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Oct 27 (Reuters) - MEG Energy Corp MEG.TO , a major player in the Canadian oil sands, reported a smaller loss as its cost reduction strategy continued to pay off.
Net operating costs fell 14.7 percent to $7.76 per barrel in the quarter, while non-operating costs were down 11 percent.
The slump in crude prices has forced producers to cut costs, and reduce capital spending.
"We are seeing record low per-barrel non-energy operating and general and administrative costs," Chief Executive Bill McCaffrey said on Thursday.
Bitumen production rose less than 1 percent to 83,404 barrels per day.
MEG, whose main operations are in the Athabasca region of Alberta, said that higher production and low costs contributed to a cash flow of C$23 million for the third quarter, relatively stable from C$24 the year earlier.
"We are continuing to make incremental reductions in costs across the business," said McCaffrey.
Calgary-based MEG reported a net loss of C$109 million ($92.70 million), or 48 Canadian cents per share, for the three months ended Sept. 30, compared with a loss of C$428 million, or C$1.90 cents per share, a year earlier. rose 8 percent to C$497 million.
($1 = 1.3377 Canadian dollars)