Penn West says falling crude price no threat to dividend

Wed Nov 5, 2014 11:18am EST
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CALGARY, Alberta Nov 5 (Reuters) - Penn West Petroleum Ltd said on Wednesday it can maintain its dividend and fund its capital spending program despite falling crude oil prices.

The company, one of Canada's largest conventional crude oil producers, said the C$225 million($197.4 million) it pays out annually to shareholders represents just a fourth of its expected cash flow.

Penn West declared a fourth-quarter dividend of 14 Canadian cents per share on Wednesday, payable to shareholders as of Dec 31. (1 US dollar = 1.1400 Canadian dollar) (Reporting by Scott Haggett; Editing by Chizu Nomiyama)