v3.26.1
Financial Instruments and Risk Management (Tables)
6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Risk Management Positions

Risk Management Positions as at June 30, 2026

 

 

 

Notional Volumes

 

Term

 

Average Price

 

Fair Value

 

 

 

 

 

 

 

 

 

 

 

Oil and NGL Contracts

 

 

 

 

 

US$/bbl

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Price Contracts

 

 

 

 

 

 

 

 

 

WTI Fixed Price

 

4.0 Mbbls/d

 

2026

 

61.80

 

$

(5

)

 

 

 

 

 

 

 

 

 

 

WTI Three-Way Options

 

 

 

 

 

 

 

 

 

Sold call / bought put / sold put

 

46.0 Mbbls/d

 

2026

 

70.57 / 58.35 / 50.09

 

 

(27

)

Sold call / bought put / sold put

 

12.4 Mbbls/d

 

2027

 

91.00 / 59.47 / 50.00

 

 

(4

)

 

 

 

 

 

 

 

 

 

 

WTI Costless Collars

 

 

 

 

 

 

 

 

 

Sold call / bought put

 

1.0 Mbbls/d

 

2026

 

67.79 / 56.32

 

 

(1

)

 

 

 

 

 

 

 

 

 

 

Basis Contracts (1)

 

 

 

2026

 

 

 

 

5

 

 

 

 

 

 

 

 

 

 

 

Other Financial Positions

 

 

 

 

 

 

 

 

(3

)

Oil and NGLs Fair Value Position

 

 

 

 

 

 

 

 

(35

)

 

 

 

 

 

 

 

 

 

 

Natural Gas Contracts

 

 

 

 

 

US$/Mcf

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Price Contracts

 

 

 

 

 

 

 

 

 

NYMEX Fixed Price

 

20 MMcf/d

 

2026

 

4.07

 

 

2

 

Waha Fixed Price

 

50 MMcf/d

 

2026

 

1.26

 

 

-

 

AECO Fixed Price

 

135 MMcf/d

 

2026

 

2.28

 

 

23

 

AECO Fixed Price

 

161 MMcf/d

 

2027

 

1.85

 

 

12

 

AECO Fixed Price

 

210 MMcf/d

 

2028

 

1.99

 

 

8

 

 

 

 

 

 

 

 

 

 

 

NYMEX Three-Way Options

 

 

 

 

 

 

 

 

 

Sold call / bought put / sold put

 

450 MMcf/d

 

2026

 

5.92 / 3.33 / 2.58

 

 

16

 

Sold call / bought put / sold put

 

225 MMcf/d

 

2027

 

4.67 / 3.50 / 2.50

 

 

14

 

 

 

 

 

 

 

 

 

 

 

NYMEX Costless Collars

 

 

 

 

 

 

 

 

 

Sold call / bought put

 

95 MMcf/d

 

2026

 

5.27 / 3.75

 

 

9

 

Sold call / bought put

 

15 MMcf/d

 

2027

 

4.72 / 3.50

 

 

2

 

 

 

 

 

 

 

 

 

 

 

AECO Costless Collars

 

 

 

 

 

 

 

 

 

Sold call / bought put

 

7 MMcf/d

 

2026

 

2.15 / 1.69

 

 

1

 

Sold call / bought put

 

8 MMcf/d

 

2027

 

2.36 / 1.76

 

 

1

 

 

 

 

 

 

 

 

 

 

 

Basis Contracts (2)

 

 

 

2026

 

 

 

 

44

 

 

 

 

 

2027

 

 

 

 

51

 

 

 

 

 

2028 - 2031

 

 

 

 

87

 

 

 

 

 

 

 

 

 

 

 

Other Financial Positions

 

 

 

 

 

 

 

 

-

 

 

 

 

 

 

 

 

 

 

 

Physical Forward Contracts (3)

 

 

 

2026

 

 

 

 

32

 

 

 

 

 

2027

 

 

 

 

45

 

 

 

 

 

2028 - 2037

 

 

