Feb 20 (Reuters) - Canadian oil and gas producer Cenovus

Energy ( CVE ) posted a fall in fourth-quarter profit on

Thursday, as lower commodity prices and weak refining margins

offset higher production.

Average Brent crude futures fell 3% in 2024, as

major consumer China's economy remained weak and the OPEC+

producer group postponed planned supply increases and extended

deep output cuts to the end of 2026 in a sign of weak demand.

Refiners globally have seen a drop in profitability as

margins return to normal levels after a period of extraordinary

gains that were driven by sanctions on major producer Russia

over its invasion of Ukraine.

However, Cenovus said its total upstream production rose

slightly to 816,000 barrels of oil equivalent per day (boepd) in

the quarter, from 808,600 boepd a year earlier.

Total refining throughput for the fourth quarter was 666,700

barrels (bbl) per day, compared with 579,100 bbl per day a year

ago.

The Calgary, Alberta-based company's net income fell to

C$146 million ($102.78 million), or 7 Canadian per share, in the

three months ended December 31, from C$743 million, or 32

Canadian cents per share, a year earlier.

($1 = 1.4205 Canadian dollars)

(Reporting by Vallari Srivastava in Bengaluru; Editing by

Devika Syamnath)