Cenovus takes advantage of cheap credits to boost oil output | Oilsands & Heavy Oil | JWN Energy
I guess no one told Cenovus Energy that we were transitioning to a green new world after the pandemic. Of course, we won’t hold our breath waiting for that to happen.
Cenovus Energy Inc. is taking advantage of a plunge in the price for credits that allow the oilsands company to produce more than output limits imposed by Alberta.
For August, those credits are trading at about $1.25 a barrel, compared with $7 or more before the global pandemic, according to people familiar with the market who asked not to be named because the prices aren’t public.
With those cheap credits, the Calgary-based company has pushed output to more than 405,000 barrels a day, up from less than 344,000 in April. Output at the company’s Christina Lake reached a record.