This article appears in the June edition of the Financial Post Magazine. Visit the iTunes store to download the iPad edition of this month’s issue.
Nearly one year after taking the helm of Suncor Energy Inc., Steve Williams delivered a humble message to shareholders at the company’s annual meeting in Calgary.
CALGARY – Suncor Energy Inc. is not looking to increase its stake in the Syncrude Canada Ltd. oilsands mining joint venture beyond its latest expansion.
“We have no explicit ambition to expand our interest in Syncrude,” Suncor president and CEO Steve Williams said Thursday, a day after his company upped its ownership in the project with a $937-million deal to buy Murphy Oil Corp.’s five per cent stake.
As the deadline to close Suncor Energy Inc. (USA) (NYSE:SU) deal with Canadian Oil Sands is coming near, both sides are trying hard to convince Canadian Oil Sands’ shareholders to vote in favor of their proposal. The $3.1 billion or C$4.3 billion worth of takeover requires around 67% votes from Canadian Oil Sands shareholders to move forward. The offer would expire this week on Friday, January 8.
Suncor Energy Inc. (USA) (NYSE:SU) said yesterday that it is not going to delay its long-term projects despite the falling oil price. Since June crude price which was hovering around $115 per barrel has fallen over 50%. Much of the decline is associated with higher production in the US and to the Organization of Petroleum Exporting Countries’ decision to maintain production at 30 million barrels of oil equivalent per day.
CALGARY – Suncor Energy Inc.’s top executive blasted the “stupidity” of pipeline politics in the U.S. and Canada on Wednesday, and also hinted that his company’s $5-billion worth of cash could be used to buy up “distressed assets” in “fire sales.”
During a speech at an energy conference in New York, Suncor president and CEO Steve Williams railed against ongoing pipeline delays and said there’s “no monopoly on that stupidity in the U.S., though we have a fair amount of it here [in Canada] as well.”
Suncor Energy Inc , Canada’s largest integrated oil company, said on Thursday that its 130,000 barrel per day Montreal refinery will be able to process up to 15,000 bpd of Western Canadian oil by year end.
Steve Williams, Suncor’s chief executive, said facilities at the refinery to allow crude by rail shipments will be complete by December.
Canada’s oilsands are not high on the list of investor must-haves at a time of depressed oil prices, potentially higher provincial royalties and tougher climate change regulations.
But those are also the reasons oilsands pioneer Suncor Energy Inc. launched a $6.6-billion unsolicited bid Monday for Canadian Oil Sands Ltd. (COS), the largest shareholder in once arch-rival Syncrude Canada Ltd. and lately a challenged, underperforming operator.
CALGARY – The president and CEO of Suncor Energy Inc., Canada’s largest oil company, is willing to pay a carbon tax, but thinks it should apply to both companies and consumers.
“We think climate change is happening,” Steve Williams said at an Ecofiscal Commission event Friday in Calgary. “We think a broad-based carbon price is the right answer.”
A carbon tax that targets only companies would not reduce emissions effectively in Canada, he said.
CALGARY – Oilsands producers Suncor Energy Inc. and MEG Energy Corp. operate different types of projects, but both companies said Thursday they could make them work in the current low oil price environment by pushing down costs.
Suncor, Canada’s largest integrated energy company, is moving ahead with two growth projects despite the decline in prices and despite posting lower-than-expected year-end financial results, including an 81% drop in fourth-quarter net earnings compared with the year before.