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Cenovus Energy, Inc. (CVE)

  • Wed, May 6, 2:36 PM
    • Canadian energy stocks are broadly lower after the shocking election result in Alberta raised questions about the future of the country's oil industry: SU -3.3%, ENB -2.8%, TRP -2.6%, IMO -2.3%, CNQ -2.3%, CVE -5.8%, OTCQB:HUSKF -1%, TCK -1.6%, TAC -4.1%, OTCQX:COSWF -6%.
    • "Energy is such a critical issue to Alberta, I’m really not that concerned," ENB CEO Al Monaco says, but investors and analysts disagree.
    • "It’s completely devastating" for energy companies and investors, saysCanoe Financial's Rafi Tahmazian of stated plans by the newly elected government to raise corporate taxes, review the government’s take of energy revenue, scale back advocacy for pipelines and phase out coal power more quickly.
    • “If you are invested in energy stocks, you should be concerned,” says AltaCorp’s Jeremy McCrea, noting that drillers already face higher costs to extract oil and gas in Alberta than in many jurisdictions, so an increase in royalties would make the province even less competitive.
  • Thu, Apr. 23, 3:09 PM
    • Cenovus Energy (CVE +4.2%) has hired TD Bank to explore the possible sale or IPO of its royalty lands in western Canada, Bloomberg reports.
    • The royalty lands, located across Alberta, Saskatchewan and Manitoba, could fetch as much as C$1.6B ($1.3B) in a sale, according to RBC analyst Shailender Randhawa, who says CVE has 3.1M net acres of royalty lands that produce 7,600 boe/day and generated C$150M in pre-tax operating cash flow for the company.
    • Potential bidders are speculated to include other royalty companies such as PrairieSky (OTC:PREKF), Freehold Royalties (OTCPK:FRHLF) or Franco-Nevada (NYSE:FNV), as well as pension plans or P-E players.
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  • Wed, Feb. 18, 9:15 AM
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  • Tue, Feb. 17, 6:25 PM
    • Cenovus Energy (NYSE:CVE) -4.9% AH Cenovus Energy on news it entered into a bought-deal financing agreement to sell 67.5M common shares at $22.25/share.
    • CVE says the net proceeds of the offering, combined with its $3B of undrawn committed credit lines, will result in a stronger balance sheet and financial flexibility to help fund its planned $1.8B-$2B 2015 capex program.
    • CVE says it will continue expansion projects already under way at its core Foster Creek and Christina Lake projects in Alberta’s oil sands, and expects to produce up to 212K bbl/day of oil in 2015, up from 203K last year and 179K in 2013.
  • Oct. 23, 2014, 10:54 AM
    • Cenovus Energy (CVE +6.1%) opens strong after Q3 earnings slip 4% but beat expectations, and cash flow climbed 6% on higher oil sands production and stronger natural gas prices.
    • CVE says cash flow reached C$985M (US$876M), or C$1.30/share, but the improvement was partly offset by weaker crude prices and lower refined product output.
    • Refining operating cash flow fell 53% due to an unplanned coker outage in July at its Borger refinery in Texas and a planned turnaround at the Wood River refinery in Illinois; CVE owns a 50% stake in the two U.S. refineries operated by Phillips 66 (NYSE:PSX).
    • CVE, which co-owns the Foster Creek and Christina Lake oil sands projects with ConocoPhillips (NYSE:COP), says its total oil production rose 13% to ~199K bbl/day, driven by a 23% jump in oil sands production to ~125K bbl/day.
  • Jul. 30, 2014, 9:44 AM
    • Cenovus Energy (CVE +2.6%) opens higher after its Q2 earnings more than tripled, helped by increased production at its Christina Lake oil sands project in Alberta.
    • CVE's Q2 oil sands production averaged nearly 125K bbl/day, with Christina Lake up 77% to 68K bbl/day following completion of another phase of development.
    • Total oil production rose 18% to 201,688 bbl/day; natural gas production fell 5% in the quarter.
    • Cash flow of C$1.19B ($1.57/share) was 37% higher than a year earlier, fueled by higher oil sands production and improved commodity prices.
  • Aug. 16, 2013, 10:33 AM
    • Warren Buffett’s new 17.7M-share stake in Suncor (SU +1.7%) could spark investor interest in the battered stocks of Canadian oil sands companies, analysts say.
