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Alberta Power & Politics

Congratulations to the Calgary Stampeders with a big Grey Cup win! A highly political week in Alberta with significant
discussion focused on pipelines and crude discounts. The weekly power price averaged 10% higher to settle at
$52.54/MWh. Although there was significant intraweek volatility in the forward curve, there was limited net
movement week over week. However, 2020 declined due to supply changes (mothball timing) and political uncertainty
on carbon regulations.

US natural gas production hit a record high on Thanksgiving weekend and Canadian exports to the US are trending
towards record lows. AECO prices averaged 34% less week over week at $1.31/GJ however significant volatility still
exists in the North American West US gas market due to winter gas supply unknowns following the Enbridge pipeline
explosion.

Prime Minister Justin Trudeau visited Calgary this week to talk about the current crude oil discount seeing major
headlines in local papers. At the same time, Premiere Rachel Notley announced a carbon tax break for Alberta oil and
gas drilling companies.