| Canadian Natural's President, Scott Stauth, commented on the Company's third-quarter results, "Our unique and diverse asset base provides us with a competitive advantage, as we can allocate capital to the highest return projects without being reliant on any one commodity. Our consistent and top-tier results are driven by safe and reliable operations. Our commitment to continuous improvement is supported by a strong team culture in all areas of our company that focuses on improving our costs, driving execution of growth opportunities and increasing value to shareholders. |
| We achieved a strong average production of approximately 1,363,000 BOE/d in Q3/24, consisting of 1,022,000 bbl/d of liquids and over 2.0 Bcf/d of natural gas. Our world-class Oil Sand Mining and Upgrading assets delivered Q3/24 production of approximately 498,000 bbl/d of life-no decline Synthetic Crude Oil (”SCO”), including record monthly production of approximately 529,000 bbl/d of SCO in August 2024. These assets continue to drive strong operational performance and high utilization rates resulting in top-tier quarterly operating costs of $20.67/bbl (US$15.16/bbl) driving significant free cash flow in Q3/24. |
| After quarter end and subject to regulatory approvals, we announced that we have agreed to acquire Chevron Canada Limited's ("Chevron") 20% interest in the Athabasca Oil Sands Project (“AOSP”), which includes the Muskeg River and Jackpine mines, the Scotford Upgrader and the Quest Carbon Capture and Storage facility. This acquisition will bring Canadian Natural’s total working interest in AOSP to 90% and add approximately 62,500 bbl/d of SCO production, contributing to Canadian Natural’s significant sustainable free cash flow generation. The Company also announced that we have agreed to acquire Chevron’s 70% operated working interest of light crude oil and liquids-rich assets in the Duvernay play in Alberta. Production from these assets is targeted to average approximately 60,000 BOE/d in 2025, consisting of 179 MMcf/d of natural gas and 30,000 bbl/d of liquids. These Duvernay assets provide the opportunity for robust growth while contributing meaningful free cash flow. Both of these assets are a great fit for Canadian Natural and when combined with our strong operating culture will drive significant value for shareholders." |
| Canadian Natural's Chief Financial Officer, Mark Stainthorpe, added "In Q3/24, we delivered strong financial results, including adjusted net earnings of approximately $2.1 billion and adjusted funds flow of $3.9 billion, which drove significant returns to shareholders totalling $1.9 billion in the quarter. Year-to-date, up to and including October 30, 2024, we have distributed significant value to shareholders, totalling approximately $6.7 billion, inclusive of our sustainable and growing dividend and share repurchases. |
| Given our strong financial position and significant and sustainable free cash flow generation, as previously announced, the Board of Directors has agreed to increase the quarterly dividend by 7% to $0.5625 per share payable at the next regular quarterly dividend payment in January 2025. This will mark 2025 as the 25th consecutive year of dividend increases by Canadian Natural, with a compound annual growth rate (“CAGR”) of 21% over that time. |
| This increase in the quarterly dividend demonstrates the confidence that the Board of Directors has in the Company’s world-class assets and its ability to generate significant and sustainable free cash flow. Our asset base is underpinned by top tier, long life low decline assets, a strong balance sheet and safe, effective and efficient operations all of which combine to provide us with unique competitive advantages in terms of capital efficiency, flexibility and sustainability, driving strong returns on capital." |
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