October 13, 2026

Canadian Energy Services Weekly Update

Mergers & Acquisitions

Utilities

Emera Inc. (TSX:EMA) announced the $14.3B all-stock acquisition of Canadian Utilities Ltd. (TSX:CU), creating a top 20 North American utility company with a $72B enterprise value. Emera shareholders will own 60% of the combined entity while Canadian Utilities will own 40%. The combined entity announced a $32B 5-year CapEx program targeting a 7-8% annual rate base growth.

Midstream Infrastructure

TC Energy Corp. (TSX:TRP) announced an agreement with FN CGL Pipeline Ltd. Partnership, an indigenous entity representing five First Nations along the Coastal GasLink corridor where the latter will obtain an economic interest in Coastal GasLink.

Fuel Retail

Alimentation Couche-Tard (TSX:ATD) announced the acquisition of dozens of fuel retail sites from Irving Oil in QC and ON. The acquisition also includes 18 cardlock sites.

E&P

Source Rock Royalties Ltd. (TSXV:SRR) acquired a 0.75% non-convertible no deductions gross overriding royalty in ~126,000 acres of working interest and oil sands leases in AB for $4MM. The acquisition increases Source Rock’s total gross royalty acreage by 60%.

E&P

Shell plc announced it will acquire a 30% interest in the Bay du Nord project offshore of Newfoundland and Labrador from Equinor. A final investment decision is targeted for early 2027.

Other

Global Energy Policy

OPEC reduced its global oil demand growth forecast from 1.4MM bpd to 400,000 bpd. OPEC expects the deferred, pent-up demand to materialize in 2027.

Global Energy Policy

The US announced a deal with Russia for Moscow to supply diesel to address high fuel prices. According to Trump, Russia will immediately supply 300,000 tons of diesel, followed by 500,000 tons in November, with more to come after.

Market Data

North American Drilling Rig Activity	For the Week Ending		Change Week-Over-Week	Previous Year	Change Year-Over-Year
	9-Oct-26	2-Oct-26		9-Oct-25
Canada
Active Rig Count	228	229	(0.4%)	199	14.6%
Rig Fleet Size	335	335	-	372	(37)
Utilization Rate	68%	68%	(0.3%)	53%	14.6%
USA
Active Rig Count	603	598	0.8%	549	9.8%

US Crude and Natural Gas	For the Week Ending		Change Week-Over-Week	Previous Year	Change Year-Over-Year
	2-Oct-26	25-Sep-26		2-Oct-25
Crude
Production (kbpd)	13,979	13,955	0.2%	13,505	3.5%
Storage Level (kbbl)	424,134	427,320	(0.7%)	416,546	1.8%
Injection/(Withdrawal) (kbbl)	(3,186)	922	-	-	-
Natural Gas
Storage Level (Bcf)	3,500	3,415	2.5%	3,561	(1.7%)
Injection/(Withdrawal) (Bcf)	85	64	32.8%	53	60.4%

Commodity Prices	Current Week	Previous Week	Change Week-Over-Week	Previous Year	Change Year-Over-Year
	9-Oct-26	2-Oct-26		10-Oct-25
Crude Oil ($US/bbl)
WTI	91.67	91.27	0.4%	58.26	57.3%
Brent	104.54	102.61	1.9%	62.09	68.4%
WCS	79.50	78.76	0.9%	46.13	72.3%
Discount to WTI ($)	12.17	12.51	(2.7%)	12.13	0.3%
Discount to WTI (%)	13.3%	13.7%	(0.4%)	20.8%	(7.5%)
Natural Gas
Nymex ($US/MMBtu)	3.20	3.01	6.3%	3.13	2.2%
Aeco ($C/MMBtu)	1.35	1.38	(2.2%)	1.77	(23.7%)