Canadian Energy Companies Slash Billions In Spending on Oil Glut
(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:
|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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