Husky Energy plans for higher 2018 capital budget compared with this year

CALGARY — Husky Energy Inc. (TSX:HSE) is planning to increase its capital spending in 2018 to between $2.9 billion and $3.1 billion.

That includes up to $1.1 billion on growth projects and up to $2 billion on sustaining and corporate spending.

The 2018 capital budget is below the annual average of $3.3 billion a year anticipated in the company’s five-year plan, but above its 2017 spending, estimated at about $2.2 billion to $2.3 billion.

Among other things, spending on Husky’s thermal bitumen operations in Western Canada will rise to between $895 million and $930 million from between $560 million and $590 million.

Husky’s spending on its Atlantic light crude operations will rise to between $750 million and $775 million, from $475 million to $500 million, and Canadian natural gas capital spending will rise $25 million to between $215 million and $225 million.

The Calgary-based integrated oil and gas company says new project funding is contingent on meeting a forecast minimum 10 per cent rate of return with a benchmark price of West Texas Intermediate crude at US$45 per barrel.

Next year’s annual production is estimated to average the equivalent of 320,000 to 335,000 barrels of oil per day — about the same as this year.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Alberta Premier Jason Kenney updates media on measures taken to help with COVID-19, in Edmonton on Friday, March 20, 2020. Alberta is set to join three other provinces in exploring the feasibility of small modular reactors as a clean energy option. THE CANADIAN PRESS/Jason Franson
Four provinces to sign memorandum of understanding to explore small nuclear reactors

Alberta, Ontario, Saskatchewan and New Brunswick sign memorandum of understanding

FILE - In this Nov. 17, 2016, file photo, Chris Kempczinski, then-incoming president of McDonald’s USA, speaks during a presentation at a McDonald’s restaurant in New York’s Tribeca neighborhood. On Wednesday, April 14, 2021, McDonald’s said the company will mandate worker training to combat harassment, discrimination and violence in its restaurants worldwide starting in 2022. (AP Photo/Richard Drew, File)
McDonald’s to mandate anti-harassment training worldwide

New standards starting in January 2022

Alberta Premier Jason Kenney updates media on measures taken to help with COVID-19, in Edmonton on Friday, March 20, 2020. Alberta is set to join three other provinces in exploring the feasibility of small modular reactors as a clean energy option. THE CANADIAN PRESS/Jason Franson
Four provinces to sign memorandum of understanding to explore small nuclear reactors

Alberta government said in August that it would enter into the agreement to help diversify its energy sector

File photo
City of Wetaskiwin awarded $5.1 million grant for additional RCMP officers

10 Additional RCMP officers to serve the City of Wetaskiwin as a result of the grant.

In this Nov. 12, 1995, file photo, Buffalo Bills head coach Marv Levy looks on during the second quarter of the Bills game against the Atlanta Falcons at Rich Stadium in Orchard Park, N.Y. THE CANADIAN PRESS/AP/Bill Sikes, File
Former Alouettes head coach Marv Levy tops 2021 Canadian Football Hall of Fame class

The ‘21 class will boost the Hall of Fame’s membership to 316

Dr. Robert Strang, chief medical officer of health, provides an update on health system preparations in Nova Scotia for the coronavirus that causes COVID-19, in Halifax on Friday, March 6, 2020. Strang says plans are in place to stage the women’s world hockey championship in the province next month with limited spectators.THE CANADIAN PRESS/Andrew Vaughan
Nova Scotia plans to allow limited crowds at women’s world hockey championship

All 10 teams in Halifax and Truro must participate in a 14-day quarantine

”Kim’s Convenience” cast member Andrew Phung poses in this undated handout photo. “Kim’s Convenience” has just ended but Andrew Phung is already “knee-deep in ideas and stories” for his next project, “Run the Burbs.” The Calgary-raised actor, who played comical car-rental employee Kimchee on “Kim’s,” co-created the upcoming comedy series and will star in it as a stay-at-home dad with an entrepreneur wife and two kids. THE CANADIAN PRESS/HO - CBC
‘Kim’s Convenience’ actor Andrew Phung on crafting his own series, ‘Run the Burbs’

‘Run the Burbs’ production could start in the summer or fall

Canisia Lubrin poses in this undated handout photo. Rising literary talent Canisia Lubrin is among the Canadian finalists for the $65,000 Griffin Poetry Prize. The Griffin Trust announced the three homegrown wordsmiths and four international poets on this year’s short list on Wednesday. Lubrin, who recently received the US$165,000 Windham-Campbell Prize, is nominated for “The Dyzgraphxst” (pronounced diss-graff-ist), published by McClelland and Stewart. THE CANADIAN PRESS/HO - Anna Keenan
Rising writer Canisia Lubrin among Canadian finalists for $65K Griffin Poetry Prize

Griffin will award two winners, one international and one Canadian

A prairie fire in the Burnt Lake district. (Photo by Bert Fors via Red Deer Archives)
Michael Dawe: Fires of spring 1931 in central Alberta

Central Alberta has just come through a relatively warm and dry winter… Continue reading

Gwynne Dyer
Opinion: Boris Johnson is to blame for what’s happening in Ireland

Twenty-three years of peace in Northern Ireland, after a sectarian war that… Continue reading

Most Read