Suncor noted that, excluding unrealized foreign exchange impacts on the company’s US dollar denominated long-term debt and project start-up costs, first quarter 2008 net earnings were C$788 million, or C$1.70 per common share, compared to C$567 million, or C$1.23 per common share, in the first quarter of 2007.
Cash flow from operations was C$1.161 billion in the first quarter of 2008, compared to C$825 million in the first quarter of 2007.
The increase in earnings was primarily due to higher price realizations on the company’s oil sands sales, as benchmark crude oil prices continued to rise. This was partially offset by increased oil sands operating expenses and increased oil sands royalties, as well as reduced margins in the refining and marketing business.
Suncor’s total upstream production averaged 286,200 barrels of oil equivalent (boe) per day during the first quarter of 2008, compared to 283,100boe per day in the first quarter of 2007.
Oil sands production during the first quarter averaged 248,000 barrels per day (bpd), comparable to first quarter 2007 production of 248,200bpd. Natural gas production increased to 229 million cubic feet equivalent (mmcfe) per day in the first quarter of 2008 from 209mmcfe per day in the first quarter of 2007.
