Established on one of the largest petroleum reserves in the world, Obsidian Energy is one of the leading oil and natural gas companies in Canada to date. Obsidian Energy was founded in 2005 in Calgary, Canada. The company has been one of the sixty largest companies on the Toronto Stock Exchange. More widely known for its Previous names Penn West Exploration Ltd, Penn West Petroleum, and Penn West Trust, Obsidian Energy has been flexible throughout the unforgiving, and unpredictable markets of Crude Oil and Natural Energy.
In 2014 Crude oil prices fell drastically, causing Obsidian Energy to suffer financial and operational difficulties. Even though the company was presented with many obstacles, it did not stop production and productivity. In response to the market crisis the company’s CEO David E. French and the companies’ shareholders came up with a plan to keep the Natural gas and Crude oil business successful. Their plan would prove to continue the company’s success even during unsuccessful times of the market. The company’s shareholders voted 92 percent in 2017 to change the name from Penn West, to Obsidian Energy.
The name Obsidian was chosen because the CEO of the company says that obsidian is a naturally occurring volcanic glass that can be sharpened and honed, just as their company has been. The company’s CEO showed further endurance during unpredictable changes with the company’s new name. Due to the many slight changes in the company and selling assets to decrease debt collected in the 2014 market depreciation; the company has been able to be triumphant and thrive through an ever-changing crude oil market.
Over the years, Obsidian Energy has decreased their debt drastically from a whopping $3-billion dollar at the end of 2013, to $384-million dollars as of March 2017. By decreasing production to 28,000 barrels of oil equivalent per day from 135,000 and reducing its employee count to 300, Obsidian Energy has minimized its expenses and maximized its productivity. View Related Info Here.