Imperial Oil Limited (IMO) Covered Calls

Imperial Oil Limited covered calls Imperial Oil Limited is a major Canadian integrated energy company and a key subsidiary of ExxonMobil. It operates through Upstream, Downstream, and Chemical segments, engaging in every phase of the petroleum industry. Imperial is a lead producer of crude oil and natural gas, the largest petroleum refiner in Canada, and a major marketer of fuels and lubricants. The company focuses on maximizing the value of its oil sands assets while expanding into renewable diesel and low-carbon tech.

You can sell covered calls on Imperial Oil Limited to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for IMO (prices last updated Fri 4:16 PM ET):

Imperial Oil Limited (IMO) Stock Quote
Last Change Bid Ask Volume P/E Market Cap
119.76 +3.41 86.00 120.69 419K 21 119
Covered Calls For Imperial Oil Limited (IMO)
Expiration Strike Call Bid Net Debit Return
If Flat		 Annualized
Return If Flat
Feb 20 120 1.85 118.84 1.0% 45.6%
Mar 20 120 4.40 116.29 3.7% 37.5%
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Imperial Oil Limited (IMO) is one of Canada’s largest integrated oil companies and a primary subsidiary of ExxonMobil, which owns approximately 69.6% of the firm. By maintaining a presence across the entire energy value chain—from oil sands extraction to gas station pumps—Imperial achieves significant operational synergies and resilience against commodity price volatility. The company is currently executing a strategy of "profitable growth," focusing on high-margin production from its flagship Kearl and Cold Lake assets.

Core Business and Products

  1. Upstream: This segment includes the massive Kearl oil sands mining operation and the Cold Lake in-situ thermal project. In 2026, the company is targeting production of 441,000 to 460,000 barrels of oil equivalent per day. A key milestone for 2026 is the expansion of "Mahihkan SA-SAGD" technology at Cold Lake to enhance bitumen recovery while reducing steam requirements.
  2. Downstream: Imperial is Canada’s largest petroleum refiner, operating the Strathcona, Sarnia, and Nanticoke refineries. It markets products through a coast-to-coast network of Esso-branded stations. In early 2026, the company ramped up its landmark renewable diesel facility at the Strathcona refinery, capable of producing 20,000 barrels per day.
  3. Chemical: The company produces and markets polyethylene, solvents, and other petroleum-based chemicals at its Sarnia complex, primarily serving the plastics and industrial manufacturing sectors.

Competitive Landscape

The Canadian energy sector is a highly consolidated market where scale and integrated logistics define success. Imperial’s most direct peer and competitor is Suncor Energy, which shares a similar integrated model. In the upstream production arena, it competes with Canadian Natural Resources and Cenovus Energy. For midstream and infrastructure assets, it overlaps with Enbridge. As the company expands its renewable diesel and low-carbon initiatives, it increasingly aligns with or competes against energy infrastructure firms like TC Energy and diversified global operators such as Occidental Petroleum in the carbon capture space.

Strategic Outlook and Innovation

In 2026, Imperial is focusing on its "Corporate Roadmap," which includes a C$2.0 billion to C$2.2 billion capital budget aimed at structural cash flow increases. A major strategic shift this year is the accelerated cessation of production at the legacy Norman Wells field by Q3 2026, as the company reallocates capital to its more profitable oil sands operations. Innovation is driven by "Digital Transformation," utilizing AI-augmented drilling and real-time mine optimization at Kearl to reach a long-term goal of 300,000 barrels per day. Imperial is also a leading member of the "Pathways Alliance," working toward net-zero emissions from oil sands operations through large-scale carbon capture projects. Financially, the company remains a "Dividend Aristocrat," announcing a significant 20% dividend increase in Q1 2026 to C$0.87 per share, reflecting a fortress balance sheet and a commitment to returning excess cash to shareholders through both dividends and its robust share buyback program.