MEG Energy transaction recognized as M&A Deal of the Year at the Canadian Law Awards. Team. Published May 6, 2026 The MEG Energy transaction involving Strathcona Resources' hostile takeover bid and Cenovus Energy's acquisition of MEG Energy was named M&A Deal of the Year at the Canadian Law Awards. BD&P served as lead counsel to MEG Energy Corp. on this landmark, highly contested matter. BD&P advised MEG on its response to Strathcona Resources Ltd.'s unsolicited bid and on the successful completion of MEG's acquisition by Cenovus Energy Inc. The transaction was recognized for its complexity and strategic significance, including the successful resolution of the bid process and the delivery of enhanced value to MEG shareholders. BD&P was also named Regional Law Firm of the Year - Western Canada, underscoring the firm's leadership in high-stakes energy and M&A matters. The Deal. BD&P acted as legal advisor to MEG Energy Corp in connection with its response to Strathcona Resources' $7.2 billion unsolicited bid and the $8.6 billion cash and share acquisition of MEG by Cenovus Energy Inc., a landmark transaction that brought together two major Canadian producers and marked a significant shift in Canada's upstream energy landscape. * The hostile bid by Strathcona was initially valued at $6.0 billion and later increased to $7.2 billion * The Cenovus transaction was revised multiple times, ultimately reaching a value of $8.6 billion * The competing transactions played out over six months and involved daily coordination among boards, special committees, management, legal teams, and multiple financial, communications, and proxy advisors Why this Deal stood out. The MEG transaction required legal strategy under constant pressure in a highly public and contested environment. Key challenges included: * Navigating a hostile takeover alongside a parallel negotiated transaction * Implementing rarely used and novel legal techniques, including a standstill waiver, demand to vote rights under the ABCA, and a related asset transaction to secure shareholder support * Responding to securities regulator inquiries and defending claims challenging transaction fairness * Securing shareholder approval despite institutional opposition, share turnover after the record date, and a competing bidder's toehold position * Coordinating court, regulatory, disclosure, and proxy strategies in real time The transaction spanned Canada and the United States and required integrated advice across virtually every major legal discipline, including M&A, securities, litigation, regulatory, tax, oil and gas, banking, project finance, employment, IP, and privacy. BD&P Deal team. The transaction was executed by a large, integrated BD&P team, drawing on deep expertise across M&A, securities, litigation, regulatory, and energy. Lead partner * Grant Zawalsky Other team members * Alicia Quesnel * Bronwyn Inkster * Richard Steele * Kelsey Clark * Hema Ahuja * Andrew Sunter * Paul Chiswell * Heather DiGregorio * Katherine Pybus * Prateek Gupta * Katy Josephs * Karen McPeak * Tyler Engelking * Tristan Bray * Kassandra Kennedy At the centre of Canadian energy M&A. This recognition reflects more than a single transaction. It speaks to BD&P's role at the centre of Canada's energy M&A market, advising boards and management teams on the deals reshaping the sector. With the MEG Energy transaction named M&A Deal of the Year and BD&P named Regional Law Firm of the Year - Western Canada, these honours highlight BD&P's depth across disciplines and its ability to deliver coordinated, practical advice on complex, consequential transactions. Burnet, Duckworth & Palmer LLP is grateful to its clients for trusting Burnet, Duckworth & Palmer LLP with their most complex and important matters, and for the opportunity to do the work that led to this recognition. Read the Canadian Law Awards rankings here.

