# Cenovus Acquires Athabasca Oil for $5.7 Billion

> Cenovus Energy agrees to buy Athabasca Oil for $5.7 billion in cash and stock.
- Title: Cenovus Acquires Athabasca Oil for $5.7 Billion | Shortify
- Summary: Cenovus Energy agrees to buy Athabasca Oil for $5.7 billion in cash and stock. Cenovus Energy Inc. will acquire Athabasca Oil Corporation for $5.7 billion…
- Keywords: cenovus, athabasca oil corporation, oil sands, acquisition, cash and stock transaction, implied enterprise value, oil equivalent per day, sagd operating expertise, corporate synergies, duvernay platform, money, business
- Source: Financialpost — https://financialpost.com/globe-newswire/cenovus-announces-agreement-to-acquire-athabasca-oil-corporation
- Read time: 1 min
- Topics: cenovus, athabasca oil corporation, oil sands, acquisition, cash and stock transaction, implied enterprise value, oil equivalent per day, sagd operating expertise, corporate synergies, duvernay platform, money, business
## Acquisition Announcement
Cenovus Energy Inc. announced a definitive arrangement agreement to acquire Athabasca Oil Corporation in a cash and stock transaction with an implied enterprise value of $5.7 billion.
## Strategic Fit
The acquisition adds approximately 45 thousand barrels of oil equivalent per day to Cenovus’s oil sands operations, expanding its position in a core resource fairway.
## Resource Quality
Athabasca’s assets include over 75 years of proved plus probable reserves life, providing significant growth potential and a pathway to accelerate thermal production to 115 thousand barrels per day by 2032.
## SAGD Expertise
Cenovus’s proven SAGD operating model is expected to enhance reservoir performance, reduce steam-to-oil ratios, and accelerate resource recovery for Athabasca’s assets.
## Synergies
Cenovus expects to realize approximately $85 million per year of corporate and commercial synergies, with the majority captured in the first full year following closing of the transaction.
## Duvernay Platform
The deal consolidates ownership of Duvernay Energy Corporation, a high-quality oil-weighted position in the Kaybob Duvernay, with the option to accelerate development and grow production to a sustainable 20 MBOE/d.
## CEO Statement
Jon McKenzie, Cenovus President & Chief Executive Officer, stated the transaction strengthens Cenovus’s position in one of the world’s premier oil-producing regions and is a natural extension of its oil sands strategy.
## Key takeaway

Cenovus Energy Inc. will acquire Athabasca Oil Corporation for $5.7 billion, adding 45 thousand barrels of oil equivalent per day to its oil sands operations.