Cenovus Energy Stock Price, News & Analysis

Cenovus Energy Inc. (CVE) announced the suspension of its crude oil price risk management activities related to West Texas Intermediate (WTI), citing a strong balance sheet and liquidity. The company anticipates realized losses of approximately $970 million for Q1 2022 and expects an additional $410 million in losses for Q2 2022. Cenovus plans to close most outstanding risk management positions within two months. The company will provide Q1 results and shareholder return plans on April 27, 2022, continuing its focus on generating long-term free funds flow.

Cenovus Energy reported record oil sands production in Q4 2021, achieving a total upstream output of over 825,000 BOE/d. The company generated Q4 cash from operating activities of $2.2 billion, with adjusted funds flow of $1.9 billion. Net debt decreased to below $9.6 billion, down over $3.5 billion in 2021. Cenovus is focused on enhancing shareholder returns through share buybacks and increased dividends. Despite a net loss of $408 million in Q4, driven by a non-cash impairment of $1.9 billion, total revenues rose to approximately $46.4 billion for the year, showcasing operational strength post-Husky acquisition.

Cenovus Energy is set to release its fourth quarter and full-year 2021 results on February 8, 2022. The news release will include consolidated operating and financial information. Investors can access financial statements via the company's website.

A conference call is scheduled for 9 a.m. MT (11 a.m. ET), with details provided for dial-in and webcast access.

Cenovus Energy (CVE) announced its intention to redeem all outstanding principal amounts of its 3.80% notes due September 15, 2023, and 4.00% notes due April 15, 2024, on February 9, 2022. The company's notice has been issued to the trustees, with the redemption price to be determined according to the notes' governing indentures. Beneficial holders are advised to contact their respective financial institutions for inquiries. This release serves as an announcement rather than a formal notice of redemption.

Cenovus Energy Inc. has agreed to sell its Tucker thermal asset for $800 million, a move expected to accelerate net debt reduction and enhance shareholder returns. This sale is part of a broader strategy, as Cenovus aims to realize nearly $2 billion from asset sales in 2021. The Tucker asset, located in Alberta, has an anticipated average production of 18,000 to 21,000 barrels per day in 2022. The transaction is subject to customary closing conditions and is expected to close in late January 2022.

Cenovus Energy Inc. has announced a robust plan for 2022, including a capital expenditure range of $2.6 billion to $3.0 billion and total production of approximately 800,000 BOE/d. The company plans to allocate 50% of excess free funds flow to shareholder returns, including a share repurchase program of up to 146.5 million shares. ESG targets include a 35% reduction in GHG emissions by 2035 and a commitment to net zero emissions by 2050. Cenovus also aims to reduce net debt to below $8 billion.

Cenovus Energy Inc. has secured nearly $660 million by agreeing to sell its Husky retail fuels network and Wembley assets. This strategic move aims to enhance shareholder returns and accelerate debt reduction. Cenovus anticipates realizing over $1.1 billion from sales this year. The company has achieved its interim net debt target of $10 billion and plans to reduce long-term debt to $8 billion. The transactions are expected to close in mid-2022 and December 2021, subject to customary conditions.

Cenovus Energy will hold its 2021 Investor Day on December 8, 2021, where it will present its 2022 budget, updated strategy, and a five-year business plan. Additionally, the company will release its 2020 ESG report, outlining new targets in five focus areas, including climate change and greenhouse gas emissions. The event is set for 8 a.m. MT (10 a.m. ET) and will be available via webcast. Interested parties can register here.

Cenovus Energy Inc. (CVE) announced its intention to buy back up to 146.4 million shares over the next year, subject to TSX approval. This normal course issuer bid aligns with their capital allocation strategy, emphasizing shareholder value through cash returns and debt reduction. The buyback represents 10% of the company's public float, with daily purchases limited to 1.4 million shares. Additionally, an automatic share purchase plan has been established to facilitate these transactions during blackout periods.