$10-billion per year spent by top 5 Canadian oil producers – just to keep things going
FirstEnergy Capital released this week, which summarizes spending guidance. The majority of the production base from these companies is derived from long term projects (i.e. oilsands, offshore fields, EOR projects, etc.).
They write that,
Generally speaking, this sustaining capital guidance is not ‘full cycle’ guidance, but instead reflects sustaining capital requirements in the near and/or medium term for items such as stay-flat capital for producing oilsands projects, field and facilities maintenance for non-oilsands production and midstream/downstream assets, and in some but not all cases ‘stay flat’ capital for non-oilsands production.
The figures also don’t include estimated costs to replace resources developed to keep production flat or longer-term costs to build new oilsands projects to replace production from existing oilsands projects once those resources run out.
Per year forecasts;
- Suncor – $2.7 billion
- Imperial Oil – $1.2 billion
- Husky – $2.5 billion
- Cenovus – $1.0 billion
- Canadian Natural – $2.6 billion