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BRIEF-Ovintiv Takes Immediate And Significant Action Reduces Second Quarter 2020 Capital Investments By $300 Million Full-Year Cash Costs To Drop By $100 Million

Published 2020-03-12, 02:36 p/m

March 12 (Reuters) - Ovintiv Inc OVV.N :

* OVINTIV TAKES IMMEDIATE AND SIGNIFICANT ACTION; REDUCES SECOND QUARTER 2020 CAPITAL INVESTMENTS BY $300 MILLION; FULL-YEAR CASH COSTS TO DROP BY $100 MILLION

* OVINTIV - HAS NO LONG-TERM SERVICE COMMITMENTS TO FULFILL AND INTENDS TO USE ITS OPERATIONAL FLEXIBILITY TO MAINTAIN BALANCE SHEET STRENGTH

* OVINTIV INC - PREPARED TO FURTHER REDUCE CAPITAL INVESTMENTS AND ACTIVITY LEVELS AS MARKET CONDITIONS DICTATE

* OVINTIV - CO IS IMMEDIATELY DROPPING 10 OPERATED DRILLING RIGS AND PLANS TO DROP AN ADDITIONAL SIX OPERATED RIGS IN MAY 2020

* OVINTIV INC - CURRENT LIQUIDITY IS APPROXIMATELY $3.5 BILLION

* OVINTIV - CO HAS SIGNIFICANT FLEXIBILITY TO MANAGE LATE 2021 AND 2022 MATURITIES, INCLUDING USE OF CREDIT FACILITIES

* OVINTIV - CREDIT FACILITIES ARE FIXED AT $4 BILLION UNTIL THEIR MATURITY IN JULY 2024 & COMMODITY PRICES HAVE ZERO IMPACT ON AVAILABILITY

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