Mark Ovintiv Inc. as yet another North American producer expecting to pull back the reins on natural gas development this year. 

The Denver-based explorer is reducing development “in response to weaker short term North American natural gas fundamentals,” CEO Brendan McCracken said during the recent quarterly conference call. 

Executives of other U.S.-based producers during 4Q2022 calls said they too would cut back gas output in favor of oil and liquids. Ovintiv is joining them.

The Permian Basin’s oil and liquids are to be Ovintiv’s No. 1 target in 2023, the CEO said. Ovintiv is planning to keep overall output flat. It has substantial assets in the Anadarko and Denver-Julesburg basins, as well as the Bakken and Montney shales.

“Our ability to shift capital to...