CANADA CRUDE-Outright WCS inches higher, both Enbridge lines reopen

* Sept WCS trades at $19.25/bbl below WTI

* Sept synthetic trades at $4.85/bbl below WTI

By Nia Williams

CALGARY, Alberta, Aug 14 (Reuters) - The outright price of Canadian heavy crude edged higher on Friday, moving back above $23 a barrel as Canadian differentials narrowed after the reopening of two major U.S (Other OTC: UBGXF - news) . crude pipelines and benchmark U.S. crude reversed losses.

The discount on Western Canada Select heavy blend crude for September delivery last traded at $19.25 per barrel below the West Texas Intermediate benchmark, according to Shorcan Energy brokers.

That was 15 cents stronger than Thursday's settlement of $19.40 a barrel below the benchmark, and significantly tighter than the 12-month low of $21.75 per barrel under WTI hit on Wednesday after Enbridge (Toronto: ENB.TO - news) closed its Flanagan South and Spearhead pipelines.

With U.S. crude closing up 27 cents at $42.50 a barrel, the outright price of WCS was around $23.25 a barrel, up from $22.78 on Thursday.

The two Enbridge pipelines are key conduits for Canadian crude to reach the U.S. oil futures hub of Cushing, Oklahoma, and refineries on the Gulf Coast, and their closure led to differentials blowing out on concerns a glut of crude could build up in Alberta.

Enbridge reopened the 600,000 barrel per day Flanagan South line late on Wednesday and the smaller Spearhead pipeline on Friday afternoon.

Traders in Calgary said it was good news to end what had been a torrid week.

BP Plc's 413,500 bpd Whiting, Indiana, refinery is running at about 40 percent capacity while the company repairs its largest crude unit, which could take up to two months.

BP is one of the largest consumers of Canadian heavy crude and the reduced demand comes as oil sands volumes, particularly from Imperial Oil (Toronto: IMO.TO - news) 's Kearl project expansion, ramp up and other U.S. refineries approach maintenance season.

Light (Stuttgart: 5LIA.SG - news) synthetic crude from the oil sands for September delivery edged wider to $4.85 per barrel below WTI, widening slightly from Thursday's settlement of $4.75 per barrel below the benchmark. (Editing by James Dalgleish)