Alberta Deep Basin pure-play Peyto Exploration & Development Corp. has all but eliminated its exposure to expected weak pricing at the AECO natural gas hub for the upcoming summer, CEO Jean-Paul Lachance said.

Lachance hosted a conference call on Thursday (March 9) to discuss the gas-weighted producer’s fourth quarter and full-year 2022 results. 

Lachance noted that 2022 was a volatile year for natural gas prices generally, and at Alberta’s AECO hub in particular. This was because of “the added challenge of the market disconnection that happens during the summer maintenance season, where once again prices dropped toward zero. And it’s for these very reasons that Peyto has an active hedging strategy to smooth out the volatility so we can plan our capital programs, commit...