The oil-rich western Canadian province of Alberta will end its two-year-old mandatory production curtailment programme in December after operators were forced to make deep output cuts this year amid market uncertainty driven by the Covid-19 pandemic.

On Friday morning, the provincial government said it would no longer set production limits because 16% of Alberta's crude oil production remained offline, down from 22% at the start of the pandemic. However, it will extend its authority to curtail output through 2021 if needed.