Suncor Energy announced today that one of its two upgraders (U2) at its oil sands facility will be taken offline for unplanned maintenance due to a U2 fractionator performance issue.
Suncor Energy Mining News
Suncor Energy Inc. recorded fourth quarter 2011 net earnings of $1.427 billion ($0.91 per common share), compared to net earnings of $1.286 billion ($0.82 per common share) for the fourth quarter of 2010.
Weak manufacturing data from China and a US economy deemed to have "significant downside risk," saw benchmark North American crude futures drop more than $5 to just above $80 a barrel, bringing the discount to international oil prices to more than $25. The biggest oil sands player, Suncor Energy (TSE.SU), tumbled 6.8% to C$26.21 on the Toronto Stock Exchange, bringing its year to date losses to more than 30%. Canadian heavy oil – all of which goes to the US – sells for $15 less than US crude, meaning oil sands developers have to deal with an effective oil price of $60-$70 a barrel that puts at risk many of the $100 billion of projects on the go in Alberta.
Canada’s most valuable oil companies Suncor and Canadian Natural Resource – together worth over $100bn – were trading down over 3% on Thursday before recovering some ground following news that 2m barrels of oil per day - equal to Canada's total daily exports to the US – will be released onto the market over the next month. The International Energy Agency said 28 of its members, with the US providing about half of the total, would tap their strategic oil reserves in an effort to make up for lost output as Libya's civil war drags on.
Canada’s biggest energy firm and the largest oil sands outfit Suncor Energy Inc. (SU - Analyst Report) has been a Zacks #1 Rank (Strong Buy) stock since May 17, 2011. The independent energy exploration and production company has seen its estimates move up following its robust first quarter results in early May. Suncor’s attractive fundamentals, positive outlook, and the recent optimism about economic recovery have inspired this bullishness.
Daily Oil Bulletin reports Canada's total proved oil and liquids reserves continued to climb in 2010, rising to just under 22bn barrels, up 6.6% from year end 2009. About 77% of the booked reserves came from Alberta's oil sands. The news comes as Canada’s oil sands are coming under increased scrutiny: the Vancouver Sun reported on Monday that the federal government deliberately excluded data indicating a 20% increase in annual pollution from the oil sands industry in a report to the UN. Last week during Congressional hearings it was revealed that the oils sands are poised to become the number one source of crude for the US.
Once considered too expensive and damaging to the land, exploitation of Canada’s oil sands is now a venture worth billions. The country has proven oil reserves of more than 170 billion barrels—second only to those in Saudi Arabia. Much […]
VANCOUVER, BRITISH COLUMBIA–(Marketwire – May 6, 2008) – Finning International Inc. ("Finning") (TSX:FTT) announced today that its Canadian division, Finning (Canada), has secured a major mining equipment and support services deal with Suncor Energy Inc. […]