ARC Resources has spent more than three decades mastering one of North America’s most technically challenging—and rewarding—basins: the Montney. In their Q3 2025 earnings call, ARC made it abundantly clear that the Montney isn’t just another asset in the portfolio. It is the foundation of the company’s identity, cost structure, and long-term value creation strategy.
With record condensate production, multi-asset optionality, and a steady march toward LNG-indexed gas sales, the Montney is driving ARC’s next phase of disciplined growth. Here’s what you need to know.
A 30-Year Montney Specialist
ARC describes itself as a “30-year Montney specialist,” and that experience shows. Every strategic decision—from pad design to water handling and gas marketing—is built around the technical nuances of the Montney formation.
The company’s portfolio spans the full spectrum of Montney resource types:
- Kakwa – High-pressure, high-deliverability condensate Montney
- Attachie – Next-generation liquids-rich growth hub
- Greater Dawson – ARC’s stable Montney gas machine
- Sunrise – Large-scale dry gas Montney with premium market access
This diversified Montney footprint is the backbone of ARC’s 2026 plan to deliver 405,000–420,000 BOE/d—an 11% YoY increase.
Kakwa: The Montney Performance Benchmark
ARC’s Montney dominance begins at Kakwa, where the company set new records in Q3:
- 206,000 BOE/d production
- Industry-leading condensate yields
- Immediate upside from ARC’s latest asset acquisition
Kakwa is ARC’s most mature Montney asset and remains one of the most capital-efficient liquids programs in North America. Infrastructure improvements—especially on water handling and disposal—are designed to further lower operating costs and boost margins.
Attachie: The Next Major Montney Liquids Hub
Attachie was a major topic on the earnings call—and for good reason.
Q3 performance came in below expectations, driven by higher water cuts on one July pad. But ARC emphasized what matters most: condensate strength and long-term potential.
Key points:
- Q3 condensate averaged ~13,000 bbl/d
- 2026 condensate expected to rise to ~15,000 bbl/d
- Production stabilizing in the 30,000–35,000 BOE/d range
- Subsurface optimization underway on frac design and well spacing
Attachie remains a centerpiece of ARC’s Montney future, and the company is preparing for the long-awaited Phase 2 with early capital and data acquisition.
Greater Dawson & Sunrise: The Montney Gas Engines
Greater Dawson
ARC’s Dawson complex is the definition of Montney stability—long-life gas, low declines, and minimal sustaining capital. It forms the “base load” of ARC’s portfolio and keeps corporate decline rates low.
Sunrise
The dry-gas Sunrise area is where ARC’s marketing and transport strategy shines.
- ARC curtailed ~360 MMcf/d during weak AECO prices
- Restarted volumes when the market strengthened
- Realized Q3 gas price: $2.75/Mcf (vs AECO at $1/Mcf)
This flexibility only works when you control scale, processing, and pipeline access—something ARC has spent decades building across the Montney.
Montney Liquids + LNG Exposure = Structural Advantage
The Montney is one of the only basins where producers can generate:
- Top-tier condensate netbacks, and
- Premium global LNG-linked gas prices
Starting in 2026–2027, ARC will supply ~140 MMcf/d to Cheniere’s Corpus Christi Stage 3 at JKM-minus pricing, unlocking global exposure outside AECO.
This is a direct result of ARC’s Montney infrastructure, scale, and marketing capability.
Capital Discipline Anchored in the Montney
ARC’s 2026 capital plan (~$1.8–$1.9B) is overwhelmingly Montney-focused:
- ~80% well-related activity
- Attachie Phase 2 early work
- Kakwa/Dawson infrastructure and optimization
- Seismic across emerging Montney corridors
Even with production growth, the company expects to generate ~$1.5 billion in free cash flow in 2026—and return essentially all of it to shareholders through dividends and buybacks.
The Montney’s consistency is what makes this level of capital discipline possible.
Why the Montney Matters for the Future
ARC’s message is simple:
📌 The Montney is their moat.
📌 It’s where they win on geology, engineering, and marketing.
📌 It’s what allows them to outperform through cycles—with both growth and returns.
From record Kakwa condensate to Attachie optimization to Sunrise’s gas flexibility, the Montney is powering ARC’s transition into a higher-margin, LNG-connected, condensate-weighted growth company.
Two-Sentence Wrap-Up
ARC Resources made it clear that the Montney is the engine behind its 2026 growth plan, delivering scale, liquids-rich upside, and premium gas pricing options. With decades of Montney inventory and unmatched technical depth, ARC is positioning itself as one of North America’s most resilient and free cash flow–generating E&Ps.
