National Post

SUPPLIERS

ENERGY

- Da n He aling

ONTARIO OPEN TO GETTING ITS RECREATION­AL CANNABIS FROM PRODUCERS BIG AND SMALL.

CALGARY• The retiring CEO of Pengrowth Energy Corp. says Canadian oil and gas leaders have been too “shy” to speak out in support of their industry and he plans to help fill that vacuum as he leaves the job he’s held since 2009.

The disconnect between average Canadians and the industry in terms of pipeline and drilling technology safety, and their inability to see how importing oil hurts domestic producers, can in part be blamed on the inaction of industry leaders, said Derek Evans. He blames himself as much as anyone.

“I think we’ve got far too many engineers and accountant­s running oil and gas companies that don’t feel we need to stand up,” the 61- year- old said in an interview.

“We need to create a real dialogue. That’s one of my hopes as we drive forward. … I just don’t think we’ve given it enough of a shot.”

Pengrowth announced Tuesday that Evans, trained as a mining engineer, would be replaced by oilsands veteran Pete Sametz, a mechanical engineer and former i nterim CEO of oilsands producer Connacher Oil and Gas Ltd.

Evans said he will adopt an advisory role during the CEO transition, then take a few months off before looking into an as-yet-undefined way that he can become an advocate for the oil and gas industry.

He said his time at Pengrowth since taking over as CEO from founder Jim Kinnear was a “roller coaster” with more than $2 billion in oil and gas acquisitio­ns in the first three or four years while oil prices were strong and about the same amount in asset sales over the next few years to pay down debt as oil prices plunged.

The dramatic size changes are reflected in the space it occupies in a downtown office tower — varying from 12 floors and more than 1,000 staff in 2012 to nine floors and 560 staff in 2016.

Evans said the firm’ s workforce is slated to fall from about 175 now to about 125 people by mid- year as it completes paperwork involved in a series of asset sales last year and pares workers who aren’t needed for developmen­t of its two main projects. The workers are all expected to fit on one floor.

In January, the company announced a 2018 capital expenditur­e budget of $65 million to grow from 19,000 barrels of oil equivalent per day to about 23,000 boe/d.

Evans said he feels his job is done and its appropriat­e that someone else take the helm.

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