The next day, Teck Resources said it was also considering a spin-off of its Fort Hills oil sands project, in which it is a part-owner with TotalEnergies and Suncor Energy.
The success of any initial public offerings (IPOs) over the next year would depend on whether oil price volatility calms down after turbulence in 2022 following Russia’s invasion of Ukraine and on worries about global recession, investment bankers and analysts said.
“The energy sector has performed quite well and valuations remain attractive … but everyone is braced for more volatility and will likely remain cautious until it ends,” said Jeremy McCrea, an analyst at brokerage Raymond James.
McCrea expects the recent trend of takeovers of private Canadian oil companies by larger companies to continue rather than the IPO route.
The last time a new Canadian energy listing appeared on the TSX was in January when Calgary-based Kiwetinohk Energy Corp shares…
