* March synthetic trades at $3.00/bbl above WTI
* March WCS trades at $12.10/bbl below WTI
CALGARY, Alberta, Feb 11 (Reuters) - Canadian heavy crude
differentials tightened on Thursday but a fresh slump in U.S.
benchmark crude held the outright price of Canadian crude within
sight of record lows hit last month.
Western Canada Select heavy blend crude for March delivery
last traded at $12.10 per barrel below the West Texas
Intermediate benchmark, according to Shorcan Energy brokers,
down from a settlement of $13.30 per barrel on Wednesday.
However, a sharp $1.24 a barrel slide in U.S. crude to
$26.21 cancelled out the gains in WCS.
U.S. crude CLc1 hit a 12-year low, driven lower by
concerns about domestic stockpiles, which put the absolute price
of Canadian crude at around $14.11 a barrel, marginally lower
than the previous day's price of $14.15.
Last month the price of Canadian crude dropped to around
$13.25 a barrel, the lowest since the benchmark WCS blend was
launched in 2004.
At current prices Canadian oil sands producers are
struggling to cover the cost of production, with Cenovus Energy
CVE.TO the latest to report a quarterly earnings loss on
Thursday.
Light synthetic crude from the oil sands held on to its
premium versus WTI, boosted by upcoming maintenance in the oil
sands that are set to curb supply.
Light synthetic crude from the oil sands for March delivery
last traded at $3.00 per barrel above the West Texas
Intermediate benchmark, up from $2.90 per barrel above WTI on
Wednesday.