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Suncor cuts $1.5 billion from budget to cope with low oil prices, COVID-19 impact

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globalnews.ca

Suncor Energy Inc. is cutting its 2020 capital spending budget by $1.5 billion or 26 per cent to a range between $3.9 billion and $4.5 billion.

The Calgary-based producer and refiner is putting several projects on hold to deal with lower oil prices linked to a market share battle between Saudi Arabia and Russia, and lower demand for its retail fuel because of the COVID-19 pandemic.

The shelved projects include a $1.4-billion plan announced in September to install two cogeneration units at its Oil Sands Base Plant in northern Alberta that would have reduced greenhouse gas emissions at the facility.

The company is also halting work on a $300-million wind power plant in southern Alberta approved in December. On Sunday, Husky Energy Inc.

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