Canadian Oil & Gas

INTRODUCTION

Canadian oil and gas companies are being squeezed by the double pressure of commodity prices and pressure to reduce emissions. While Justin Trudeau's government is looking to support the oil industry during the longest downturn in prices in recent history, it also has to meet the challenge of lowering Canada's emissions output to satisfy environmental concerns, which could come at a high cost to producers.

Uncertainty about long-term global supply and demand patterns for oil and gas and their impact on oil prices are both a challenge and an opportunity for dealmakers.

The survey results show that respondents expect the Canadian energy M&A market in 2017 to be more robust than in the previous year. Buyers may be enticed by a price deck above $50 per barrel, with both Brent crude and WTI largely buoyant since December, and they may also be ready to meet the seller's price expectations informed by a longer than expected commodity price decline but