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Cenovus to cut capex 13%, expects oil production to rise 10%

  • Cenovus Energy (CVE) plans a capital budget in the $2.8B-$3.1B range for 2014, a 13% Y/Y decrease, as it cuts back on exploration activities while projecting a 9% drop in operating cash flow to $3B-$3.7B.
  • ~90% of CVE's capex will be invested in its upstream oil assets; it plans to invest $680M-$760M to expand Foster Creek, a 12% Y/Y decrease, and $750M-$820M at Christina Lake, a 15% Y/Y increase.
  • CVE still expects oil output to rise 10% Y/Y to 190K-208K bbl/day, driven by Foster Creek and Christina Lake.
Comments (3)
  • Herbert Gamache
    , contributor
    Comments (13) | Send Message
     
    I own some shares of CVE. I appreciate your postings on this company.

     

    Thank you

     

    Herbert Gamache
    herbgcat@aol.com
    12 Dec 2013, 08:13 AM Reply Like
  • marpy
    , contributor
    Comments (757) | Send Message
     
    Good move by CVE to stay ahead of the game by focusing on keeping costs low and their most promising assets and still increasing production. Any surprises should be on the up side. I am long CVE.
    12 Dec 2013, 09:50 AM Reply Like
  • marpy
    , contributor
    Comments (757) | Send Message
     
    The article in link below gives you a good idea of where CVE is heading.

     

    http://bit.ly/1kG1ze2
    13 Dec 2013, 09:28 AM Reply Like
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