    • Canadian Natural Resources (CNQ), Cenovus Energy (CVE) and Imperial Oil (IMO) - with "scale and access to market and cost discipline" - may get a second look from investors as Wall Street reviews oil and gas plays beyond prolific shale plays in their own backyard.
    • SU produced a record 390K bbl/day in July, and its "new normal" would see output shoot up to 420K, First Energy Capital says.
    • SU is trading at some of the lowest cash flow multiples and, at 80 years, has one of the longest reserve lives in its peer group.
  • Jul. 24, 2013, 10:32 AM
    Cenovus (CVE -4%) shares slide after its Q2 misses estimates by a wide margin and the company says 2013 operating costs will be higher than forecast in previous guidance. Total oil output was up 10% Y/Y, but CVE recorded a $57M expense related to the sale of its Shaunavon light oil assets. Guidance on operating costs at its oilsands operations jumps to $3-$3.30/bbl vs. $2.70-$3 earlier.
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  • Apr. 25, 2013, 10:56 AM
    Cenovus Energy (CVE +2.4%) CEO Brian Ferguson says Canada’s second-largest oil producer plans to step up shipments to refineries on the Gulf of Mexico regardless of whether the U.S. approves the Keystone pipeline. CVE expects to export 150K bbl/day to the Gulf mostly through Keystone and two other pipelines, is increasing the use of rail, and is even mulling tanker shipments.
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  • Apr. 24, 2013, 3:46 PM
    Cenovus Energy (CVE +2%) says the sale of some of its Saskatchewan oil properties put on the block earlier this year has been delayed by a "down draft" in Canada's capital markets. CVE, whose Q1 operating profit beat estimates with a 15% rise, says the smaller companies most likely to buy the assets are finding it difficult to find money to finance the purchase.
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  • Feb. 14, 2013, 3:31 PM
    Cenovus Energy (CVE -2.4%) will make a strong show of support for TransCanada's (TRP) plan to ship oil sands-derived crude to eastern Canada in a converted natural gas pipeline when bids for capacity are called, VP Don Swystun says on a conference call after Q4 earnings, "so we will be having a significant participation when that line goes to open season."
  • Jan. 24, 2013, 3:59 PM
    Cenovus Energy (CVE +1.5%) CEO Brian Ferguson says it has refining capacity, supply arrangements and hedging contracts in place to deal with 90% of its exposure to deeply discounted Canadian heavy crude oil prices this year. CVE and JV partner Phillips 66 also are working on ways to "debottleneck" the 362K bbl/day Wood River refinery to increase its capacity to process heavy crude by 5%-10%.
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  • Oct. 2, 2012, 3:26 PM
    An agreement by Cenovus Energy (CVE +2%) to purchase the remaining assets of Oilsands Quest for $10M receives approval from the Alberta Court of Queens Bench. Most of the assets are located adjacent to CVE's proposed Telephone Lake oil sands project in Alberta province.
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  • Jul. 25, 2012, 11:17 AM
    Cenovus Energy (CVE -2.7%) slips after its Q2 EPS missed estimates this morning, as cash flow fell slightly on lower commodity prices. Total oil production averaged more than 155,000 bbls/d during the quarter, a 28% increase compared with the same period a year earlier. Capital investment jumped 39% Y/Y to $660M. as the company expands development at its Narrows Lake oil sands project, which is expected to have a gross production capacity of 130,000 bbls/d once on line.
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  • Dec. 7, 2011, 1:40 PM
    Cenovus Energy (CVE +1.2%) says its capital budget will increase 23% next year and oil production will increase 21%, to an average of 163K barrels a day, as the Canadian driller continues to expand its oil-sands operations.
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  • Oct. 7, 2011, 3:58 PM
    Cenovus Energy (CVE +2.6%) bucks a JP Morgan downgrade to trade higher with the rest of its peers as crude continues to rack up gains today. The firm cut the driller to neutral on valuation, saying it has less downside protection if oil prices decline.
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Company Description
Cenovus Energy Inc is an integrated oil company. The Company is in the business of developing, producing and marketing crude oil, NGLs and natural gas in Canada with refining operations in the United States.