What will surmont do now...uselss managers cant leverage cenovus to do things right.
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I blame the management it's such a boys club. This goes back years even back to Burlington but has gotten worse since COP. There is more management than staff. No managers or leads ever got laid off they just moved them around and changed titles. Hopefully this time they clean house.
I'm curious to see what the final COP Canada management structure looks like. Presently we have President, SVP, multiple VP's, Field Manager, Supt., and then the worker bees/ Coordinators/Supervisors. Surely the new model can't sustain (nor will it need) so many layers of management. Should be able to downsize to one floor in a Calgary strip mall.
Surmont is losing a million dollars per day right now...don't be surprised if this is a one-two punch for COP to leave Canada entirely. Be sure to thank those that put Notley and Trudeau in power. And to think this used to be a very lucrative place to do business.
@-ziz: Agree entirely. Too many managers, too little focus, too many studies, decisions by committee.
And it is presently operated by terrible management
Surmont is a money losing asset that needs a significant jump in oil or a major step change in break-even to be a viable option for capital expenditure. It is a slow decline, long life field which is good for cash gen, but capital intensive and schedule inflexible, much different from other COP assets. It'll be interesting to see if there is a significant haircut in G&A, especially since TOTAL doesn't want to put money into this play for the foreseeable future. Good luck to all the good folks in the trenches.