* June WCS last seen at $22.75/bbl under WTI
* June synthetic at $0.65/bbl discount to WTI
CALGARY, Alberta May 7 Canadian oil prices
edged higher on Tuesday on talk BP Plc plans to begin the
start-up of an upgraded crude distillation unit at its 405,000
barrel-per-day Whiting, Indiana, refinery at the end of May.
Western Canada Select heavy blend for June delivery last
traded at $22.75 per barrel below the West Texas Intermediate
benchmark, according to Shorcan Energy Brokers.
That compares with a settlement price on Monday of $24 per
barrel under WTI.
Light synthetic crude from the oil sands last traded at a
discount of $0.65 per barrel under WTI, down from a settlement
price on Monday of $0.8 below the benchmark.
BP's upgraded crude distillation unit is intended to lift
the refinery's capacity to run Canadian crude oil to 350,000 bpd
from 80,000 bpd, and would give a significant boost to demand.
One source familiar with refinery operations said BP would
like to see the crude unit in operation this month.