|Traded as||TSX: HSE
S&P/TSX 60 component
|Industry||Oil and gas|
|Founded||1938 as Husky Refining Company|
|Headquarters||Calgary, Alberta, Canada|
|Asim Ghosh, President & CEO, Li Ka-Shing|
|Products||Oil, natural gas, asphalt, associated products ,|
|Revenue||$24.1 billion, net of royalties (2014)|
Number of employees
Husky Energy Inc. is one of Canada’s largest integrated energy companies, headquartered in Calgary, Alberta. Its common shares are publicly traded on the Toronto Stock Exchange under the symbol HSE. The Company operates in Western and Atlantic Canada, the United States and the Asia Pacific Region, with Upstream and Downstream business segments. Husky Energy is controlled by Hong Kong billionaire Li Ka-Shing who owns a majority share of approximately 70% according to Bloomberg and Financial Post data.
Husky's foundation is in Heavy Oil and Western Canada, where it has conventional oil and natural gas assets, significant heavy oil production and downstream operations, including refineries, upgrading facilities and pipelines. The Company is pursuing three growth pillars in the Asia Pacific Region, the Oil Sands and the Atlantic Region.
Husky also has a portfolio of oil sands leases, encompassing some 2,500 square kilometres in the Fort McMurray region of northern Alberta. Its Sunrise Energy Project commenced steaming operations in late 2014.
In the Atlantic Region, off Canada's East Coast, the company holds interests in 20 exploration licenses and producing properties at Terra Nova and White Rose. In the United States, the company owns a refinery in Lima, Ohio and holds a 50 percent ownership interest with BP in a refinery at Toledo, Ohio. The company employs approximately 5,700 people (as of 2014), has approximately $38.8 billion in assets and produced an average of 340,000 barrels of oil equivalent per day in 2014, making it one of Canada's largest energy companies.
Assets and holdings
At 2014 year-end, Husky Energy had total proved reserves before royalties of 1.3 billion boe, probable reserves of 1.9 billion boe and best estimate contingent resources of 14.8 billion boe. In 2014 its reserves replacement ratio over the past four years was 157 percent (143 percent including economic factors). It owns approximately 490 retail stations in Canada.
Husky holds property and/or mineral rights to some 5.2 million developed acres (21,200 km²) in Western Canada.
Husky holds offshore properties. It is the operator of the White Rose project and partner in the Terra Nova project in the Jeanne d'Arc Basin off Newfoundland. Two new oil fields in at Bay du Nord and Harpoon in the Flemish Pass were discovered in 2013 with partner Statoil, near the previously announced Mizzen field.
The company also owns a 40% interest in the Wenchang project offshore China, located near the mouth of the Pearl River. The remaining 60 percent of the project is owned by the Chinese National Offshore Oil Corporation (CNOOC). Husky is advancing its two planned shallow water developments offshore Indonesia in the Madura Strait. It is evaluating a fourth natural gas discovery made in the vicinity of its MDA/MBH fields.
In terms of refined products facilities, Husky owns and operates the Lloydminster Heavy Oil Upgrader in Lloydminster, Saskatchewan, the Asphalt Refinery in Lloydminster, Alberta, the Prince George Refinery in Prince George, British Columbia, the Lima Refinery in Lima, Ohio and is a 50 percent owner with BP of a refinery in Toledo, Ohio. Husky also operates the Husky Lloydminster Ethanol Plant and the Minnedosa Ethanol Plant.
A substantial portion of Husky's property and operations base has come from its acquisition of Renaissance Energy. In 2003, it also purchased the Canadian unit of the American-based Marathon Oil Corporation.
Now a publicly traded Canadian company with global interests, Husky Energy was originally founded in 1938 in Cody, Wyoming, in the United States, as the Husky Refining Company. Its primary founder was Glenn Nielsen. The first refinery was built in Cody, with a second constructed later in Riverton, Wyoming. In 1946, the Riverton refinery was moved to Lloydminster, Alberta, Canada, to take advantage of the expanding asphalt and heavy oil opportunities in the area. A wholly owned subsidiary, Husky Oil and Refining Ltd., was created and headquartered in Calgary, Alberta, Canada. The Cody refinery continued operations well into the 1970s, producing primarily asphalt. In the late 1980s and early 1990s, there were periodic rumors floating around Cody that the refinery would be reopened by a variety of different companies. One of the more persistent rumors was the impending purchase and reactivation of the refinery by Flying J. This never happened, however, and the entire refinery was finally razed in the late 1990s.
