Calgary-based Suncor Energy is reporting net earnings of $1.47 billion, or 93 cents per common share, in the first quarter of this year.
That compares to net earnings of $789 million, or 48 cents per common share, in the prior year quarter.
In a news release, the company said funds from operations were $2.585 billion ($1.64 per common share) in the first quarter of 2019 compared to $2.164 billion ($1.32 per common share) in the prior year quarter.
“Total oil sands production was 657,200 barrels per day (bbls/d), compared to 571,700 bbls/d in the prior year quarter. Increased production from the ramp up at Fort Hills and improved Syncrude asset utilization of 90 per cent more than offset the impact of mandatory production curtailments implemented by the government of Alberta,” it said.
Oil sands operations achieved 98 per cent upgrader utilization and synthetic crude oil production of 341,200 bbls/d, despite the impact of mandatory production curtailments on bitumen production. Hebron production in the first quarter increased to 18,300 bbls/d, net to the company, and is continuing to ramp up following the completion of the fifth production well during the quarter. First oil was achieved ahead of schedule at the Oda project offshore Norway in the first quarter of 2019.”
Suncor said it distributed $662 million in dividends to shareholders and repurchased $514 million of common shares in the first quarter of 2019.
It said its total upstream production was 764,300 barrels of oil equivalent per day (boe/d) during the first quarter of 2019, compared to 689,400 boe/d in the prior year quarter, with the increase primarily due to the ramp up of Fort Hills production, improved asset reliability at Syncrude and the Hebron ramp up. This was partially offset by the impact of mandatory production curtailments in the province of Alberta, which took effect at the beginning of the year, it added.
“Our upgraders achieved strong reliability throughout the first quarter and our refining business generated record funds from operations, illustrating the resiliency of Suncor’s cash flow and operational flexibility when broader industry challenges exist,” said Mark Little, president and chief operating officer.
– Mario Toneguzzi for Calgary’s Business