Cenovus Energy announced an agreement to acquire Athabasca Oil in a cash-and-share transaction worth about C$5.7 billion, or US$4 billion, Reuters reported October 5.
The companies’ boards have approved the deal, with closing expected in December. The announcement is an agreement to combine the businesses, not confirmation that the acquisition has closed.
Reuters reported that the transaction would add about 45,000 barrels of oil equivalent per day to Cenovus’s production and bring thermal oil assets near its existing operations. It would also give Cenovus full ownership of Duvernay Energy.
Cenovus sees long-term production potential at Athabasca’s Leismer and Corner assets. Those projections remain company expectations. The deal follows Cenovus’s purchase of MEG Energy in 2025 and would further expand its presence in Alberta’s oilsands.
