Ovintiv Inc.’s multi-basin portfolio across North America primarily is focused on crude and condensate, but with around 1.5 Bcf/d of natural gas output, there are lots of options available depending on the direction of commodity prices, CEO Doug Suttles said last week.

drilling and completion costs

Speaking with his management team during a third quarter conference call, Suttles said there are scenarios where Ovintiv could move some capital from North American crude plays to gassier leaseholds, particularly the Montney Shale, which straddles British Columbia and Alberta. 

“A small move in gas prices makes a big difference in revenues and cash flow,” he said. “In fact, a 25-cent increase in gas prices is about $100 million of incremental cash flow.”

In the Montney, Ovintiv has “everything from...