Seven Generations plans to cut its 2020 capital investment plan by 18 per cent in response to the ongoing downturn in global energy prices. The company, which has its operations headquarters in Grande Prairie, announced Wednesday that the updated plan would see its investment budget reduced to around $900 million from the previously announced $1.1 billion.
“Today’s reduced capital and production guidance does not reflect additional cost savings and other optimizations that we are actively pursuing,” maintains 7Gen President and CEO Marty Proctor. “The company will demonstrate its resilience and emerge from this downturn stronger and better-positioned than ever before.”
The move comes just a day after energy giant Cenovus cut its capital spending by 32 per cent following the loss of nearly half of its company value during Monday’s oil price free-fall. MEG Energy Corp is cutting its 2020 capital spending plan to $200 million, down from the $250 million announced in November 2019.