Cenovus announcement could be good news for Akita because it does a lot of drilling for them
Currently, Akita has 2 rigs drilling for Cenovus.
Cenovus Energy announced plans to spend an extra $500 million next year, setting its 2024 capital spending budget to between $4.5 and $5.0 billion. Just over half of that spending is being allocated towards its oil sands assets, including a maintenance turnaround at Christina Lake in the third quarter. Cenovus Energy (NYSE:CVE) +1.2% in Tuesday's trading as the company said it plans to increase oil and gas production by 19% to 950K boe/day during the next five years as Canada's pipeline capacity expands.
In an Investor Day presentation, Cenovus (CVE) said it plans to raise production by 150K boe/day during the period, including expected additions of 30K bbl/day from Foster Creek, 20K-30K bbl/day from Narrows Lake, 15K-20K bbl/day from Sunrise, and 45K bbl/day from West White Rose.
Cenovus (CVE) said it sees oil sands production rising by 75K bbl/day during the five years to 700K bbl/day by 2028, while oil sands operating costs are projected to drop to $11.50/bbl from $12.50/bbl currently.