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Released August 08, 2022 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Canada's Suncor Energy Incorporated (NYSE:SU) has increased its capital expenditure (capex) budget for 2022, to between C$4.9 billion (US$3.7 billion) and C$5.2 billion (US$4 billion), up from C$4.7 billion (US$3.6 billion)--the majority of which is allocated for its upstream oil sands business. The jump reflects inflationary pressures, the restart of its West White Rose oil project, and increased spend during turnarounds and maintenance, the company said in its recent second-quarter earnings press release. Industrial Info is tracking US$18.7 billion worth of active projects from Suncor.
Suncor increased its "working interest" in the West White Rose project, an expansion of Canada's White Rose oilfield, after reviving the project that it co-owns with Cenovus Energy Incorporated (NYSE:CVE) (Calgary, Alberta). The project was put on hold amid the COVID-19 pandemic. Suncor's interest in the asset jumped from 27.5% to 40%, and also in the project, from 26.1% to 38.6%. Subscribers to Industrial Info's Global Market Intelligence (GMI) Production Project Database can click here for the project report.
For more information, see Industrial Info's June 1, 2022, article - Cenovus Revives White Rose Offshore Project as Oil & Gas Demand Skyrockets.
About C$3.4 billion (US$2.6 billion) of the capex is allocated for its upstream oil sands business, and Suncor predicts full-year 2022 production from those operations will account for between 395,000 and 415,000 barrels per day (BBL/d) of the total production guidance of between 740,000 and 760,000 BBL/d.
Suncor is expanding its Mildred Lake North oil sands mine in Alberta, near Fort McMurray--which is home to Suncor's synthetic crude oil production--to sustain bitumen production levels and extend the life of the mine by 14 years. Reserves are estimated to be depleted in or about 2023. The extension project, MLX-West, is scheduled to be completed in the first half of 2025. If the expansion project proves economically successful, a second extension (MLX-East) could be undertaken in the eastern section of the mine.
The overall extension faced substantial delays due to the COVID-19 pandemic, which contributed to the decision to split it into two separate projects. The project is owned by Syncrude Canada Limited, Suncor's joint venture with Imperial Oil Limited (Calgary), China Petroleum & Chemical Corporation (Sinopec) (Beijing) and China National Offshore Oil Corporation (CNOOC). Syncrude is the largest single producer of synthetic crude oil in Canada.
Subscribers can click here for the MLX-West project report and here for the MLX-East project report.
Meanwhile, a 2022 maintenance turnaround of the 150,000-BBL/d extraction mill at the Mildred Lake site kicked off in April and is expected to be completed in October. The turnaround includes a five-to-seven-week shutdown in the fall. Click here for the project report.
Suncor's expansions at its Lewis and Firebag oil sands facilities in Alberta are in the planning stage. The Stage 5 expansion at Firebag is expected to kick off in second-quarter 2023. Subscribers can click here for related project reports.
The company reported C$3.8 billion (US$2.9 billion) in adjusted operating earnings for the second quarter, compared with C$722 million (US$557 million) in second-quarter 2021, "primarily due to significantly higher crude oil and refined product realizations reflecting the improved business environment in the current quarter, combined with higher upstream production and refinery throughput," according to the second-quarter earnings press release.
Suncor expects its overall refining throughput in 2022 to reach between 430,000 and 445,000 BBL/d, and refining utilization to reach between 92% and 96%, up from 415,500 BBL/d and 89%, respectively, in 2021.
The company is at work on a coke boiler replacement at its Fort McMurray Upgrader, which involves replacing three coke-fired boilers with two natural gas-fired cogeneration units, to supply the 140,000-BBL/d facility with 700 megawatts (MW) of power and steam at a lower cost. The completion is expected in September 2023.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in the article, and click here for a list of related plant profiles.
Click here for a full list of detailed project reports from Suncor.
