In contrast to its peer Pengrowth Energy (PGHEF), the debt of the Canadian thermal oil producer Athabasca Oil (ATHOF) doesn't represent an immediate threat. Besides, Athabasca's third-quarter results show the company can sustain the currently challenging Canadian oil and gas environment for several years.
With this context, management announced its intention to implement a share buyback program. Yet, despite Athabasca's moderate leverage, the company should address its debt instead of buying back shares.
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Note: All the numbers in the article are in Canadian dollars unless otherwise