MEG Energy

MEG Energy was founded in 1999 as McCaffrey Energy Group Inc by CEO and President Bill McCaffrey, Director and Corporate Secretary David Wizinsky and former Director Steve Turner.

It went public with an IPO of $660 million in August 2010. At the time it was considered a $9.7 billion equity cap company. The Christina Lake project first received approval from the government in 2008, it was one of six oil megaprojects in Canada that year.

On April 14, 2005, CNOOC Ltd, China's third-largest oil and natural gas company, acquired a 16.69% stake in MEG for CA$150 million (13.6 million common shares). In October 2018, the firm even received a hostile takeover bid from Husky Energy.

In 2022, a year after expanding its facility, it formed the Pathways Alliance along with several other companies. On May 1, 2024, Derek Evans stepped down from his role as CEO and Darlene Gates was appointed as President & Chief Executive Officer.

In August 2025, MEG agreed to be acquired by Cenovus Energy for CA$7.9 billion in a cash-and-stock deal, two months after rejecting a hostile acquisition offer from rival Strathcona Resources for $6bn. On November 13, Cenovus announced that it had completed the purchase of MEG Energy.

Production

In 2012 bitumen production averaged 28,773 bpd, +2,168 bpd versus the previous year. By the second quarter of 2013 average production had reached 32,144 bpd, +1,715 bdp. Also up is the realized oil price per barrel: $53.98 vs $45.59.

According to the company's 2024 Business Update presentation, as of September 30, 2024, MEG's Christina Lake operations produced 102,600 bpd.

Initial production process

Initially two horizontally parallel wells are created. Oil is directed to the lowest well after injecting steam into the one above it in order to heat the area so that the liquid in the area flows downwards (allows for the separation of oil from sand). The steam used comes from MEG's cogeneration plants.