Alberta's oil and gas industry has taken a massive hit.

With the novel coronavirus pandemic keeping people at home, the demand has plummeted. Combined with the oil feud between Saudi Arabia and Russia ongoing, suppliers are having a difficult time selling their products. 

On Apr.20, oil prices in Alberta went as far as dropping into negative prices. 

"Basically, you have to pay someone to take it off your hands. Until the demand returns, it wouldn't surprise me to see more reduction in production, particularly in North America," explained Laurie Danielson, executive director for the Northeast Capital Industrial Association (NCIA).  

Prices bounced back into the positives before a full day had passed, but Danielson said Alberta isn't out of the woods yet. Prices are still low and the global storage capacity for produced barrels of oil is filling up quickly. 

Alberta gas prices are the lowest they've been in years. Most Grande Prairie stations sit at 65.9 cents per litre as of Thursday (Apr.30). 

"Nobody's really driving anywhere so what's the benefit of low prices at the pump?" added Danielson. "With the demand so low, I think it's going to take quite some time before we see any real significant upward movement in global oil prices."

He explained Albertans working in the oil and gas industry will feel the effects strongest, but all Canadians will be impacted by the repercussions of the province's economy struggling. 

NCIA predicts there will be no significant rise in prices until people are able to return to work. Until that time, which likely could be months away, there is a good chance oil prices could drop into the negatives again. 

NCIA have been a part of Alberta’s industrial heartland for nearly 40 years, their mission is to be the voice of industry in the region.