Page 5 - Suncor 360 - May-June 2015

NEWS
MacKay River
Oil Sands
Fort Hills
Syncrude
Base Plant
& Millennium
Fort McMurray
03
MAY/JUNE 2015
360
LITE
Q1 AT A GLANCE
Regional office Refining capacity
Operated
Non-operated
What happened across our operations...
By the numbers
602,400 barrels average daily oil production
$175 million operating earnings*
$1.475 billion cash flow from operations*
5.8 per cent return on capital employed*
Oil Sands
• Strong reliability contributed to record Oil Sands operations production of 440,400 barrels per day (bbls/d) and record synthetic crude oil production of 346,500 bbls/d.
• Firebag achieved record production of 188,700 bbls/d.
• Oil Sands operations reduced cash operating costs per barrel* to $28.40 for the quarter –
a 20 per cent reduction compared to Q1/2014.
• The 2015 capital budget in Oil Sands operations continues to be directed toward enhancing safety, reliability and environmental performance. First quarter spending supported ongoing well pad development that’s expected to maintain existing production levels at Firebag and MacKay River.
• Our share of Syncrude production of
35,200 bbls/d in Q1 2015 was comparable to last year’s Q1 production of 35,100 bbls/d.
E&P
• After achieving first oil last quarter, the Golden Eagle platform in the North Sea surpassed 11,000 boe/d (net) at the end of Q1/2015.
• In Q1, the U.K. government decreased the tax rate on North Sea oil and gas profits, decreasing the rate on Suncor’s U.K. earnings 62 to 50 per cent. This resulted in a deferred tax recovery of $406 million.
• Drilling activities continued on the South White Rose Extension project, with first oil expected in Q2/2015.
Refining & Marketing
• Refining and Marketing’s strong operating earnings* of $492 million despite the low price of crude oil affirmed the strength of our integrated model.
• Refinery crude throughput decreased slightly this quarter, resulting in an average refinery utilization of 95 per cent compared to
96 per cent in Q1/2014.
• Total sales increased to 519,700 bbls/d in Q1/2015, compared to 515,300 bbls/d in the same quarter last year due primarily to a smaller inventory build this year.
Major Projects
• Growth capital expenditures of
$402 million went primarily toward continued construction of the Fort Hills project as detailed engineering moves toward completion.
• At the end of Q1, detailed engineering activities at Fort Hills were approximately 75 per cent complete while construction activities were approximately 25 per cent complete. Fort Hills remains on schedule to begin production in late 2017.
• Construction of Hebron’s gravity-based structure and topsides continued in Q1, with first oil expected in late 2017.
360+
Get the full details on our quarterly financial and operating results and the corporate guidance at suncor.com > Latest Suncor News > Suncor Energy reports first quarter 2015 results
*Non-GAAP measure. See the Advisories section on P.1.
Firebag
St. John’s Montreal
Hibernia
White Rose
Golden Eagle
Buzzard Aberdeen
London
Edmonton Calgary
Denver / Sarnia
Terra Hebron Nova
United Kingdom
Commerce City
Houston
Mississauga
Head office Proposed
East Coast Canada
Norway
Beta Stavanger
Circles are scaled to relative net capacity
While lower crude oil prices continue to dampen our operating earnings* and cash flow from operations*, the first quarter of 2015 included some achievements worth celebrating – record production in our Oil Sands operations, higher Exploration and Production (E&P) production and strong refinery utilization.