Strathcona Resources Ltd. Confirms Closing of Sale of Montney Business and Provides Update on MEG Strategic Alternatives Process

Core Viewpoint - Strathcona Resources Ltd. has successfully closed its Montney asset sales for a total value of approximately $2.86 billion, transitioning to a pure-play heavy oil company with plans for significant production growth by 2031 [1][2]. Group 1: Asset Sales and Financial Position - The total value of the Montney asset sales is approximately $2.86 billion, including closing adjustments, with the Groundbirch asset sale closing on June 1, 2025, and the Kakwa and Grande Prairie assets closing on July 2, 2025 [1][6]. - Strathcona is now producing approximately 120 Mbbls/d (100% oil) and aims to grow production to 195 Mbbls/d by 2031, supported by a 50-year 2P reserves life index [2][20]. - The company currently holds approximately $200 million in positive net cash and marketable securities after debt deductions, which includes shares in Tourmaline Oil Corp. and MEG Energy Corp. [2][13]. Group 2: Strategic Alternatives and Engagement with MEG - Strathcona expressed disappointment over the MEG Board's lack of dialogue regarding its original offer submitted on April 28, 2025, despite the board's decision to pursue a strategic alternatives process [3][4]. - Feedback from MEG shareholders indicates a desire for the MEG Board to engage with Strathcona to explore mutually beneficial outcomes [4][20]. - Strathcona remains committed to engaging with MEG shareholders ahead of the September 15 tender deadline for its offer to acquire MEG shares [4][7]. Group 3: Company Overview - Strathcona is recognized as one of North America's fastest-growing oil and gas producers, focusing on thermal oil and enhanced oil recovery through innovative growth strategies [5]. - The company's common shares are listed on the Toronto Stock Exchange under the symbol SCR [5].