Imperial reported estimated net income in the first quarter of
Quarterly cash flows from operating activities was
'Imperial's first quarter financial results reflect the strength of our integrated business model as we delivered record first quarter production from Kearl and continued to deliver high utilization rates across our refining network,' said
Upstream production in the first quarter averaged 421,000 gross oil-equivalent barrels per day. At Kearl, quarterly total gross production averaged 277,000 barrels per day (196,000 barrels Imperial's share), the highest ever first quarter production in the asset's history. At
In the Downstream, quarterly throughput averaged 407,000 barrels per day, which included the highest ever first quarter throughput at
During the quarter, Imperial returned
In March, regulatory filings began for the proposed
First quarter highlights
Net income of
Cash flows from operating activities of
Capital and exploration expenditures totaled
The company returned
Production averaged 421,000 gross oil-equivalent barrels per day, up from 413,000 gross oil-equivalent barrels per day in the same period of 2023.
Total gross bitumen production at Kearl averaged 277,000 barrels per day (196,000 barrels Imperial's share), the highest first quarter production in the asset's history, up from 259,000 barrels per day (184,000 barrels Imperial's share) in the first quarter of 2023, primarily driven by strong mine and plant performance.
Gross bitumen production at
Further progressed steam injection at the Grand Rapids Phase 1 (GRP1) project, consistent with plans to begin ramping up production in the coming weeks. GRP1 will be the first solvent-assisted SAGD project in the industry and is expected to achieve 15,000 gross barrels per day of production at full rates while also reducing greenhouse gas emissions intensity by up to 40 percent compared to existing cyclic steam stimulation technology.
The company's share of gross production from Syncrude averaged 73,000 barrels per day, compared to 76,000 barrels per day in the first quarter of 2023. Syncrude began its annual planned coker turnaround in late March, which is expected to be completed in the second quarter.
Refinery throughput averaged 407,000 barrels per day, including highest ever first quarter throughput at
Petroleum product sales were 450,000 barrels per day, compared to 455,000 barrels per day in the first quarter of 2023.
Continued to advance work on the Strathcona Renewable Diesel facility, with construction activity now underway on a number of units and progressing on-plan. When complete the project is expected to produce more than one billion litres of renewable diesel annually, from locally sourced and grown feedstocks, and support
Esso brand has achieved the No.1 market share position in
Following a proactive decision to conduct preventative maintenance on the Winnipeg Products Pipeline, regular fuel supply into the region is being maintained through temporary transportation networks.
Chemical net income of
Recent business environment
During the first quarter of 2024, the price of crude oil remained relatively flat with the fourth quarter of 2023, as markets continued to be reasonably balanced on higher inventory levels. The Canadian WTI/WCS spread began to narrow in the first quarter, but remained in line with the 2023 full year average. Refining margins improved in the first quarter of 2024 primarily driven by industry downtime and supply disruptions.
Forward-looking statements
Statements of future events or conditions in this report, including projections, targets, expectations, estimates, and business plans, are forward-looking statements. Similarly, discussion of roadmaps or future plans related to carbon capture, transportation and storage, biofuel, hydrogen, and other future plans to reduce emissions and emission intensity of the company, its affiliates and third parties are dependent on future market factors, such as continued technological progress, policy support and timely rule-making and permitting, and represent forward-looking statements. Forward-looking statements can be identified by words such as believe, anticipate, intend, propose, plan, goal, seek, estimate, expect, future, continue, likely, may, should, will and similar references to future periods. Forward-looking statements in this report include, but are not limited to, the impact and timing of the Cold Lake Grand Rapids Phase 1 project, including expected production and reductions to greenhouse gas emissions intensity, and the timing of production ramp up for such project; the company's
Forward-looking statements are based on the company's current expectations, estimates, projections and assumptions at the time the statements are made. Actual future financial and operating results, including expectations and assumptions concerning future energy demand, supply and mix; production rates, growth and mix across various assets; project plans, timing, costs, technical evaluations and capacities and the company's ability to effectively execute on these plans and operate its assets, including the Cold Lake Grand Rapids Phase 1 project and the
These factors include global, regional or local changes in supply and demand for oil, natural gas, and petroleum and petrochemical products and resulting price, differential and margin impacts, including foreign government action with respect to supply levels and prices, and the occurrence of wars; availability and allocation of capital; the receipt, in a timely manner, of regulatory and third-party approvals, including for new technologies that will help the company meet its lower emissions goals; the results of research programs and new technologies, the ability to bring new technologies to commercial scale on a cost-competitive basis, and the competitiveness of alternative energy and other emission reduction technologies; failure, delay or uncertainty regarding supportive policy and market development for the adoption of emerging lower emission energy technologies and other technologies that support emissions reductions; environmental regulation, including climate change and greenhouse gas regulation and changes to such regulation; political or regulatory events, including changes in law or government policy, applicable royalty rates, and tax laws including taxes on share repurchases; unanticipated technical or operational difficulties; project management and schedules and timely completion of projects; availability and performance of third-party service providers; environmental risks inherent in oil and gas exploration and production activities; management effectiveness and disaster response preparedness; operational hazards and risks; cybersecurity incidents; currency exchange rates; general economic conditions, including inflation and the occurrence and duration of economic recessions or downturns and other factors discussed in Item 1A risk factors and Item 7 management's discussion and analysis of financial condition and results of operations of
Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some that are similar to other oil and gas companies and some that are unique to
Forward-looking and other statements regarding Imperial's environmental, social and other sustainability efforts and aspirations are not an indication that these statements are material to investors or require disclosure in the company's filings with securities regulators. In addition, historical, current and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future, including future rule-making. Individual projects or opportunities may advance based on a number of factors, including availability of supportive policy, technology for cost-effective abatement, company planning process, and alignment with our partners and other stakeholders.
In this release all dollar amounts are expressed in Canadian dollars unless otherwise stated. This release should be read in conjunction with Imperial's most recent Form 10-
The term 'project' as used in this release can refer to a variety of different activities and does not necessarily have the same meaning as in any government payment transparency reports.
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