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Home Energy Company News By Charles Kennedy - Oct 29, 2026, 4:28 PM CDT Canadian oil and gas producer Whitecap Resources (TSX: WCP) reported a nearly 60% increase in third-quarter profit as elevated crude prices boosted earnings, while a proposed federal tax incentive could generate an additional C$400 million ($286 million) in free cash flow next year. According to its third-quarter earnings release , net income rose to C$326.4 million, compared with C$204.2 million a year earlier. Revenue jumped 45% to C$2.41 billion, while quarterly free funds flow reached C$640 million.
Production averaged 390,720 barrels of oil equivalent per day (boepd), prompting Whitecap to raise its full-year output guidance for the third time in 2026 to 392,000 boepd. The company also increased its annual capital spending budget by C$100 million to approximately C$2.2 billion. However, the biggest potential boost could come from Ottawa.
Prime Minister Mark Carney's proposed Productivity Mega Deduction would allow companies to immediately deduct 100% of qualifying capital investments, substantially accelerating tax savings. If enacted, Whitecap expects the measure to increase its projected 2027 free funds flow from C$2.1 billion to C$2.5 billion, based on current commodity-price assumptions. The company is considering enhanced oil recovery investments but plans to remain disciplined with its surplus cash.
As previously reported by Oilprice.com , Whitecap completed a C$15 billion merger with Veren in 2025, creating one of Canada's largest light oil and condensate producers. Whitecap now expects condensate production to increase by 10%–15% in 2027, supported by investments in its Montney and Duvernay assets. Meanwhile, net debt has fallen by C$1.3 billion since the end of 2025, with the company prioritizing financial flexibility over aggressive expansion.
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