 

 

14

 

Natural Gas Fair Value Position

 

 

 

 

 

 

 

 

361

 

Total Fair Value Position

 

 

 

 

 

 

 

$

326

 

 

(1)
Ovintiv has entered into oil differential swaps associated with Canadian condensate and WTI.
(2)
Ovintiv has entered into natural gas basis swaps associated with AECO, NYMEX, and Waha.
(3)
Ovintiv has entered into natural gas physical forward contracts associated with JKM and Chicago, as described in Note 19.
Earnings Impact of Realized and Unrealized Gains (Losses) on Risk Management Positions

Earnings Impact of Realized and Unrealized Gains (Losses) on Risk Management Positions

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Realized Gains (Losses) on Risk Management

 

 

 

 

 

 

 

 

 

 

 

 

Commodity Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

(68

)

 

$

33

 

 

$

(78

)

 

$

63

 

Foreign Currency Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign exchange (1)

 

 

-

 

 

 

-

 

 

 

-

 

 

 

(98

)

 

 

$

(68

)

 

$

33

 

 

$

(78

)

 

$

(35

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Unrealized Gains (Losses) on Risk Management

 

 

 

 

 

 

 

 

 

 

 

 

Commodity Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

190

 

 

$

54

 

 

$

137

 

 

$

8

 

Foreign Currency Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign exchange

 

 

-

 

 

 

2

 

 

 

-

 

 

 

89

 

 

 

$

190

 

 

$

56

 

 

$

137

 

 

$

97

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Realized and Unrealized Gains (Losses) on Risk Management, net

 

 

 

 

 

 

 

 

 

 

 

 

Commodity Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$

122

 

 

$

87

 

 

$

59

 

 

$

71

 

Foreign Currency Derivatives:

 

 

 

 

 

 

 

 

 

 

 

 

Foreign exchange (1)

 

 

-

 

 

 

2

 

 

 

-

 

 

 

(9

)

 

 

$

122

 

 

$

89

 

 

$

59

 

 

$

62

 

 

(1)
Includes a realized foreign exchange loss of $97 million for the six months ended June 30, 2025, related to notional U.S. dollar denominated currency swaps as discussed in Note 6.
Reconciliation of Unrealized Risk Management Positions

Reconciliation of Unrealized Risk Management Positions from January 1 to June 30

 

 

 

 

 

2026

 

 

2025

 

 

 

 

 

Fair Value

 

 

Total
Unrealized
Gain (Loss)

 

 

Total
Unrealized
Gain (Loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

Fair Value of Contracts, Beginning of Year

 

 

 

$

75

 

 

 

 

 

 

 

Change in Fair Value of Contracts in Place at Beginning of Year

 

 

 

 

 

 

 

 

 

 

   and Contracts Entered into During the Period

 

 

 

 

59

 

 

$

59

 

 

$

62

 

Fair Value of NuVista Contracts Acquired (See Note 9)

 

 

 

 

169

 

 

 

 

 

 

 

Settlement of NuVista Contracts from Business Combination

 

 

 

 

(55

)

 

 

 

 

 

 

Fair Value of Contracts Realized During the Period

 

 

 

 

78

 

 

 

78

 

 

 

35

 

Fair Value of Contracts, End of Period

 

 

 

$

326

 

 

$

137

 

 

$

97

 

Unrealized Risk Management Positions

Unrealized Risk Management Positions

 

 

 

As at

 

 

As at

 

 

 

June 30,

 

 

December 31,

 

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

Risk Management Assets

 

 

 

 

 

 

Current

 

$

187

 

 

$

86

 

Long-term

 

 

185

 

 

 

4

 

 

 

 

372

 

 

 

90

 

 

 

 

 

 

 

 

Risk Management Liabilities

 

 

 

 

 

 

Current

 

 

32

 

 

 

2

 

Long-term

 

 

14

 

 

 

13

 

 

 

 

46

 

 

 

15

 

Net Risk Management Assets (Liabilities)

 

$

326

 

 

$

75