Calgary, Alberta–(Newsfile Corp. – November 5, 2026) – Canadian Natural’s (TSX: CNQ) (NYSE: CNQ) President, Scott Stauth, commented on the Company’s third quarter results, “The strength of our well-balanced and diverse portfolio, combined with our continued focus on safe, effective and efficient operations, delivered another strong quarter. In Q3/26, we achieved production of approximately 1,217,000 bbl/d of liquids and 2.6 Bcf/d of natural gas, totaling approximately 1,652,000 BOE/d, inclusive of a planned turnaround at Horizon, reflecting the quality of our long life low decline asset base and disciplined operating culture.
Our thermal in situ operations achieved record quarterly production of approximately 300,000 bbl/d, an increase of 25,000 bbl/d from Q3/25 levels, driven by continued strong performance from new pads in Pike and Primrose. In our North American Conventional E&P assets, excluding thermal in situ operations, we also achieved record quarterly liquids production of approximately 358,000 bbl/d, an increase of 49,000 bbl/d from Q3/25 levels driven by accretive acquisitions and strong well performance.
At Horizon, subsequent to quarter end, the team safely and successfully completed the planned turnaround in 28 days, seven days earlier than budgeted, through strong execution, adding significant high value, high margin Synthetic Crude Oil (“SCO”) production in Q4/26. Following the turnaround, Oil Sands Mining and Upgrading production has been strong, with current rates averaging approximately 640,000 bbl/d. At Horizon, we continue to build on the success of the 2024 reliability enhancement project that enabled us to move major turnarounds to once every two years from annually, and, combined with verified analysis of key parameters from the 2026 turnaround, we are now targeting to extend turnaround intervals at Horizon to once every three years, further increasing reliability and utilization. As a result, Horizon’s three year average production capacity increases by an additional 5,000 bbl/d of high margin SCO, bringing total Oil Sands Mining and Upgrading production capacity up to approximately 597,000 bbl/d.
We are pleased to see the federal government designating the proposed West Coast oil pipeline, now known as Pacific Link, as a project of national interest. In addition, the federal government announced the Productivity Mega Deduction (“PMD”), which is expected to enhance competitiveness and investment in Canada. These measures, combined with the trilateral Memorandum of Understanding (“MOU”) between the Oil Sands Alliance, the Government of Alberta and the Federal government, will support future economic growth, add additional egress opportunities, provide a clear pathway to reduce Greenhouse Gas (“GHG”) emissions and enhance Canada’s competitiveness for investment on a global scale. The next important step in this process is finalizing definitive agreements of the MOU, which will provide clarity on assessing our potential growth projects. If industry and governments are able to successfully complete and finalize the definitive agreements of the MOU, the result will be greater investments in the Canadian economy by the oil and gas industry, creating more jobs for Canadians and greater taxes and royalties for governments.”
Canadian Natural’s Chief Financial Officer, Victor Darel, added, “We achieved our net debt target of $13 billion in Q3/26, resulting in the Company now targeting to allocate 100% of free cash flow to shareholder returns through share repurchases. To further enhance visibility on share repurchases, effective immediately, the pace of monthly share repurchases is targeted at $800 million per month in both November 2026 and December 2026. As we move into 2027, shareholder returns are expected to remain strong as we now target to allocate 100% of free cash flow to share repurchases, subject to market conditions.
In the first nine months of 2026, we have returned a total of approximately $10.6 billion to shareholders, including $6.8 billion directly through dividends and share buybacks and $3.8 billion indirectly through reductions in net debt.
We delivered strong financial results during the quarter, generating adjusted funds flow of approximately $5.5 billion or $2.68 per share and adjusted net earnings of $3.4 billion or $1.67 per share, including the impact of a planned turnaround at Horizon and lower commodity prices relative to the second quarter, highlighting the quality of our assets and the effectiveness of our operational and capital allocation strategies. Additionally, sulphur pricing continued to strengthen, which contributed pre-tax net revenue of approximately $0.5 billion in Q3/26 and $0.9 billion year to date.”
THIRD QUARTER HIGHLIGHTS
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Generated quarterly net earnings of approximately $3.0 billion and quarterly adjusted net earnings from operations of $3.4 billion.
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Generated quarterly adjusted funds flow of approximately $5.5 billion.
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Captured strong SCO pricing that averaged a US$6.65/bbl premium to WTI in the quarter as a result of strong diesel pricing.
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Strong sulphur pricing and sulphur production contributed pre-tax net revenue of approximately $0.5 billion(1) in Q3/26 and $0.9 billion through the first nine months of 2026.
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The Company achieved its $13 billion net debt target in Q3/26, with 100% of free cash flow now targeted for allocation to share repurchases.
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Returns to shareholders were significant, totaling approximately $5.3 billion in Q3/26.
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Direct returns to shareholders totaled approximately $2.9 billion in Q3/26, comprised of $1.3 billion in dividends and $1.6 billion in share repurchases.
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Indirect returns to shareholders, through net debt reductions, totaled approximately $2.4 billion in Q3/26, with net debt decreasing to $12.1 billion as of September 30, 2026, below our $13 billion net debt target.
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Total quarterly production was approximately 1,652,000 BOE/d, an increase of 31,000 BOE/d or 2% from Q3/25 levels.
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Strong quarterly liquids production was approximately 1,217,000 bbl/d, an increase of 42,000 bbl/d or 4% from Q3/25 levels, inclusive of the planned turnaround at Horizon in Q3/26, which reduced volumes by approximately 75,000 bbl/d for the quarter.
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Record quarterly thermal in situ production of approximately 300,000 bbl/d, an increase of 25,000 bbl/d or 9% from Q3/25 levels.
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The two new Steam Assisted Gravity Drainage (“SAGD”) pads at Pike 1 continue to exceed expectations, currently producing approximately 46,500 bbl/d at a Steam to Oil Ratio (“SOR”) of 1.7x.
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Record North American Conventional E&P quarterly liquids production of approximately 358,000 bbl/d, an increase of 49,000 bbl/d or 16% from Q3/25 levels.
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Subsequent to quarter end, on October 6, 2026, the team safely and successfully completed the planned turnaround at Horizon in 28 days, seven days earlier than budgeted. This early completion of the turnaround will result in approximately 23,000 bbl/d of additional high margin SCO production in Q4/26 than originally budgeted. Oil Sands Mining and Upgrading production has been strong, with current rates averaging approximately 640,000 bbl/d.
SHAREHOLDER RETURNS
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On November 4, 2026, the Board of Directors approved a quarterly cash dividend of $0.625 per common share, payable on January 5, 2027 to shareholders of record at the close of business on December 15, 2026.
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This represents an annualized dividend of $2.50 per common share. Our dividend has grown for 26 consecutive years, demonstrating the confidence that the B
Source: finance.yahoo.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.
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