Cenovus CEO says cost cutting after MEG deal will ensure long-term jobs

Jon McKenzie, President and CEO of Cenovus Energy speaks as they mark 20 years of production at the White Rose field and the approaching completion of the West West White Rose Project with an event at The Rooms in St. John's, Wednesday, Nov. 26, 2025. THE CANADIAN PRESS/Paul Daly

ST. JOHN’S — The chief executive of oilsands giant Cenovus Energy Inc. says moves to reduce costs after acquiring MEG Energy Corp. will ensure long-term jobs stay with the company.

Jon McKenzie was asked by reporters in St. John’s about expected layoffs now that the $8.6-billion transaction has closed.

He said “rationalization” is to be expected in any major deal and that “on a grander scale, it’s fairly small” in the case of the MEG purchase.

McKenzie adds that anything that brings efficiency is going to make the company more competitive and ensure employment for the long run.

Cenovus and MEG had side-by-side oilsands projects south of Fort McMurray, Alta., at Christina Lake and have said joining forces would create annual cost savings and efficiencies of $400 million in 2028.

McKenzie was in St. John’s to mark 20 years of production at the offshore White Rose field and the approaching completion of the West White Rose expansion project.

This report by The Canadian Press was first published Nov. 26, 2025.