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Impairment Charges and Reversals (Tables)
 12 Months Ended
Dec. 31, 2021
Disclosure of impairment loss recognised or reversed for cash-generating unit [abstract]  
Summary of Impairment Losses and Estimated Recoverable Amounts
The following table summarizes impairment reversals recorded in 2021 and estimated recoverable amounts as at December 31, 2021, by CGU:
Cash-Generating UnitReversal of ImpairmentRecoverable Amount
Clearwater145427
Elmworth-Wapiti115747
Kaybob-Edson118837
Cash-Generating UnitImpairmentRecoverable Amount
Clearwater260160
Elmworth-Wapiti120259
Kaybob-Edson175384
Summary of Crude Oil, NGLs and Natural Gas Prices
Crude Oil, NGLs and Natural Gas Prices
The forward prices as at December 31, 2021, used to determine future cash flows from crude oil, NGLs and natural gas reserves were:
20222023202420252026Average Annual Increase Thereafter
West Texas Intermediate (US$/barrel)
72.8368.7866.7668.0969.452.00 %
Western Canadian Select (C$/barrel)
74.4369.1766.5467.8769.232.00 %
Edmonton C5+ (C$/barrel)
91.8585.5382.9884.6386.332.00 %
Alberta Energy Company Natural Gas (C$/Mcf) (1)
3.563.203.053.103.172.00 %
(1)      Assumes gas heating value of one million British thermal units per thousand cubic feet ("Mcf").
Crude Oil, NGLs and Natural Gas Prices
The forward prices as at December 31, 2020, used to determine future cash flows from crude oil, NGLs and natural gas reserves were:
20212022202320242025Average Annual Increase Thereafter
West Texas Intermediate (US$/barrel)
47.1750.1753.1754.9756.072.00 %
Western Canadian Select (C$/barrel)
44.6348.1852.1054.1055.192.00 %
Edmonton C5+ (C$/barrel)
59.2463.1967.3469.7771.182.00 %
Alberta Energy Company Natural Gas (C$/Mcf) (1)
2.882.802.712.752.802.00 %
(1)      Assumes gas heating value of one million British thermal units per Mcf.
Summary of Sensitivities
The sensitivity analysis below shows the impact that a change in the discount rate or forward commodity prices would have had on the calculated recoverable amount used in the impairment testing completed as at December 31, 2021, for the following CGUs:

Increase (Decrease) to Recoverable Amount (1)
Cash-Generating UnitOne Percent Increase in the Discount RateOne Percent Decrease in the Discount RateFive Percent Increase in the Forward Price EstimatesFive Percent Decrease in the Forward Price Estimates
Clearwater(13)1355(54)
Elmworth-Wapiti(27)2884(81)
Kaybob-Edson(26)2698(97)
(1)     The Company reversed the full amount of impairment losses at December 31, 2021. The changes to the recoverable amount noted in the sensitivities above would not have resulted in a change in the amount of the impairment reversal.
The sensitivity analysis below shows the impact that a change in the discount rate or forward commodity prices would have had on the calculated recoverable amount used in the impairment testing completed as at December 31, 2020 for the following CGUs:
Increase (Decrease) to Recoverable Amount
One Percent Increase in Discount RateOne Percent Decrease in Discount RateFive Percent Increase in the Forward Price EstimatesFive Percent Decrease in the Forward Price Estimates
Clearwater(5)652(97)
Elmworth-Wapiti(7)854(96)
Kaybob-Edson(13)1454(106)
The sensitivity analysis below shows the impact that a change in the discount rate or forward commodity prices would have had on the calculated recoverable amounts used in the impairment testing completed as at December 31, 2021, for the following CGUs:
Increase (Decrease) to Recoverable Amount
One Percent Increase in Discount RateOne Percent Decrease in Discount RateFive Percent Increase in the Forward Price EstimatesFive Percent Decrease in the Forward Price Estimates
Borger, Wood River and Lima CGUs(190)214 749 (754)
The sensitivity analysis below shows the impact that a change in the discount rate or forward commodity prices would have had on the calculated recoverable amount used in the impairment testing completed as at September 30, 2020 for the following CGU:
Increase (Decrease) to Recoverable Amount
One Percent Increase in Discount RateOne Percent Decrease in Discount RateFive Percent Increase in the Forward Price EstimatesFive Percent Decrease in the Forward Price Estimates
Borger(71)81263(264)
Summary of Crude Oil and Forward Crack Spreads
Forward prices are based on Management’s best estimate and corroborated with third-party data. As at December 31, 2021, the forward prices used to determine future cash flows were:
2022 to 20232024 to 2026
LowHigh LowHigh
West Texas Intermediate (US$/barrel)
68.7872.8366.7669.45
Differential WTI-WTS (US$/barrel)
—0.01(0.06)(0.06)
Differential WTI-WCS (US$/barrel)
13.5413.6713.7514.30
Chicago 3-2-1 Crack Spreads (WTI) (US$/barrel)
14.8718.4414.6816.81
Group 3 3-2-1 Crack Spreads (WTI) (US$/barrel)
15.3318.9714.8216.98
Crude Oil and Forward Crack Spreads
Forward prices are based on Management’s best estimate and corroborated with third-party data. As at September 30, 2020, the forward prices used to determine future cash flows were:
2021 to 20222023 to 2025
LowHigh LowHigh
West Texas Intermediate (US$/barrel)
36.3650.8449.6658.74
Differential WTI-WTS (US$/barrel)
0.371.731.211.81
Group 3 3-2-1 Crack Spreads (WTI) (US$/barrel)
11.5613.2311.7916.58