Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable - S&P Global Ratings’ Credit Research

Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable

Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable - S&P Global Ratings’ Credit Research
Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable
Published Apr 15, 2021
8 pages (3378 words) — Published Apr 15, 2021
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

Following the publication of its increased West Texas Intermediate (WTI) price assumptions for 2021 and 2022, S&P Global Ratings is now projecting a material improvement in MEG Energy Corp.'s funds from operations (FFO)-to-debt ratios during its 2021-2022 forecast period. As a result of our improved financial risk profile assessment for the company, on April 15, 2021, S&P Global Ratings raised its long-term issuer credit rating on the company to 'B+' from 'CCC+'. At the same time, we also raised our ratings on MEG's second-lien debt and senior unsecured debt to 'BB' and 'BB-', respectively. The recovery ratings on the second-lien and senior unsecured debt are unchanged at '1' and '2', respectively. The stable outlook reflects S&P Global Ratings' expectations that

  
Brief Excerpt:

...- Following the publication of its increased West Texas Intermediate (WTI) price assumptions for 2021 and 2022, S&P Global Ratings is now projecting a material improvement in MEG Energy Corp.'s funds from operations (FFO)-to-debt ratios during its 2021-2022 forecast period. - As a result of our improved financial risk profile assessment for the company, on April 15, 2021, S&P Global Ratings raised its long-term issuer credit rating on the company to 'B+' from '###+'. - At the same time, we also raised our ratings on MEG's second-lien debt and senior unsecured debt to '##' and '##-', respectively. The recovery ratings on the second-lien and senior unsecured debt are unchanged at '1' and '2', respectively. - The stable outlook reflects S&P Global Ratings' expectations that MEG will generate a two-year average FFO-to-debt ratio above 20%....

  
Report Type:

Research Update

Ticker
557089Z@CN
Issuer
MEG Energy Corp.
GICS
Oil & Gas Exploration & Production (10102020)
Sector
Global Issuers
Country
Canada
Region
Canada
Format:
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable" Apr 15, 2021. Alacra Store. May 23, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-MEG-Energy-Corp-Upgraded-To-B-From-CCC-On-Improved-Financial-Forecasts-Outlook-Stable-2628553>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: MEG Energy Corp. Upgraded To 'B+' From 'CCC+' On Improved Financial Forecasts; Outlook Stable Apr 15, 2021. New York, NY: Alacra Store. Retrieved May 23, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-MEG-Energy-Corp-Upgraded-To-B-From-CCC-On-Improved-Financial-Forecasts-Outlook-Stable-2628553>
  
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