Canadian Energy Companies Slash Capital Spending on Oil Glut – See the Summary Here

By Kevin Orland

(Bloomberg) Canadian energy companies are slashing their spending plans for this year as low oil prices make most production unprofitable, straining their cash flow.Here is a summary of how companies are responding to the slump:

Company Response
Husky Energy Cutting spending plan by C$1 billion ($720 million) and reducing production forecast by about 5%
Cenovus Energy Reducing spending 32% to a range of C$900 million to C$1 billion and lowering production outlook by about 5%
MEG Energy Slashing capital spending by 20% to C$200 million
ARC Resources Lowering capital budget 40% to as much as C$300 million and cutting monthly dividend 60% to 2 cents a share. After March, company will switch to a quarterly dividend of 6 cents
Seven Generations Trimming capital budget 18% to C$900 million and reducing production forecast 7.4%, to 185,000 to 190,000 boe/d
Birchcliff Energy Reducing 2020 capital spending plan by 19% to a range of C$275 million to C$295 million
Surge Energy Deferring some capital spending from the first quarter into the second half of the year and cutting dividend to 1 cent a share per year, from 10 cents
Pipestone Energy Cutting capital spending 60% to a range of C$55 million to C$65 million.
Gran Tierra Lowering capital budget 67% to range of C$60 million to C$80 million.
Bonterra Energy Suspending monthly dividend, starting in April. Setting capital budget of C$25 million, a 53% from last year.
Gear Energy Reducing capital spending 74% to C$13 million

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