Industrial Info Resources (IIR) is the world's leading provider of market intelligence across the upstream, midstream and downstream energy markets and all other major industrial markets. IIR's Global Market Intelligence Platform (GMI) supports our end-users across their core businesses, and helps them connect trends across multiple markets with access to real, qualified and validated project opportunities. Follow IIR on: LinkedIn.
Suncor increased its "working interest" in the West White Rose project, an expansion of Canada's White Rose oilfield, after reviving the project that it co-owns with Cenovus Energy Incorporated (NYSE:CVE) (Calgary, Alberta). The project was put on hold amid the COVID-19 pandemic. Suncor's interest in the asset jumped from 27.5% to 40%, and also in the project, from 26.1% to 38.6%. Subscribers to Industrial Info's Global Market Intelligence (GMI) Production Project Database can click here for the project report.
For more information, see Industrial Info's June 1, 2022, article - Cenovus Revives White Rose Offshore Project as Oil & Gas Demand Skyrockets.
About C$3.4 billion (US$2.6 billion) of the capex is allocated for its upstream oil sands business, and Suncor predicts full-year 2022 production from those operations will account for between 395,000 and 415,000 barrels per day (BBL/d) of the total production guidance of between 740,000 and 760,000 BBL/d.
Suncor is expanding its Mildred Lake North oil sands mine in Alberta, near Fort McMurray--which is home to Suncor's synthetic crude oil production--to sustain bitumen production levels and extend the life of the mine by 14 years. Reserves are estimated to be depleted in or about 2023. The extension project, MLX-West, is scheduled to be completed in the first half of 2025. If the expansion project proves economically successful, a second extension (MLX-East) could be undertaken in the eastern section of the mine.
The overall extension faced substantial delays due to the COVID-19 pandemic, which contributed to the decision to split it into two separate projects. The project is owned by Syncrude Canada Limited, Suncor's joint venture with Imperial Oil Limited (Calgary), China Petroleum & Chemical Corporation (Sinopec) (Beijing) and China National Offshore Oil Corporation (CNOOC). Syncrude is the largest single producer of synthetic crude oil in Canada.
Subscribers can click here for the MLX-West project report and here for the MLX-East project report.
Meanwhile, a 2022 maintenance turnaround of the 150,000-BBL/d extraction mill at the Mildred Lake site kicked off in April and is expected to be completed in October. The turnaround includes a five-to-seven-week shutdown in the fall. Click here for the project report.
Suncor's expansions at its Lewis and Firebag oil sands facilities in Alberta are in the planning stage. The Stage 5 expansion at Firebag is expected to kick off in second-quarter 2023. Subscribers can click here for related project reports.
The company reported C$3.8 billion (US$2.9 billion) in adjusted operating earnings for the second quarter, compared with C$722 million (US$557 million) in second-quarter 2021, "primarily due to significantly higher crude oil and refined product realizations reflecting the improved business environment in the current quarter, combined with higher upstream production and refinery throughput," according to the second-quarter earnings press release.
Suncor expects its overall refining throughput in 2022 to reach between 430,000 and 445,000 BBL/d, and refining utilization to reach between 92% and 96%, up from 415,500 BBL/d and 89%, respectively, in 2021.
The company is at work on a coke boiler replacement at its Fort McMurray Upgrader, which involves replacing three coke-fired boilers with two natural gas-fired cogeneration units, to supply the 140,000-BBL/d facility with 700 megawatts (MW) of power and steam at a lower cost. The completion is expected in September 2023.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in the article, and click here for a list of related plant profiles.
Click here for a full list of detailed project reports from Suncor.
Industrial Info Resources (IIR) is the world's leading provider of market intelligence across the upstream, midstream and downstream energy markets and all other major industrial markets. IIR's Global Market Intelligence Platform (GMI) supports our end-users across their core businesses, and helps them connect trends across multiple markets with access to real, qualified and validated project opportunities. Follow IIR on: LinkedIn.
