PR Newswire·Oct 26, 2026, 6:45 AM ET

Ovintiv Announces Agreement to Acquire Montney Oil Producer, Logan Energy Corp.

OVV

Ovintiv Inc. agreed to acquire Logan Energy Corp. for C$1.40 per share in cash, totaling approximately $890 million (C$1.26 billion) including assumed net debt.
The transaction is expected to close early in the first quarter of 2027, subject to regulatory, court, & shareholder approvals.
Acquisition will add approximately 266,000 net acres & approximately 20,000 barrels of oil equivalent per day in the Montney oil window.
Total net 10,000-foot equivalent oil well locations will increase by approximately 420, including 220 premium return locations at an average cost of $1.5 million each.
Ovintiv's core Montney land position is expected to increase to approximately 720,000 net acres, including 60,000 acres with Duvernay shale exposure.
The deal includes ownership of two new oil batteries in Simonette & interests in two natural gas processing facilities to enhance margins.
Transaction is expected to be immediately accretive, with Non-GAAP Cash Flow per Share accretion of approximately 5% in 2027.
Annual cost synergies are projected to total approximately $60 million, driven by capital, production, & overhead savings.
Funding will come from a combination of cash on hand, credit facility borrowings, & the commercial paper program.
Ovintiv maintains its shareholder returns target of at least 60% of 2026 Non-GAAP Free Cash Flow & expects net debt to remain below $4 billion post-closing.
Shares of Logan Oil Corp. will be spun out to Logan shareholders, containing assets outside the Montney & Duvernay fairways.