Husky Energy's operations are divided into two business segments: Upstream and Downstream.
The Upstream division focuses on oil and gas exploration and extraction. In addition to its existing producing assets and opportunities in Heavy Oil and Western Canada, the company has identified three pillars for future growth: the Asia Pacific Region, the Oil Sands and the Atlantic Region.
In the Asia Pacific Region, Husky’s Liwan Gas Project in the South China Sea began production in 2014. Wenchang, located off China's Pearl River and run jointly with CNOOC. Husky is advancing its two planned shallow water developments offshore Indonesia in the Madura Strait. It is evaluating a fourth natural gas discovery made in the vicinity of its MDA/MBH fields.
Husky has a portfolio of oil sands leases, encompassing some 2,500 square kilometres in the Fort McMurray region of northern Alberta. Its Sunrise Energy Project commenced steam operations in late 2014.
Because some 80% of Alberta's oil sands are too far below the surface for standard mining and drilling procedures to access, Husky is using Steam Assisted Gravity Drainage technology at Sunrise, where bitumen is heated with steam to reduce its viscosity. When the liquid becomes more fluid, it is pumped to the surface and back to the central facility. After the bitumen is recovered, it will be subjected to a process by which useful oil will be extracted.
The company's Tucker Oil Sands Project began producing in 2006.
Costing $2.35 billion Canadian and starting operation in November 2005, the White Rose project (located off Newfoundland in the Jeanne d'Arc Basin) is anticipated to recover over 600 million barrels (95,000,000 m3) of oil. Two new oil fields in at Bay du Nord and Harpoon in the Flemish Pass were discovered in 2013 with partner Statoil, near the previously announced Mizzen field.
Husky Energy incorporates the use of ethanol in some of its gasoline fuel products.
In December 2009, Husky Energy announced that it has entered into an agreement with Suncor Energy Inc. and Suncor Energy Products Inc. to purchase 98 retail outlets in the Ontario market. Husky acquired 68 stations that were branded Sunoco and 30 stations that were branded Petro-Canada.
Current members of the board of directors of Husky Energy are: Stephen Bradley, Canning Fok, Asim Ghosh, Martin Glynn, Poh Chan Koh, Eva Kwok, Stanley Kwok, Victor Li, Frederick Ma, George Magnus, Neil McGee, Colin Russel, Wayne Shaw, William Shurniak, and Frank Sixt.
Tommy Douglas served as a director of Husky Oil after his retirement from politics.
The current Chief Executive Officer and President of Husky is Asim Ghosh. Ghosh assumed the role of CEO and President in June 2010, taking over the position from John C.S. Lau, who had served as the CEO since 1993.
- Husky 2010 Annual Report. , accessed July 22, 2011
- "2014 Financial Statements". http://www.huskyenergy.com/downloads/investorrelations/2015/FinancialStatements2014.pdf.
- "2014 Annual Information Form". http://www.huskyenergy.com/downloads/investorrelations/2015/AnnualInfoForm2014.pdf.
- Rebecca Penty (November 1, 2012). "Husky Profit Rises on Refining Margin as Production Falls". Bloomberg.
- Financial Post: "Husky needs to avoid government's teeth"
- McGill Canadian Corporate Reports: "Company Detail Husky Oil Ltd."
- "Husky Energy Brings Second Liwan Gas Field Onto Production". Husky Energy. Retrieved 24 February 2015.
- "Husky Energy Begins Steam Operations at Sunrise Energy Project". Husky Energy. Retrieved 24 February 2015.
- "Husky Energy's 2015 Update / 2014 Fourth Quarter and Annual Results". Husky Energy. Retrieved 24 February 2015.
- "Husky Energy's 2014 Reserves Replacement Outpaces Production". http://www.huskyenergy.com/news/release.asp?release_id=1928574.
- Husky Energy Announces Expansion of Retail Network
- Husky Energy Corporate Information, "Husky Energy Appoints New President and Chief Executive Officer", May 21, 2010, accessed July 19, 2011.