M&A:

• The shareholders of STEP Energy Services Ltd. (TSX:STEP) approved a going-private transaction with ARC Financial Corp.  The arrangement is further subject to the approval of the Court of King’s Bench of Alberta, with the transaction anticipated to be closed by Dec. 16, 2025.

Other:

• The Canada Energy Regulator (CER) issued a 40-year licence to Cedar 1 LNG Export Ltd. to export LNG from its proposed floating facility in Kitimat, BC. The licence now requires the approval of the federal government.

• The International Energy Agency (IEA) maintained its global oil demand forecast at an average of 43MM bpd in 2026. However, the IEA forecasts an increase in global oil supply, which will trim the surplus from 4.09MM bpd estimated in November to 3.84MM bpd.

• The Bank of Canada held its key overnight rate steady at 2.25% on Dec. 10, 2025.

• According to Statistics Canada, November inflation was 2.2 per cent, unchanged from October 2025.

2026 E&P CapEx Updates: