About Cenovus Energy

Cenovus Energy Inc. (Cenovus) operates as an integrated energy company in Canada. The company operates as Canadian-based crude oil and natural gas producer, with upstream operations in Canada and the Asia Pacific region. The company is the largest Canadian-based refiner and upgrader, with downstream operations in Canada and the United States (U.S.). Segments The company operates through Upstream and Downstream segments. Upstream segment This segment’s operations include oil sands projects in northern Alberta; thermal and conventional crude oil, natural gas and natural gas liquids (NGLs) projects across Western Canada; crude oil production offshore Newfoundland and Labrador; and natural gas and NGLs production offshore China and Indonesia. The company’s operations involve activities across the full value chain to develop, produce, refine, transport and market crude oil and natural gas in Canada and internationally. The company’s physically integrated upstream and downstream operations help it mitigate the impact of volatility in light-heavy crude oil differentials and contribute to its net earnings by capturing value from crude oil and natural gas production through to the sale of finished products such as transportation fuels. In 2022, crude oil production from the company’s Oil Sands assets averaged 586.6 thousand barrels per day and total upstream production averaged 786.2 thousand BOE per day. Downstream crude oil throughput was 493.7 thousand barrels per day. Oil Sands, includes the development and production of bitumen and heavy oil in northern Alberta and Saskatchewan. Cenovus’s oil sands assets include Foster Creek, Christina Lake, Sunrise, Lloydminster thermal and Lloydminster conventional heavy oil assets. Cenovus jointly owns and operates pipeline gathering systems and terminals through the equity-accounted investment in Husky Midstream Limited Partnership (HMLP). The sale and transportation of Cenovus’s production and third-party commodity trading volumes are managed and marketed through access to capacity on third-party pipelines and storage facilities in both Canada and the U.S. to optimize product mix, delivery points, transportation commitments and customer diversification. Conventional, includes assets rich in NGLs and natural gas within the Elmworth-Wapiti, Kaybob-Edson, Clearwater and Rainbow Lake operating areas in Alberta and British Columbia and interests in numerous natural gas processing facilities. Cenovus’s NGLs and natural gas production is marketed and transported, with additional third-party commodity trading volumes, through access to capacity on third-party pipelines, export terminals and storage facilities. These provide flexibility for market access to optimize product mix, delivery points, transportation commitments and customer diversification. Offshore, includes offshore operations, exploration and development activities in China and the East Coast of Canada, as well as the equity-accounted investment in the Husky-CNOOC Madura Ltd. (HCML) joint venture in Indonesia. Oil Sands As of December 31, 2022, Cenovus held bitumen and heavy oil rights of approximately 1.6 million gross acres (1.6 million net acres) within the Athabasca and Cold Lake regions of northern Alberta and Saskatchewan, as well as the exclusive rights to lease an additional 603 thousand gross acres on the Cold Lake Air Weapons Range, an active military base. Development Approach Cenovus uses steam-assisted gravity drainage (SAGD) technology to recover bitumen. At Cenovus’s Lloydminster conventional heavy oil assets, the company employs a combination of production technologies including cold heavy oil production with sand (CHOPS), horizontal wells and enhanced oil recovery (EOR). EOR is defined as the increased recovery from a crude oil pool achieved by artificial means or by the application of energy extrinsic to the pool. Technology Cenovus leverages innovation and technology across the company’s operations to help further reduce its environmental impact, upgrade the tools and processes it uses in its day-to-day operations, maximize its financial performance and enhance its product value. Foster Creek Cenovus has a 100 percent working interest in Foster Creek, located on the Cold Lake Air Weapons Range, which is 72 kilometres northwest of Cold Lake, Alberta. Foster Creek produces from the McMurray formation, with a reservoir depth of up to 500 metres, using SAGD technology. Bitumen production at Foster Creek averaged 191.0 thousand barrels per day in 2022. Cenovus operates a 100-megawatt natural gas-fired cogeneration facility at Foster Creek. The steam and power generated by the facility is used within the SAGD operation and any excess power generated is sold into the Alberta power pool. In December 2022, Cenovus received regulatory approval to develop the Ipiatik asset in the Foster Creek area. Cenovus has a 90 percent working interest in Ipiatik which has reservoir depths of up to 505 metres. The Ipiatik asset will provide future bitumen feedstock to the Foster Creek plant. Pad construction is expected to commence in 2024 with first steam expected in 2029. Christina Lake Cenovus has a 100 percent working interest in Christina Lake, which is located approximately 150 kilometres southeast of Fort McMurray, Alberta. Christina Lake produces from the McMurray formation, with a reservoir depth of up to 375 metres, using SAGD technology. Bitumen production at Christina Lake averaged 246.5 thousand barrels per day in 2022. Cenovus operates a 100-megawatt natural gas-fired cogeneration facility at Christina Lake. The steam and power generated by the facility is used within the SAGD operation and any excess power generated is sold into the Alberta power pool. Cenovus has a 100 percent working interest in Narrows Lake, which is located adjacent to Christina Lake and has a reservoir depth of up to 375 metres. In 2021, the Narrows Lake field commenced tieback into the Christina Lake plant and the work continued in 2022. The expansion of the Christina Lake development area to include Narrows Lake will provide future sustaining pad locations for feedstock into the Christina Lake plant. First steam from Narrows Lake is expected in 2025. Sunrise On August 31, 2022, Cenovus acquired the remaining 50 percent interest in Sunrise from BP Canada, giving Cenovus full ownership. Sunrise is located approximately 60 kilometres northeast of Fort McMurray, Alberta. Sunrise produces from the McMurray formation, with a reservoir depth of up to 200 metres, using SAGD technology. In 2022, bitumen production at Sunrise averaged 31.3 thousand barrels per day. Following the Sunrise Acquisition, bitumen production averaged 45.3 thousand barrels per day from September 1, 2022 to December 31, 2022. Lloydminster Thermal Lloydminster thermal consists of 12 producing thermal plants, which are 100 percent owned by Cenovus and produce bitumen. The plants are located in the Lloydminster region of Saskatchewan. Each plant has a number of production pads and uses SAGD technology. The Spruce Lake North thermal plant achieved first oil in September 2022. Production averaged approximately 12.0 thousand barrels per day in the fourth quarter. Total bitumen production from Lloydminster thermal averaged 99.9 thousand barrels per day in 2022. Lloydminster Conventional Heavy Oil Lloydminster conventional heavy oil uses a combination of production technologies, including CHOPS, horizontal wells and EOR in the Lloydminster region of Alberta and Saskatchewan. Heavy oil production averaged 16.3 thousand barrels per day in 2022 and conventional natural gas production averaged 9.9 MMcf per day in 2022. Husky Midstream Limited Partnership The company jointly owns and is the operator of HMLP, which owns midstream assets, including pipeline, storage and other ancillary infrastructure assets in Alberta and Saskatchewan. The company holds a 35 percent interest in HMLP, with Power Assets Holdings Ltd. holding a 49 percent interest and CK Infrastructure Holdings Ltd. holding a 16 percent interest in HMLP. HMLP has approximately 2,300 kilometres of pipeline in the Lloydminster region and 5.9 million barrels of storage capacity at Hardisty and Lloydminster. The assets play an integral role in the transportation of heavy oil production to end markets by providing connections to the Lloydminster Upgrader and the Lloydminster Refinery, third-party terminals and pipelines through the Hardisty terminal. The Lloydminster terminal, with a total storage capacity of 1.0 million barrels, serves as a hub for the gathering systems. The pipeline systems transport blended heavy crude oil to the Lloydminster terminal for delivery to the company’s Lloydminster Upgrader and Lloydminster Refinery. Blended heavy crude oil from the field and synthetic crude oil from the upgrading operations are transported south to Hardisty, Alberta to a connection with the major export trunk pipelines. The Hardisty terminal, with a total storage capacity of 4.9 million barrels, acts as the exclusive blending hub for WCS, the largest heavy oil benchmark pricing point in North America. In addition, HMLP owns and Cenovus operates the Ansell Corser gas processing plant located in west-central Alberta. The gas processing plant has a capacity of 120 MMcf per day and supports the company’s Conventional segment. Conventional Cenovus’s Conventional assets include approximately 6.4 million net acres with an average 82 percent working interest. In addition, the Conventional assets include interests in numerous natural gas processing facilities with an estimated net processing capacity of 1.2 Bcf per day. Elmworth-Wapiti Cenovus is one of the largest producers in the Elmworth-Wapiti area, located in northwest Alberta and northeast British Columbia. As of December 31, 2022, Cenovus held leasehold rights of 1.2 million net acres in this area. The Elmworth-Wapiti area provides production potential from more than 10 target formations, with the most prospective being the Falher and Dunvegan formations, having reservoir depths up to 3,000 metres. This is a mature area that was historically developed with conventional vertical well technology. Cenovus has shifted to horizontal drilling in its development programs with a view to unlock the vast resource potential in the tight sand plays. The primary processing facility in the area is the Cenovus-operated Elmworth plant. The company holds significant working interests in four other major natural gas processing facilities in the region. On February 28, 2022, Cenovus sold its Wembley assets in the Elmworth area for net proceeds of $221 million. Kaybob-Edson As of December 31, 2022, Cenovus held leasehold rights of approximately 1.0 million net acres in the Kaybob-Edson area, which is situated in west-central Alberta. Target development focuses in the Cretaceous formations with reservoir depths ranging from 2,500 metres to 3,200 metres. Cenovus owns and operates two major natural gas facilities in the area, the Peco and Wolf plants, in addition to holding significant working interest in two other major natural gas processing facilities in the region. The Ansell Corser plant is owned by HMLP and operated by Cenovus. Clearwater The Clearwater area is situated in west-central Alberta, south of Kaybob-Edson. As of December 31, 2022, Cenovus held leasehold rights of approximately 0.6 million net acres. Cenovus’s assets in the Clearwater area target the Cretaceous and Jurassic formations with reservoirs at depths ranging from 1,790 metres to 3,000 metres producing both NGLs and natural gas. This is a mature area historically developed with conventional vertical well technology, providing Cenovus with a series of lower risk horizontal drilling development programs. Cenovus operates two major natural gas processing facilities in the area, the Sand Creek and Alder plants. Rainbow Lake Rainbow Lake is located approximately 900 kilometres northwest of Edmonton, Alberta. As of December 31, 2022, Cenovus held leasehold rights of approximately 0.4 million net acres. Rainbow Lake consists of two distinct areas, Rainbow Lake and Bivouac, with assets, including two natural gas plants, multiple field facilities and compressor stations, and over 1,100 kilometres of pipelines for gathering, injection and disposal operations. Rainbow Lake makes up the majority of the asset production, primarily from the deeper Devonian formations, such as Keg River and Muskeg with reservoir depths ranging from 1,700 metres to 2,000 metres. Bivouac produces mainly sweet gas from the Jean Marie formation with reservoir depths up to 1,400 metres. Offshore Asia Pacific China Liwan Gas Project The Liwan Gas Project is located approximately 300 kilometres southeast of the Hong Kong Special Administrative Region and was the first deepwater gas project offshore China. The Liwan Gas Project includes the natural gas discoveries at the Liwan 3-1, Liuhua 34-2 and Liuhua 29-1 fields within the Contract Area 29/26 located in the Pearl River Mouth Basin of the South China Sea. Cenovus has a 49 percent working interest in the Liwan 3-1 and Liuhua 34-2 fields, as well as a 75 percent working interest in the Liuhua 29-1 field. The remaining working interest is owned by China National Offshore Oil Corporation through subsidiaries (CNOOC). The Liwan 3-1, Liuhua 34-2 and Liuhua 29-1 fields share a subsea production system, subsea pipeline transportation and onshore gas processing infrastructure. Cenovus is the operator of the deepwater infrastructure and CNOOC operates the shallow water facilities, including the platform, subsea pipeline to shore and the Gaolan Onshore Gas Plant (OSGP). The OSGP extracts condensate and NGLs and compresses and transports the natural gas to commercial markets in mainland China. In 2022, the company’s working interest share of production from the Liwan Gas Project was 230.1 MMcf per day of conventional natural gas and 9.8 thousand barrels per day of NGLs. Block 15/33 The company holds a production sharing contract (PSC) for Block 15/33 which is located in the Pearl River Mouth Basin of the South China Sea, east of the Leizhou Peninsula, approximately 140 kilometres southeast of the Hong Kong Special Administrative Region. Cenovus is the operator of the block and has a working interest of 100 percent. Block 16/25 The company holds a PSC for Block 16/25 which is located in the Pearl River Mouth Basin of the South China Sea, east of the Leizhou Peninsula, about 150 kilometres southeast of the Hong Kong Special Administrative Region. The company is the operator of the block with a 100 percent working interest during the exploration phase. An amendment agreement signed in 2021 between the company and CNOOC extended the first phase of the exploration period to December 31, 2022. Block 23/07 Cenovus held a PSC for the 23/07 exploration block in the Beibu Gulf area of the South China Sea, west of the Leizhou Peninsula. The PSC was terminated in 2022. Taiwan Block DW-1 The company and CPC Corporation, through a joint agreement, have rights to an exploration block covering approximately 7,700 square kilometres located southwest of the Taiwan Area offshore. The company holds a 75 percent working interest during exploration. CPC Corporation has the right to participate in any future development programs up to a 50 percent interest by paying its proportionate share of all development costs. During 2022, the three-dimensional seismic exploration period was extended for another two years and expires on December 17, 2024. Indonesia Madura Strait The company has a 40 percent interest in the HCML joint venture, which holds the Madura Strait PSC. The Madura Strait PSC encompasses approximately 2,500 square kilometres in the Madura Strait area, located off the coast of East Java, Indonesia. The Madura Strait includes the producing BD, MBH and MDA shallow water fields. It also contains shallow water MAC and MDK fields which are under development and are expected to start production in 2023 and 2025, respectively. In 2022, the company’s working interest share of production was 47.6 MMcf per day of conventional natural gas and 2.6 thousand barrels per day of condensate (2021 – 41.2 MMcf per day and 2.7 thousand barrels per day, respectively). Liman The company signed a PSC in December 2021 with the Government of Indonesia for the Liman contract area, which is located onshore in East Java, Indonesia. The company holds a 100 percent working interest during the exploration phase. Pertamina, an Indonesian state-owned enterprise, has the right to farm in on a business-to-business basis, for 15 percent of the PSC under government regulations. Atlantic Canada Terra Nova Field The Terra Nova field is located approximately 350 kilometres southeast of St. John’s, Newfoundland and Labrador in the Jeanne d’Arc Basin. The Terra Nova field is divided into three distinct areas, known as the Graben, the East Flank and the Far East. Cenovus has a working interest in the Terra Nova field of 34 percent and is not the operator. Production at the Terra Nova field has been suspended since December 2019. In September 2021, Cenovus and its partners finalized agreements (the Atlantic Restructuring) to restructure its working interest in Terra Nova, increasing Cenovus’s working interest to 34 percent from 13 percent, and if a decision was taken to restart the West White Rose project, would reduce the company’s working interest in the White Rose field. The agreements included the decision to move forward with the Asset Life Extension Project which is expected to extend production life by approximately 10 years and produce an additional 70 million barrels, 23.8 million barrels net to Cenovus. The Terra Nova field is expected to resume production in the second quarter of 2023. White Rose Field and Satellite Extensions The White Rose field is located about 350 kilometres east off the coast of Newfoundland and Labrador on the eastern flank of the Jeanne d’Arc Basin. The company is the operator of the main White Rose field and satellite tiebacks, including the North Amethyst, West White Rose and South White Rose extensions. The North Amethyst and South White Rose extensions were developed via subsea tieback infrastructure which produce back to the SeaRose floating production storage and offloading unit (FPSO). The West White Rose project is designed to use a drilling and wellhead platform to access resources to the west of the main field and will also produce back to the SeaRose FPSO. On May 31, 2022, Cenovus and its partners announced the restart of the West White Rose project offshore Newfoundland and Labrador. As part of the 2021 Atlantic Restructuring plan, the decision to restart the West White Rose project on May 31, 2022, resulted in the transfer of a 12.5 percent working interest in the White Rose field and satellite extensions from Cenovus to Suncor, lowering Cenovus’s working interest to 60 percent in the main field and 56.375 percent in the satellite extensions. The West White Rose project is anticipated to have peak production of 80 thousand barrels per day (45 thousand barrels per day, net to Cenovus) with first oil expected in the first half of 2026. In 2022, light crude oil production averaged 11.6 thousand barrels per day. East Coast Exploration The company holds working interests ranging from six percent to 100 percent in multiple discovery areas and 22 percent to 100 percent in exploration licenses within the Jeanne d’Arc Basin, Baffin Island and Eastern Newfoundland regions. On August 31, 2022 Cenovus closed the acquisition of Sunrise and disposed of its 35 percent position in the undeveloped Bay du Nord project offshore Newfoundland and Labrador, which includes the Bay de Verde, Baccalieu, Harpoon and Mizzen discoveries in the Flemish Pass Basin. Downstream segment This segment’s operations include upgrading and refining operations in Canada and the U.S., and commercial fuel operations across Canada. Canadian Manufacturing, includes the owned and operated Lloydminster upgrading and asphalt refining complex, which converts heavy oil and bitumen into synthetic crude oil, diesel, asphalt and other ancillary products. Cenovus also owns and operates the Bruderheim crude-by-rail terminal and two ethanol plants. The company’s commercial fuels business across Canada is included in this segment. Cenovus markets its production and third-party commodity trading volumes in an effort to use its integrated network of assets to maximize value. The U.S. Manufacturing, includes the refining of crude oil to produce gasoline, diesel, jet fuel, asphalt and other products at the wholly-owned Lima Refinery and Superior Refinery, the jointly-owned Wood River and Borger refineries (jointly owned with operator Phillips 66) and the jointly-owned Toledo Refinery (jointly owned with operator BP). Cenovus also markets some of its own and third-party volumes of refined petroleum products, including gasoline, diesel and jet fuel. In September 2022, the company completed the divestiture of the majority of the retail fuels business. As a result, Management elected to aggregate the remaining commercial fuels business and the historical retail fuels business into the Canadian Manufacturing segment. The marketing operations of the Canadian Manufacturing segment have similar products and services, customer types, distribution methods and operate in the same regulatory environment as the commercial fuels business. The commercial fuels business includes cardlock, bulk plant and travel centre locations across Canada. Canadian Manufacturing Lloydminster Upgrader The Lloydminster Upgrader, located outside Lloydminster, Saskatchewan, is designed to process blended heavy crude oil feedstock (including bitumen), creating Husky Synthetic Blend (HSB), ultra-low sulphur diesel and other ancillary products. In addition, the upgrader recovers diluent from the feedstock for reuse in the company’s heavy crude oil production assets and transportation. Synthetic crude oil is used as refinery feedstock for the production of transportation fuels in Canada and the U.S. Lloydminster Refinery The Lloydminster Refinery, located in Lloydminster, Alberta, processes blended heavy crude oil into asphalt products used in road construction and maintenance. The Lloydminster Refinery also produces condensate, bulk distillates and industrial products. Condensate is removed and re-circulated into HMLP’s pipeline network as diluent. Distillates are transferred to the Lloydminster Upgrader and blended into the HSB stream or sold as industrial products. Industrial products are a blend of medium and light distillate and vacuum gas oil, which are typically sold directly to customers as refinery feedstock, drilling and well-fracturing fluids, or used in asphalt cutbacks and emulsions. Due to the seasonal demand for asphalt products, many asphalt refineries typically operate