The Globe and Mail reports in its Tuesday, Dec. 2, edition that on Thursday Ottawa reversed its decision allowing access to federal tax credits for carbon capture projects that use the C02 to boost oil production in old wells. The Globe's Emma Graney writes that not only could it boost production, it can make Western Canada's conventional oil sector more competitive with its peers in the United States, says Canadian Association of Energy Contractors chief executive officer Mark Scholz. When Ottawa introduced a tax credit in 2021 to incentivize carbon capture utilization and storage projects, those that planned to use the carbon dioxide for EOR were excluded from the cash -- a move that puzzled the oil sector, says Mr. Scholz. Thursday's memorandum of understanding says Canada will extend federal tax credits and other policy supports "to encourage large scale CCUS investments, including Pathways and enhanced oil recovery." Various enhanced oil recovery facilities already operate in Canada, including a site operated by Whitecap Resources which uses carbon dioxide purchased from the coal-fired Boundary Dam Power Station in nearby Estevan, Sask. And there are projects near Lloydminster.