Canada’s Cenovus Energy on Thursday forecast higher crude oil production for 2026 as major oil sands projects near completion.
The company expects upstream production between 945,000 and 985,000 barrels of oil equivalent per day (boepd) for 2026, surpassing its 2025 forecast range of 805,000 to 845,000 boepd.
The producer said it would allocate C$850 million in spending to the recently acquired Christina Lake North asset acquired from MEG Energy.
The Calgary-based producer had earlier said its capital expenditure will fall to about C$4 billion next year with major expansion projects wrapping up, excluding assets from its planned C$6 billion high-profile takeover of MEG Energy.
The Canada-based oil and gas producer expects total expenses to be between C$5.0 billion and C$5.3 billion in 2026.
The projects will also boost production, with output expected to rise to about 950,000 bpd by 2028.
The deal, backed by 86% of MEG investors after delays tied to a regulatory inquiry, will fold one of Canada’s last pure-play oil sands producers into Cenovus’s portfolio.
(Reporting by Yagnoseni Das in Bengaluru; Editing by Tasim Zahid)