The Globe and Mail reports in its Thursday edition that efforts to streamline operations have helped Suncor Energy hit its debt target, triggering a commitment to pay out 100 per cent of excess funds to shareholders.
The Globe's Ian Bickis writes that the Alberta oil and gas giant has been working to make efficiency improvements across its sprawling network as it shifts focus to incremental gains over pricey expansion projects.
The efforts yielded upstream production of 829,000 barrels a day to mark its best third quarter ever, its highest ever refining throughput of 488,000 barrels a day and highest ever refined sales at 612,000 barrels a day.
"This is now back to back-to-back quarterly records," said chief executive Rich Kruger on an earnings call Wednesday.
Suncor's efforts to ease bottlenecks and cost improvements include everything from new maintenance techniques to its shift to bigger, autonomous trucks. They include spending $1-million to increase its base plant capacity to 100,000 barrels a day from 65,000, and spending $500,000 to increase Firebag production by between 6,000 and 10,000 barrels a day, with both creating upward of $100-million of additional free funds flow per year, Mr. Kruger said.
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