National Bank of Canada says local energy sector still has upside and cites China moving away from its zero-COVID policy and OPEC+ cutting production to keep crude oil prices at or above its ‘desired price floor’ among reasons.
Brokerage expects capital expenditure budget to increase for sector in 2023 due to cost inflation and tight oilfield services supply.
The speed of shareholder returns “poised to kick into high gear” in 2023 – National Bank of Canada.
Inventory-driven mergers and acquisitions to gain momentum this year.
National Bank of Canada also lifts PTs for major Canadian oil companies: Company name PT change Cenovus Energy C$39 from C$36 Inc Imperial Oil Ltd C$85 from C$80 Suncor Energy Ltd C$57 from C$54.