at full capacity only during the paving season in Canada and the northern U.S. The company has implemented various strategies to increase refinery throughput outside of the paving season, such as increasing storage capacity and developing the U.S. markets for asphalt products. This allows the Lloydminster Refinery to run at or near full capacity throughout the year. In addition to sales directly from the Lloydminster Refinery, the company owns an asphalt distribution network composed of four asphalt terminals located in: Kamloops, British Columbia; Edmonton, Alberta; Yorkton, Saskatchewan; and Winnipeg, Manitoba. The company also owns an emulsion plant located in Saskatoon, Saskatchewan. Bruderheim Crude-by-Rail Terminal The company owns a crude-by-rail loading facility near Edmonton, Alberta. The Bruderheim crude-by-rail terminal has a storage tank capacity of 240.0 thousand barrels and a loading capacity of 120.0 thousand barrels per day and is part of the company’s strategy to create additional transportation options for its products and is designed to help it capture global prices for its crude oil production. The company has hired a third-party service provider to assist in operating the rail terminal. The company leases a fleet of coiled and insulated rail cars to safely transport the company’s products to market. Ethanol Plants The company owns and operates two ethanol plants, located in Lloydminster, Saskatchewan and Minnedosa, Manitoba. Fuel grade ethanol is produced from grain-based feedstock. Each ethanol plant has an annual nameplate capacity of 130 million litres. The Lloydminster ethanol plant captures carbon dioxide for use in the company’s Lloydminster conventional heavy oil assets and ethanol produced at the plant has a low carbon intensity designation. At the Minnedosa ethanol plant, the company is progressing a Carbon Capture and Sequestration project to also achieve lower carbon intensity ethanol production. Commercial Fuels Business In September 2022, Cenovus divested the majority of its retail fuels network, selling 337 gas stations. Cenovus retained its commercial fuels business, which includes approximately 170 cardlock, bulk plant and travel centre locations. Cenovus’s commercial operating model is balanced by corporate owned/dealer operated and branded dealer-owned-and-operated sites. The network consists of travel centres and cardlocks serving urban and rural markets across Canada and bulk distributors offering direct sales to commercial and agricultural markets in the prairie provinces. The U.S. Manufacturing Lima Refinery The Lima Refinery is located in Lima, Ohio, approximately 150 kilometres northwest of Columbus, Ohio. The Lima Refinery processes both light sweet crude oil and heavy crude oil feedstock sourced from the U.S. and Canada, which includes Canadian synthetic crude oil, including HSB produced by the Lloydminster Upgrader. The Lima Refinery produces low-sulphur gasoline, gasoline blend stocks, ultra-low sulphur diesel, jet fuel, petrochemical feedstock and other by-products. The feedstocks are received via the Mid-Valley and Marathon Pipelines, and the refined products are transported via the Buckeye, Inland and Energy Transfer Partners pipeline systems and by railcar to primary markets in Ohio, Illinois, Indiana, Pennsylvania and southern Michigan. Production at the Lima Refinery averaged 77.4 thousand barrels per day of gasoline, 65.0 thousand barrels per day of distillates and 21.4 thousand barrels per day of other products in 2022. Approximately 13 percent of the crude oil processed at the Lima refinery consisted of Canadian heavy crude oil in 2022. Toledo Refinery The Toledo Refinery is located near Toledo, Ohio. Products from the refinery include gasoline, diesel, jet fuel and other products. A portion of the Toledo Refinery’s capacity is used to process high total acid number crude oil to support production from Sunrise. The feedstocks are received via the Mid-Valley, Marathon and Enbridge Mainline Pipelines, and the refined products are transported via the Buckeye, Inland and Energy Transfer Partners pipeline systems and by barge and railcar to primary markets in Ohio, Illinois, Indiana, Pennsylvania and southern Michigan. On August 8, 2022, Cenovus announced an agreement to purchase the remaining 50 percent interest in the Toledo Refinery from BP, giving Cenovus full ownership and further integrating its heavy oil production and refining capabilities. The transaction is expected to close at the end of February 2023. On September 20, 2022, there was an incident at the