Suncor plans 100,000 bpd production growth as Trans Mountain hits full capacity and LNG Canada awards Phase 2 engineering contract. Canada's oil sands industry is experiencing its most favorable market conditions in a decade, with the Trans Mountain Expansion (TMX) pipeline running at full capacity, Suncor Energy unveiling an ambitious three-year growth plan targeting 100,000 additional barrels per day, and LNG Canada advancing a major expansion of its Coastal GasLink supply pipeline. The convergence of surging Asian demand, elevated oil prices, and growing export infrastructure is reshaping Alberta's energy outlook for 2026 and beyond. Suncor's three-year growth plan: 100,000 bpd and $38 WTI break-even. At its Investor Day on March 31, 2026, Suncor Energy CEO Rich Kruger unveiled a "Three-Year Improvement Plan" for 2026 to 2028. The plan targets adding 100,000 barrels per day of upstream production while cutting corporate break-even costs by $5 per barrel, reducing the WTI break-even to an industry-leading $38 per barrel. Growth will be driven by Fort Hills mining operations, Firebag in-situ expansion at the company's Athabasca oil sands complex, and the West White Rose offshore project offshore Newfoundland. With WTI currently trading above $111 per barrel and Western Canadian Select (WCS) at approximately $82 USD per barrel, roughly $12 below WTI, Suncor's $38 WTI break-even implies operating margins of more than $70 per barrel at current prices. The company's USD-denominated revenues convert at a significant premium in Canadian dollars, with every $1 increase in WTI representing roughly $1.35 to $1.40 CAD of additional revenue per barrel before royalties and operating costs. Trans Mountain running at full capacity on Asian demand surge. The Trans Mountain Expansion pipeline, running at 890,000 barrels per day of total system capacity, has seen a historic surge in demand from Asian buyers seeking to replace Middle Eastern crude grades disrupted by the Strait of Hormuz conflict. Trans Mountain Corporation's CEO confirmed in late March that the pipeline is expected to run at or near full capacity through April and into May 2026. For April, Trans Mountain has reported 0% apportionment, meaning all nominated shipper volumes have been accepted, an indicator that available capacity is fully absorbed. The company has launched an Open Season from April 7 to June 2, 2026, offering firm service contracts to shippers. Trans Mountain expects 80 to 90% of its capacity to be contracted under long-term agreements as a result of the Open Season, providing a stable revenue base for the Crown corporation. For Alberta producers including Suncor, Canadian Natural Resources (CNRL), and Cenovus Energy, full Trans Mountain utilization has narrowed the WCS discount to WTI, with the WCS differential tracking around $12 per barrel below WTI in recent weeks, compared to discounts that have historically exceeded $30 per barrel during periods of pipeline constraints. At WCS of $82 USD, Canadian producers are generating approximately $115 to $117 CAD per barrel at current exchange rates. CNRL at record output, Cenovus integrating MEG Energy. Canadian Natural Resources (CNRL) is on track for record production of 1.6 million barrels of oil equivalent per day across 2026, following the completion of its acquisition of Shell's stake in the Albian oil sands mines, giving CNRL 100% ownership of the 315,000 b/d operation. CNRL has raised its dividend for the 26th consecutive year. The company's corporate break-even, including dividend payments, sits just above $40 per barrel WTI equivalent. Cenovus Energy is guiding oil sands operating costs of approximately $9 per barrel in 2026, among the lowest in the industry, while integrating the thermal oil sands assets of MEG Energy following a strategic acquisition completed earlier this year. Competition for oilfield services labor in the Fort McMurray region is intensifying as production ramps up across multiple operators simultaneously. Canada's four largest oil sands producers, including Suncor, CNRL, Cenovus, and Imperial Oil, are collectively targeting approximately 3.9 million barrels per day in 2026, with 75% of volumes sourced from Alberta's oil sands. LNG Canada awards Coastal GasLink Phase 2 engineering contract. LNG Canada, the Shell-led LNG export project at Kitimat, British Columbia, has awarded a front-end engineering and design (FEED) contract to Técnicas Reunidas for a potential Phase 2 expansion of the Coastal GasLink pipeline. The proposed Phase 2 would increase pipeline capacity from 2.1 billion cubic feet per day to up to 5 billion cubic feet per day, adding five new compressor stations along the route from northeastern British Columbia to the Kitimat terminal. A final investment decision on whether to proceed with doubling LNG export capacity at Kitimat is expected by the end of 2026. LNG Canada's Phase 1 exports, which began in 2025, have found strong demand in Asian markets, and the Hormuz disruption has reinforced the strategic value of Pacific-facing Canadian LNG supply for energy-importing nations in Japan, South Korea, and Southeast Asia. Sources: MarketMinute, Bloomberg, PGJ Online. Published by Oil Authority Submit a correction. Spotted a factual error? Free account required to submit a correction.

Cenovus Energy announced a definitive agreement to acquire MEG Energy for C$27.25 per share, totaling C$7.9 billion. The deal includes 75% cash and 25% Cenovus shares, with options for MEG shareholders to choose cash or shares, subject to pro-ration. The transaction, approved by both companies' boards, is expected to close in Q4 2025, pending regulatory and shareholder approvals. The deal is not subject to financing contingencies.