News Release

Canadian oil sands equities outperform U.S. peers as sector rerates

EIR report highlights premium valuations, inventory advantages and market drivers behind the group’s outperformance

byEnverus
October 29, 2025

CALGARY, Alberta (Oct. 29, 2025) Enverus Intelligence® Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS company that leverages generative AI across its solutions, is releasing a new analysis on Canadian oil sands equities, highlighting sector rerating, valuation dislocations, and the impact of recent market and policy shifts.

“The recent outperformance of oil sands equities relative to L48 peers highlights the market’s appreciation for the sector’s robust inventory duration and improved market access,” said Michael Berger, senior analyst at EIR.

Key Takeaways:

  • Oil sands equities have outperformed the XOP by ~40% since January 2024, and now trade at a meaningful EV/EBITDA premium to U.S. peers.
  • Shrinking low-cost U.S. drilling inventory has increased the market’s focus on the long-duration, high-quality nature of oil sands resources.
  • Oil sands operators hold more than twice the duration of high-quality inventory compared to Lower 48 shale peers, justifying a premium valuation.
  • Expansion of the Trans Mountain Pipeline (TMX) has tightened Western Canadian Select (WCS) differentials.
  • Recent M&A activity, including Strathcona’s (SCR) bid for MEG (MEG) and Cenovus’s (CVE) subsequent offer, has contributed to rising sector multiples.
Enverus Intelligence Research_Oil Sands Equity Multiples Relative to US Large-Cap Independents

EIR’s analysis pulls from a variety of products including Enverus Valuation Analytics.

You must be an Enverus Intelligence® subscriber to access this report.

About Enverus Intelligence® Research
Enverus Intelligence ® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations and macro-economic forecasts; and helps make intelligent connections for energy industry participants, service companies and capital providers worldwide. Enverus is the most trusted, energy-dedicated SaaS company, with a platform built to create value from generative AI, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 95% of U.S. energy producers, and more than 40,000 suppliers. Learn more at Enverus.com.

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