OTTAWA (dpa-AFX) - Suncor Energy (SU.TO, SU) announced that it has agreed to acquire a further position in Syncrude, purchasing the five per cent interest from Murphy Oil Corporation's Canadian subsidiary at a purchase price of approximately C$937 million, subject to closing adjustments. The transaction will be effective as of April 1, 2016.
Through this transaction Suncor's share in the Syncrude joint venture will increase from 48.74 per cent to 53.74 per cent. With the increased stake in Syncrude and the Fort Hills and Hebron projects on target for first oil late next year, Suncor expects to profitably grow production by over 40 per cent versus 2015, reaching 800,000 barrels per day in 2019.
The transaction is anticipated to close by the end of the second quarter.
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© 2016 AFX News