Toledo Refinery. The refinery remains shut down in a safe state. Production at the Toledo Refinery averaged 21.8 thousand barrels per day of gasoline, 11.9 thousand barrels per day of distillates and 6.0 thousand barrels per day of other products in 2022. Of the crude oil processed at the Toledo Refinery in 2022, approximately 43 percent consisted of Canadian heavy crude oil and approximately 5 percent consisted of U.S. heavy crude oil. Wood River Refinery The Wood River Refinery ranks in the top 10 percent of approximately 130 refineries in the U.S. based on total crude oil capacity. It is located in Roxana, Illinois, approximately 25 kilometres northeast of St. Louis, Missouri. The Wood River Refinery processes light low-sulphur and heavy high-sulphur crude oil that it receives via the Keystone, Capline, Ozark and Capwood Pipelines to produce gasoline, diesel and jet fuel, petrochemical feedstock, as well as petroleum coke and asphalt. The gasoline, diesel and jet fuel are transported via the Explorer, Buckeye, and Marathon Pipelines to markets in the upper U.S. Midwest. Other products are transported via pipeline, truck, barge and railcar to various markets. The Wood River Refinery’s total stated crude oil processing capacity for 2022 was 346.0 thousand barrels per day. Cenovus’s share of production at the Wood River Refinery averaged 64.9 thousand barrels per day of gasoline, 49.0 thousand barrels per day of distillates and 31.7 thousand barrels per day of other products in 2022. Borger Refinery The Borger Refinery is located in Borger, Texas, approximately 80 kilometres north of Amarillo, Texas. The Borger Refinery processes mainly medium and heavy high-sulphur crude oil that it receives via the WA/80 and Borger Express pipelines to produce gasoline, diesel and jet fuel, along with solvents and other products. The refined products are transported via the Denver, Powder River, Amarillo and Gold Line Pipelines and by truck and railcar to markets in Texas, New Mexico, Colorado and the U.S. mid-continent. The Borger Refinery’s total stated crude oil processing capacity for 2022 was 149.0 thousand barrels per day. Cenovus’s share of production at the Borger Refinery averaged 35.9 thousand barrels per day of gasoline, 27.6 thousand barrels per day of distillates and 7.9 thousand barrels per day of other products in 2022. Superior Refinery The Superior Refinery is located in Superior, Wisconsin, approximately 250 kilometres northeast of Minneapolis, Minnesota. On April 26, 2018, the Superior Refinery experienced an incident while preparing for a major turnaround and was taken out of operation. The rebuild work commenced in March 2019 and commissioning for restart of the refinery started in December 2022 and will progress in the first quarter of 2023. The Superior Refinery has a stated crude oil permitted capacity of 50.0 thousand barrels per day, including capability to process up to 34.0 thousand barrels per day of heavy oil while producing asphalt, gasoline and diesel. Storage and Distribution Network The company has refined product storage and a U.S. asphalt distribution network consists of five terminals. These terminals include: the Superior Products Terminal in Superior, Wisconsin (where refinery products are unloaded); the Duluth Terminal in Duluth/Esko, Minnesota (storage capacity – 180.0 thousand barrels); the Duluth Marine Terminal in Duluth, Minnesota (storage capacity – 14.0 thousand barrels); the Rhinelander Asphalt Terminal in Rhinelander, Wisconsin (storage capacity – 157.0 thousand barrels); and the Crookston Asphalt Terminal in Crookston, Minnesota (storage capacity – 136.0 thousand barrels). In addition, the Superior Refinery has a working tank capacity of 2.6 million barrels. The company also markets asphalt from independently operated terminals located in the states of Minnesota, Wisconsin and Ohio. Divestitures Tucker Asset Sale: On January 31, 2022, Cenovus sold its Tucker asset in the Oil Sands segment. Restart of West White Rose Project: On May 31, 2022, Cenovus and its partners reached an agreement to restart the West White Rose project in the Atlantic region offshore Newfoundland and Labrador. Cenovus transferred 12.5 percent of its working interest in the White Rose field and satellite extensions to Suncor. Headwater Share Sale: On June 8, 2022, Cenovus sold its investment in Headwater. Retail Fuels Network Sale: On September 13, 2022, Cenovus closed the sale of 337 gas stations within its retail fuels network. History Cenovus Energy Inc. was founded in 2009. The company was incorporated in 2020.