-- Canadian upstream energy company International Petroleum Tuesday reported a year-over-year decline in its hydrocarbon production in Q1, although corresponding sales rose due to higher commodity prices.
Oil and gas output averaged at 43.0 million barrels of oil equivalent per day in the quarter ended March 31, down from 44.4 mboe/d in the year-ago period.
Due to lower output from the company's southern assets in Canada, crude oil production dropped to 28.7 mboe/d from 29.7 mboe/d, and gas production fell to 14.3 mboe/d from 14.7 mboe/d.
Of this year's Q1 production, heavy crude oil accounted for 52%, light and medium crude 15%, and natural gas 33%, the company said.
During the same period, net sales of oil and gas grew to $206.5 million from the prior year's $202.0 million, due to higher sales in Malaysia and France.
International Petroleum said that it was "very well-placed" to benefit from the price increases brought about by the conflict in the Middle East, citing its strong operational performance and cost discipline.
It expects oil and gas net production for this year to range from 44 mboe/d to 47 mboe/d, in line with the original guidance.
Improved commodity pricing outlook also prompted the company to expand its 2026 capital expenditure program by an additional $41 million, it said.
The company also reported that the Blackrod Phase 1 development project in Canada achieved first steam injection in December 2025 and is targeted for first oil in Q3.