CALGARY – MEG Energy Inc. is looking to make changes to its board of directors and restart a strategic review of its partial upgrading technology following Husky Energy Inc.’s decision to drop its hostile takeover offer for the company.
The company says the board is evaluating its composition and has started a renewal process.
MEG also says that it has hired a financial adviser to help review alternatives for its HI-Q partial upgrading technology.
The changes came as MEG announced a base capital budget of $200 million for this year plus an additional $75 million that may be spent later this year, depending on market conditions.
MEG says it has the ability to average 100,000 barrels per day of production this year, but due to the Alberta government’s mandated production curtailments it expects 2019 production to average 90,000 to 92,000 bpd.
Husky dropped its hostile takeover offer last week after it failed to win the two-thirds support from MEG shareholders it had been seeking.