Cenovus Energy provides 2025 capital budget and corporate guidance

Cenovus Energy (CVE) announced its 2025 corporate guidance, which includes capital investment of $4.6B-$5.0B, delivering upstream production of 805K-845K BOE/d, an increase of approximately 4% vs. 2024, and downstream crude unit utilization of 90%-95%. Capital investment in 2025 will include about $3.2B of sustaining capital, with an additional $1.4B-$1.8B directed towards advancing the company’s upstream growth projects. Cenovus’s capital plan will support continued returns to shareholders of 100% of excess free funds flow over time while maintaining net debt near $4.0B. Expects total downstream crude throughput of 650K-685K bbls/d, up approximately 4%1 vs. 2024, representing crude unit utilization of 90%-95%. Sees oil sands non-fuel operating expenses per barrel of $8.50-$9.50, held flat compared with 2024. G&A costs are expected to remain flat relative to 2024, and expenses related to IT systems upgrades are projected to decrease significantly as the project will be recalibrated through 2025. Sees 2025 oil sands production 615K-635K bbls/d. Production is expected to be lower in Q2, reflecting turnaround and maintenance activity, with production expected to ramp up into 2H25. Plans to invest $2.7B-$2.8B in its oil sands assets, including $600M-$700M of growth capital, and $350M-$400M in its conventional assets. Total conventional production is expected to be 125K-135K BOE/d, with operating costs of $11.00-$12.00/BOE, down approximately 7%4 relative to 2024. Sees total 2025 offshore production 65K-75K BOE/d. Capital spending in the Offshore segment of $0.9B-$1.0B will be primarily directed towards completion of the West White Rose project. First oil from the West White Rose project is expected in 1H26, with peak net production of approximately 45,000 bbls/d anticipated in 2028. Crude throughput is expected to be 650K-685K bbls/d, up 4% relative to 2024 and representing a crude utilization rate of approximately 90% to 95%. Downstream capital investment is projected to be $650M-$750M, a similar level compared to 2024.