Desperation fuels Canadian M&A activity
Offloadings accelerate as many domestic oil firms struggle to stave off bankruptcy
M&A activity is picking up in the Canadian oil patch following a dearth of deals in the first half of the year, driven to some degree by the dire financial straits in which many of the country’s small to medium-sized oil and gas companies find themselves. Funding options, whether debt or equity, have largely dried up for these firms after a six-year downturn in Western Canada, culminating in the Covid-assisted oil price depression. In contrast, large producers—including oil sands heavyweights Suncor Energy and Canadian Natural Resources (CNRL)—continue to have no trouble tapping debt markets, and at reasonable rates. In an attempt to avoid bankruptcy, smaller Canadian oil and gas compan
Also in this section
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields
23 April 2024
Cheaper Russian barrels and lower overall crude prices have helped cut key oil consumer’s import bills in election year
22 April 2024
Pursuing three different goals as part of the same package may mean achieving none of them
22 April 2024
Beijing’s renewed targeting of NOC management could threaten investment