ( CNQ ), restarted operations at its Jackfish 1 site
and analysts said they expect Cenovus Energy's ( CVE )
Christina Lake oil sands site to also resume full operations
soon. However, Cenovus has not yet confirmed when it will
restart Christina Lake production.