Wave of billion-dollar oilpatch deals a sign of bullish Canadian energy sector
BNN Bloomberg
A wave of high-profile mergers and acquisitions in the Canadian oilpatch is a sign of an industry that is flush with cash and increasingly confident in the short- and medium-term outlook for fossil fuels, experts say.
Since the start of the year, there have been a number of billion-dollar-plus deals struck in the Canadian energy sector, including Crescent Point Energy Corp.'s $1.7-billion purchase of Spartan Delta Corp.'s Montney oilfield assets, ConocoPhillips' approximately $4-billion purchase of TotalEnergies' Surmont oilsands project, and Suncor Energy Inc.'s $1.47-billion acquisition of Total's stake in the Fort Hills oilsands mine.
The latest headline-grabbing deal was announced Monday, when Tourmaline Oil Corp. — Canada's largest natural gas producer — said it would purchase privately held Bonavista Energy Corp. for $1.45 billion.
Strathcona Resources Ltd. also recently merged with Pipestone Energy Corp. in an all-stock deal, with the merged company expected to be the fifth largest oil producer in the country.
