Suncor Energy announces change to Syncrude turnaround timing and provides overall Suncor production update
March 14 2018 - 6:30AM
Suncor today announced that the Syncrude maintenance turnaround
originally scheduled to begin in April, will be moved up by
approximately one month.
On March 15, Syncrude plans to begin an eight-week turnaround,
which was originally scheduled to begin in April. Advancing the
turnaround will permit Syncrude to address an unrelated issue which
has been constraining capacity on a line that feeds bitumen from
the mine to the upgrader. Executing the turnaround and resolving
the line issue at the same time will make more efficient use of
resources and minimize the overall impact on production.
With the change in turnaround timing, Syncrude production for
the first quarter is expected to be reduced to approximately
140,000 barrels of oil per day (bbls/d), net to Suncor. However,
Syncrude’s forecasted production for the full year remains within
the annual guidance range.
Oil Sands operations production has benefited from reliable
operations at the Firebag and MacKay River in situ plants. However,
as discussed on the fourth quarter conference call, base plant
operations dealt with a significant, weather-related outage in
January, which will reduce first quarter production to
approximately 400,000 bbls/d. Base plant operations returned to
normal levels in February and are expected to remain at full rates
until the planned Upgrader 1 turnaround in the second
quarter.
Fort Hills ramp-up is progressing very well following the
start-up of the first secondary extraction train on January 27,
2018. First quarter production is expected to average approximately
25,000 bbls/d, net to Suncor.
Production from Exploration & Production (E&P) is
tracking above plan thanks to reliable offshore operations and the
accelerated ramp-up of production from Hebron. Total E&P
production for the first quarter is estimated at approximately
120,000 barrels of oil equivalent per day (boe/d).
Suncor expects total upstream production for the first quarter
to be approximately 685,000 boe/d and does not anticipate any
changes to its overall 2018 production guidance.
Legal Advisory – Forward-Looking
Information
This news release contains certain forward-looking information
and forward-looking statements (collectively referred to herein as
“forward-looking statements”) within the meaning of applicable
Canadian and U.S. securities laws. Forward-looking statements in
this news release include references to: the timing and duration of
the Syncrude turnaround; the expectation that advancing the
turnaround will permit Syncrude to address the issue which has been
constraining capacity on a line that feeds bitumen from the mine to
the upgrader; the expectation that executing the turnaround and
resolving the line issue at the same time will make more efficient
use of resources and minimize the overall impact on production;
Syncrude’s forecasted production for the full year remaining within
the annual guidance range; expected first quarter production from
Syncrude, Oil Sands operations, Fort Hills and E&P; the
expectation that base plant operations will remain at full rates
until the planned Upgrader 1 turnaround in the second quarter;
Suncor’s expectation for total upstream production for the first
quarter; and that changes to Suncor’s overall 2018 production
guidance are not anticipated. Forward-looking statements may be
identified by words like “will”, “plans”, “expected”, “estimated”,
“anticipate” and similar expressions.
Forward-looking statements are based on Suncor’s current
expectations, estimates, projections and assumptions that were made
by the company in light of its information available at the time
the statement was made and consider Suncor’s experience and its
perception of historical trends, including expectations and
assumptions concerning: the accuracy of reserves and resources
estimates; commodity prices and interest and foreign exchange
rates; the performance of assets and equipment; capital
efficiencies and cost savings; applicable laws and government
policies; future production rates; the sufficiency of budgeted
capital expenditures in carrying out planned activities; the
availability and cost of labour, services and infrastructure; the
satisfaction by third parties of their obligations to Suncor; the
execution of projects; and the receipt, in a timely manner, of
regulatory and third-party approvals.
Forward-looking statements are not guarantees of future
performance and involve a number of risks and uncertainties, some
that are similar to other oil and gas companies and some that are
unique to Suncor. Suncor’s actual results may differ materially
from those expressed or implied by its forward-looking statements,
so readers are cautioned not to place undue reliance on them.
Suncor’s Annual Report for the year ended December 31, 2017 and
its Annual Information Form and Form 40-F, each dated March 1,
2018, and other documents it files from time to time with
securities regulatory authorities describe the risks,
uncertainties, material assumptions and other factors that could
influence actual results and such factors are incorporated herein
by reference. Copies of these documents are available without
charge from Suncor at 150 6th Avenue S.W., Calgary, Alberta T2P
3E3; by email request to invest@suncor.com; by calling
1-800-558-9071; or by referring to suncor.com/FinancialReports or
to the company’s profile on SEDAR at sedar.com or EDGAR at sec.gov.
Except as required by applicable securities laws, Suncor disclaims
any intention or obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Suncor Energy is Canada's leading integrated energy company.
Suncor's operations include oil sands development and upgrading,
offshore oil and gas production, petroleum refining, and product
marketing under the Petro-Canada brand. A member of Dow Jones
Sustainability indexes, FTSE4Good and CDP, Suncor is working to
responsibly develop petroleum resources while also growing a
renewable energy portfolio. Suncor is listed on the UN Global
Compact 100 stock index. Suncor's common shares (symbol: SU) are
listed on the Toronto and New York stock exchanges.
For more information about Suncor, visit our web site at
suncor.com, follow us on Twitter @Suncor or together.suncor.com
Media inquiries:403-296-4000media@suncor.com
Investor inquiries:800-558-9071invest@suncor.com
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