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A supervisor checks the gauges on the Spearhead pipeline in Cushing, Okla. MEG is looking forward to the midyear completion of an Enbridge pipeline link in Illinois, which will provide more capacity to the Cushing storage hub, and twinning of the Seaway pipeline between Cushing and Texas refineries.
A supervisor checks the gauges on the Spearhead pipeline in Cushing, Okla. MEG is looking forward to the midyear completion of an Enbridge pipeline link in Illinois, which will provide more capacity to the Cushing storage hub, and twinning of the Seaway pipeline between Cushing and Texas refineries.
(James Gutzmer/Cushing Daily Citizen)

MEG Energy set for a much happier 2014

MEG Energy Corp. has had a rough run in the market despite its strong financial position among small and mid-size oil sands players. That could be set to change in 2014 as output climbs and heavy-oil market conditions improve, according to RBC Dominion Securities.

In recent weeks, MEG shares have edged up as the discount on Western Canada Select heavy crude has narrowed to less than $20 (U.S.) a barrel under benchmark West Texas intermediate. Longer-term fundamentals point to more gains, RBC analyst Mark Friesen said.