WTI and Brent prices exceeded US$100/bbl over the weekend as geopolitical tensions intensified in the Middle East. WCS was last trading above US$78/bbl, with the WTI-WCS discount shrinking from 19% to 14% week over week. With Middle Eastern crude supply halted through the Strait of Hormuz, global markets are turning to Canadian WCS for medium and heavy sour crude, increasing demand for WCS.

Mergers & Acquisitions:

• ACT Energy Technologies Ltd. (TSX:ACX) announced the US$47MM acquisition of the directional drilling services business of Oklahoma based SB Directional Services. The target operates across the Anadarko and Permian basins with a fleet of 130 mud motors and 25 Measurement-while-drilling (MWD) kits. The purchase price consists of US$30MM cash and US$17MM in ACT common shares.

• Mullen Group Ltd. (TSX:MTL) announced the $172MM acquisition of Winnipeg based Gardewine Group Ltd. Partnership, a provider of regional less-than-truckload, truckload and specialized logistics services primarily in MB and ON. The target operates a fleet of 660 trucks and 1,300 trailers, a network of 34 terminals and employs over 1,500 personnel and 140 owner-operators.

• Laval, QC based Englobe Corp. announced the acquisition of Calgary based Applied Aquatic Research Ltd., a specialized environmental consulting firm serving the Western Canadian energy and resources sectors.

• Burnaby based Svante Technologies Inc. announced the acquisition of Calgary based Carbon Alpha Corp. and its subsidiaries, a carbon dioxide removal project developer. The acquisition enhances Svante’s portfolio of engineering solutions for carbon capture and removal across various market segments.

Financing:

• The Alberta government to invest $46MM through the TIER fund to develop innovative technologies to reduce tailings ponds and to clean up water. The funding will be directed towards technologies to remove bitumen and chemicals from mine water, dry and settle tailings faster, and use wetlands to naturally and safely clean water.

Other:

• Canadian Natural Resources Ltd. (TSX:CNQ) deferred the expansion of its $8.25B Jackpine mine north of Fort McMurray. CNRL had originally planned $150MM in early engineering and design work for the expansion, citing the need for further clarity around carbon pricing and methane emission rules due to the lack of certainty in the MOU between the federal and Alberta government.

• Tourmaline Oil Corp. (TSX:TOU) reduced its 2026 forecasted E&P CapEx by $350MM and its non-E&P CapEx budget by $50MM respectively. The reduction includes a $175MM CapEx planned for its PRH complex and $175MM of gas complexes CapEx. Tourmaline cited weaker commodity pricing behind the deferral.

• The Newfoundland and Labrador government signed a landmark agreement with Equinor to advance the Bay du Nord offshore oil development project. The project, located 500 km east of St. John’s, is expected to have full production capacity of 160,000 – 175,000 bpd. The final investment decision for the project is in 2027, with first oil expected in 2031.

• The federal government signed a new Comprehensive Strategic Partnership with Japan to deepen ties across defence, energy and technology. The partnership includes expanding bilateral trade on energy projects including LNG, LPG, carbon capturing & storage, as well as energy transition.

  
  

Financial Results: