Expansion of Alberta's oilsands will lead to an increase of 54 per cent in Canadian crude oil production in the next 15 years, according to a forecast released by an industry association Wednesday.

The Canadian Association of Petroleum Producers — which represents Canada's largest oil companies —  forecast that total production will grow from 2.8 million barrels a day this year to 4.3 million barrels a day by 2025.

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The forecast calls for Alberta's oilsands to produce 3.5 million barrels a day by 2025.

It expects 3.5 million barrels a day, or 81 per cent, of that will come from the oilsands by 2025.

The oilsands now produce 1.5 million barrels a day, or 54 per cent of output.

"While the economic downturn in 2009 saw many projects deferred, a stabilizing investment climate, more robust commodity prices and market demand for Canadian crude have provided the foundation for several projects to return to active development," said vice-president Greg Stringham.

The report said new technologies will also get more oil from conventional reservoirs.

The forecast was based on an annual survey of producers and only includes estimated output from projects currently in operation or under construction.

With files from The Canadian Press