CS - Canada O&G making the best of a challenging environment
- December 2019As 2019 draws to a close, the Canadian oil and gas sector continues to be affected by mandatory production curtailments in Alberta, heavy regulations and the lack of foreign investment, among other challenges. Even still, as companies solidify their plans for next year, some players expect to both spend and produce more despite the difficult environment. At $4.05 billion, Canadian Natural Resources Ltd.’s 2020 capital budget will be $250 million higher than its 2019 spending, with...
Dec 11, 2019
CS - People & Companies - August 2019Bonavista Energy announced the retirement of Michael Kanovsky from its board after 21 years. Industry veteran David Carey has succeeded Kanovsky as lead director. Also joining the board is Mary Hemmingsen, who has 25 years of industry experience. Delphi Energy Corp. named Darwin Little interim CFO. Little has more than 35 years of experience in financial management, asset development and project management, and most recently served as finance VP and CFO of NEP Canada, where he helped...
Aug 21, 2019
Bonavista reverses loss in 2018 despite production curtailmentsBonavista Energy Corp. struggled with some of the weakest natural gas prices in more than 20 years and intermittent egress constraints in 2018 but managed to eke out an $11.8 million profit, reversing a 2017 loss of $27.9 million. The company’s loss in 2017 stemmed in part from $215 million impairment charge caused by a sustained decline in gas prices. In 2018, it did not report any asset impairments. Improved capital discipline also played a role; Bonavista spent $164 million on exploration...
Mar 05, 2019
Alberta's January Crown Land sale raises just $5.5 millionAlberta kicked off 2019 with a relatively anemic Crown Land sale, raising less than
$5.5 million for rights to explore and develop a total of 35,112 hectares of land in the
province. The total for the first sale of 2019 was just one-third of the $17.6 million raised
in last year's inaugural sale, which distributed rights to 65,163 hectares.
Only a month ago, Alberta raised $48 million for rights to 119,598
hectares. The Jan. 9 auction was the lowest single auction since Oct. 3,
when the...
Jan 22, 2019
Canadian upstream deals in play total US$16BUpstream oil and gas assets worth roughly US$16 billion are on the market as of midyear in Canada, comprising 13% of the total value of upstream deals in play worldwide, according to the Global Energy M&A Database. Oil sands make up the majority of assets for sale at 53%, with the next largest play type being conventional assets with 28%. Unconventional assets in the Viking, Cardium, Montney, Duvernay, Horn River and multiple plays collectively account for just 19% of assets for...
Jul 25, 2018
People & Companies - May 22, 2018MEG Energy announced the
retirement of president and CEO Bill
McCaffrey after 19 years with the company.
He will also retire from the board following
MEG’s May 31 annual meeting. Board
member Harvey Doerr will act as interim
CEO during the search process for a
permanent replacement. Kelt Exploration elected Michael
Shea as a director of the company and
announced the retirement of board member
Eldon McIntyre after he served for five years.
Kelt also named David Gillis finance VP.
Gillis...
May 22, 2018
People & Companies - May 18, 2018Advantage Oil & Gas named David
Sterna to the position of VP, Maketing
and Commercial. In that role, he will lead
the company’s efforts
to diversify its markets.
Previously, he was at
Petronas subsidiary Progress Energy
Canada, Obsidian Energy (formerly
Penn West), and at Canetic Resources
Trust, where he held similar executive
and senior management roles. Toronto-based Advantagewon Oil
Corp. named Roger Harman its next
CFO. Harman is a Chartered Professional
Accountant and...
May 18, 2018
People & Companies - May 10, 2018Advantage Oil & Gas has
appointed David Sterna to the position
of VP Marketing and Commercial. Sterna
has more than 20 years of executive and
senior management experience, most
recently with Progress Energy Canada. ARC Resources director Tim Hearn
is retiring from the company’s board after
seven years of service. Bonavista Energy’s VP, Exploration,
Wayne Merkel, is retiring. Merkel has been
with the company since 2002. Rochelle
Estep has been promoted
to VP, Strategy...
May 10, 2018
Stronger oil prices boost 2017 Canadian cash flowsGenerally strong production and an increase in oil prices in 2017 helped Canadian upstream operators to boost revenues and cash flows, although one-time charges occasionally kept earnings in the red. Tourmaline Oil Corp. cash flows rose 65% (PG 6). Raging River boosts net income to $59.8MM (PG 6). Tamarack Valley Energy boosted revenue and production, but ended in the red following an increase in DD&A expenses related to its acquisition of Viking Oil last year (PG 7). Earnings, revenue and cash...
Mar 14, 2018
Analyst Takes - February 26, 2018Bonavista Energy Corp. (TSX: BNP; $1.43 – Feb. 7; Equal Weight; PT: 2)Looking ahead, the weakness in Canadian gas prices has led Bonavista to adopt a defensive approach, acknowledging that investment returns are modest at today's prices, although this is partially offset by hedges on 50% of 2018 gas production at $3.07/mcf. The 2018 capital budget of $160-180mn (~70% of cash flow), aims to sustain production near 2017 levels, which seems reasonable considering current volumes in the...
Feb 26, 2018
People & Companies - December 13, 2017Athabasca Oil announced that
Henry Sykes will step down from the
board as a result of a conflict that arose
due to his position on a board
of a publicly traded company
that recently combined with
another public company. Athabasca has
hired a global recruiting firm to find
his replacement. Bonavista Energy has appointed
Theresa Jang and David Carey to its
board. Jang most recently served as
CFO of Veresen. Carey
retired from his role
as Senior VP, Capital Markets for ARC
Resources...
Dec 13, 2017
Stronger prices boost earnings, cash flowsOil prices were moderately stronger
in Q3 than they were a year ago, boosting
revenue, cash flows and, in most cases,
earnings for most Canadian oil and gas
companies. Companies
with a high percentage of
revenue from natural gas
sales originating in Alberta struggled as
a glut of supply pushed down natural gas
prices in the region during the quarter.
Most companies saw revenue
and earnings increase from last year,
including Canadian Natural Resources (PG 1), Husky Energy (PG...
Nov 20, 2017
Bonavista Energy narrows loss, widens cash flow to $75MMBonavista Energy Corp. reported a Q3 net loss of $1.7 million, up from a loss of $29 million a year ago, on revenue of $112 million, which was up 12% from last year.The company’s cash flow from operations in Q3 was $75 million, up from $52 million a year ago. Q3 capex of $79 million was more than double the $36 million reported a year ago. Q3 capex expenditures were used to drill 17 and complete 14 horizontal wells and close four minor acquisitions and divestitures....
Nov 20, 2017
Bonavista increases exchange ratioBonavista Energy Corp. has
increased the exchange ratio of its
exchangeable shares from 1.44189
to 1.44650, the third
time this year it has
moved the exchange ratio higher. The
ratio allows a holder of Bonavista
exchangeable shares to exchange all or
a portion of their holdings into common
shares at an exchange ratio of one
exchangeable share per 1.44650 after the
Oct. 16 effective date. The exchangeable
shares are not traded on any public
stock...
Oct 27, 2017
Bonavista increases exchange ratio for exchangeable sharesBonavista Energy Corp. has increased the exchange ratio of its exchangeable shares from 1.43643 to 1.44189 effective July 17. The ratio allows a holder of Bonavista exchangeable shares to exchange all or a portion of their holdings into common shares at an exchange rate of one exchangeable share per 1.44189 common shares. As of May 4, Bonavista had 254.9 million equivalent common shares outstanding. This included 3.3 million exchangeable shares which were convertible into 4.7 million...
Jul 27, 2017