| Embattled Canadian Energy Patch Reverses Losses by Cutting Debt | |
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Cenovus Energy Inc. and Encana Corp. were among the top five gainers last week in a global index of more than 700 U.S. dollar investment-grade securities compiled by Bloomberg. Cenovus’s $350 million global bonds due September 2043 gained 2.9 percent since June 26, outperforming the debt of peers from Brazil to the U.S. Encana bonds were among just five in the index that returned more than 2 percent in the past week, offsetting their 3.6 percent decline in the second quarter. Canadian energy producers have been issuing stock and selling properties to help fund drilling and pay down debt to cope with a 46 percent plunge in crude prices in the past year. “If you don’t keep your production volumes up, that main generating asset that’s supporting the debt could decline and that actually increases your level of debt,” said Sam La Bell, an analyst at Veritas Investment Research in Toronto. “They want to keep the volumes intact and not run up any more debt.” More from Bloomberg.com: Varoufakis Quits as Greece Enters New Showdown With Europe Cenovus added about C$3 billion ($2.4 billion) of cash to its books selling assets to Ontario Teachers’ Pension Plan last week, a move that will help reduce 2016 net debt to C$640 million from C$3.9 billion, according to Kyle Preston, an analyst at National Bank Financial in Calgary. |
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Encana Corporation
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EXPLORATION STAGE |
CODE : ECA.TO |
ISIN : CA2925051047 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Encana is a oil and natural gas producing company based in Canada. Encana holds various exploration projects in Canada. Its main exploration property is BUFFALO HILLS in Canada. Encana is listed in Canada and in Germany. Its market capitalisation is CA$ 4.8 billions as of today (US$ 3.7 billions, € 3.3 billions). Its stock quote reached its highest recent level on November 23, 2018 at CA$ 9.99, and its lowest recent point on January 24, 2020 at CA$ 4.96. Encana has 973 120 000 shares outstanding. |