Cenovus Q3 earnings drop despite oilsands production gains

Calgaryherald.com reports that pipeline outages in the United States cost Cenovus Energy (TSX:CVE) about $50 million in lower cash flow.

The market news is quoted as saying:

Cenovus boss Brian Ferguson said the ruptures on the Enbridge Inc. Lakehead system in July and August resulted in wider spreads between light and heavy oil prices that harmed the company’s bottom line. In addition, reduced capacity on rival TransCanada Corp.’s Keystone pipeline posed challenges for Cenovus’ growing oilsands production from Christina Lake and Foster Creek, which jumped 25 per cent from last year, the company said in releasing weaker third quarter results. A barrel that would normally take 60 days to travel from Alberta to the U.S. Midwest took about four months, he added.

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