Mergers and Acquisitions:

• E&P: Strathcona Resources (TSX:SCR) announced an unsolicited takeover offer of $5.9B for MEG Energy (TSX:MEG). A Strathcona-MEG combination would create the fifth largest oil producer and fourth largest SAGD producer in Canada. MEG is currently evaluating the offer.

• E&P: Strathcona Resources announced the sale of substantially all its Montney assets in three separate transactions: 

  • $1.65B all-cash sale of its Kakwa asset to ARC Resources (TSX:ARX) with production of 40,000 boe per day (50% crude oil and liquids, 50% natural gas)., including 11,000 bpd of condensate.

  • $850MM sale of its Grande Prairie assets, expected in Q3 2025.

  • Sale of its Groundbirch asset to Tourmaline Oil (TSX:TOU) for $291.5MM in common shares of Tourmaline.

• E&P: Whitecap Resources (TSX:WCP) entered into two agreements to dispose select non-strategic assets for $270MM. The assets include 8,000 boe/d of medium oil production in southwest Saskatchewan and an 8.333 per cent working interest in a natural gas facility in the Kaybob region.

• The Stonlasec8 Indigenous Alliance Limited Partnership, a group of 36 First Nations in B.C., announced the acquisition of a 12.5 per cent equity stake in Enbridge’s (TSX:ENB) Westcoast natural gas pipeline system for $715MM. The pipeline extends from Fort Nelson and Gordondale south to the Canada-U.S. border.

Financing:

• SECURE Waste Infrastructure (TSX:SES) entered into an amended and extended credit agreement to increase its senior secured revolving facility from $800MM to $900MM. The maturity of the facility has been extended to May 31, 2028. The facility is provided by a syndicate of eight financial institutions.

Other:

• Keyera (TSX:KEY) sanctioned the 47,000 bpd KFS Frac III project to expand its core fractionation hub in Fort Saskatchewan. The project is expected to cost $500MM and is expected to enter service in mid-2028.

• The Alberta government announced an indefinite freeze on its industrial carbon price at $95 per tonne of emissions effective immediately, citing the need to keep industry competitive and defend jobs. The industrial carbon price was previously set to rise to $110 per tonne in 2026 before hitting $170 per tonne by 2030.

• The Saskatchewan government launched the Low Productivity and Reactivation Oil Well Program (LPRP) to further promote investment in eligible low-producing or inactive wells through a new royalty structure. The program is intended to increase the province’s oil production and to reduce inactive asset retirement obligations.