Canadian Natural Resources Hits Q4 Record 1.659M BOE/d Production, Raises Dividend 6%
Canadian Natural Resources reported record Q4 production of 1,659,000 BOE/d and liquids output of 1,215,000 bbl/d, oil sands costs at CAD 21.84/bbl. Full-year 2025 saw production rise 15% to 1,571,000 BOE/d, proved reserves hit 15.9 billion BOE (+4%) and dividends increased 6% to CAD 0.52 with free cash flow targets.
1. Q4 Production and Costs
In Q4, Canadian Natural recorded production of 1,659,000 BOE per day and liquids output of 1,215,000 barrels per day, up 12% year-over-year. Oil sands mining and upgrading production reached 620,000 bpd with 105% upgrader utilization at operating costs of CAD 21.84 per barrel; primary heavy crude output grew 11% with costs down 8% to CAD 16.68 per barrel.
2. Full-Year Production and Reserve Growth
In 2025, total production reached 1,571,000 BOE per day, a 15% increase over 2024, while the company achieved its lowest total recordable injury frequency on record. Proved reserves climbed 4% to 15.9 billion BOE and proved-plus-probable reserves rose 3% to 20.75 billion BOE, with a 218% reserve replacement ratio on a proved basis.
3. 2025 Financial Performance and Returns
Adjusted net earnings for 2025 were CAD 7.4 billion (CAD 3.56 per share) and adjusted funds flow reached CAD 15.5 billion (CAD 7.39 per share). Net debt fell by CAD 2.7 billion to CAD 16 billion, while CAD 9 billion was returned to shareholders through CAD 4.9 billion in dividends and CAD 1.4 billion in share repurchases.
4. Dividend Increase and Free Cash Flow Policy Update
The board approved a 6% quarterly dividend increase, lifting the annualized rate to CAD 0.52 per share, marking 26 consecutive years of increases. Free cash flow allocation thresholds were adjusted to return 75% of forward-looking free cash flow when net debt is below CAD 16 billion and 100% when it reaches CAD 13 billion.