From The Chair & CEOFROM THE CHAIR & CEO

Producing safe, affordable, secure and reliable energy both profitably and sustainably is our powerful purpose. Our products fuel the world and make modern life possible. Oil, natural gas, and natural gas liquids are essential to every aspect of life: from healthcare and education to the clothes we wear, the food we eat, the mobility we cherish, and the electronic technologies we rely on every day. Without hydrocarbons we would be unable to produce the four materials that underpin every aspect of our civilization – cement, steel, plastics, and ammonia fertilizer*.

We recognize the importance of being a responsible operator focused on minimizing our impact on the environment and supporting the communities where we operate. At Ovintiv, we are committed to developing our resource efficiently and sustainably, while also generating durable returns for our shareholders.

We are proud of another year of strong performance and strategic execution in 2023. Our world-class team continued to drive shareholder value through execution excellence, finishing the year with strong net earnings and free cash flow while providing significant cash returns to shareholders. We enhanced our portfolio through the execution of a set of Permian Basin acquisitions which expanded our premium well inventory. Our culture of innovation continued to drive strong comprehensive results, creating efficiencies and boosting returns on capital invested.

Our team is united by a commitment to drive progress and improve lives. This drive, coupled with our values, pushes us to continually enhance our performance.

Our 2023 Sustainability Highlights

Delivering on Greenhouse Gas Emissions Reductions

We continued to deliver on our Scope 1 & 2 greenhouse gas (GHG) reduction target, with 2023 emissions intensity down 42% from 2019 levels. We are well on our way to achieving our target of reducing our Scope 1 & 2 GHG emissions intensity by 50% by 2030. Compensation for all our employees is directly tied to our progress in meeting this commitment, ensuring every team member is aligned to our continuous improvement. 

Supporting our Communities

We recently committed $10.2 million to local children’s hospitals in Denver, The Woodlands and Calgary. We also committed additional funds to Ronald McDonald House Charities and Inspiration Ranch to further support families going through difficult healthcare journeys. Our collaboration connects directly to our purpose of making modern life possible, and directly supports key programs and initiatives aimed at promoting health equity in pediatric medicine, enabling community-based approaches to enhance mental health and well-being, and fostering innovation. These partnerships highlight the importance our products play in modern healthcare and medical services.

Bolstering our Culture of Inclusion

We continued to look for new ways to promote and enhance our workplace with the goal of having an industry and a Company where everyone has access to the same opportunity set and feels welcome and valued. LINK, our employee resource group that invites all employees to come as equals and share diverse thoughts, perspectives and approaches, was awarded the 2023 ALLY Energy GRIT award for The Best Affinity Group. The award recognizes this group’s ongoing work on a just, equitable, diverse and inclusive culture in our workplace. We also continued outreach efforts across multiple levels within educational institutions to generate interest in energy careers and enhance the diversity of our talent pool.

Our Commitment to Strong Governance

We remain intentional about our Board refreshment process as we strive towards a balanced representation of tenure, age, background and perspective. In January 2024, we welcomed Board member Sippy Chhina, who adds deep technical accounting and energy industry expertise and diversity to our Board. To ensure directors can devote sufficient time and attention to Ovintiv Board responsibilities, we adopted a director Overboarding and Change in Circumstance Policy in 2023. We also updated our Insider Trading and Clawback Policies, setting high standards for strong corporate governance. 

Continued Focus on Safety

Safety is a foundational value at Ovintiv. In 2023 we undertook an extensive, Company-wide review of our safety practices by an internal Safety Advisory Task Force and commissioned an independent review conducted by a third party. As a result, strategic actions emerged and we developed new and updated existing programs and processes. We continue to embed these initiatives into our daily workflows and approach, remaining intensely focused on safety leadership and culture.  

Looking Ahead

We recognize the challenges which lie ahead of us as ongoing geopolitical disruption and economic uncertainty remain front of mind while the world looks to ensure access to safe, affordable, secure and reliable energy while lowering GHG emissions. We believe that fostering a culture of innovation, engaging with our external stakeholders and workforce, adhering to the highest standards of conduct, and setting measurable near-term targets supports the sustainability of our business and drives better corporate outcomes so that we can successfully navigate these challenges.  

We are proud of our continued progress and thankful for the hard work of our team, and the support of our communities and partners as we strive to fuel the world’s growing energy needs and ease energy poverty. We are united by a commitment to drive progress and improve lives and we trust that you will find the information on this website helpful in understanding this commitment. 

Peter Dea

Peter Dea
Chairman of the Board

Brendan McCracken

Brendan McCracken
President & Chief Executive Officer

*Vaclav Smil, How the World Really Works: The Science Behind How We Got Here and Where We’re Going, (Viking, 2022). Dr. Smil is a Distinguished Professor Emeritus in the Faculty of Environment at the University of Manitoba.