moving forward with Terra Nova Asset Life Extension

All financial figures are in Canadian dollars

CALGARY, Alta., Sep. 08, 2021 (GLOBE NEWSWIRE) – Suncor today announced that the co-owners of the Terra Nova Flotation, Production, Storage and Offloading (FPSO) facility and associated Terra Nova field (“Terra Nova”) have finalized the agreement to restructure the ownership of the project and move forward with the asset life extension project. Suncor, Cenovus and Murphy Oil now control 100% of the project with the following increased interests: Suncor – 48% (previously approximately 38%); Cenovus – 34% (previously 13%); and Murphy Oil – 18% (previously about 10%).

The agreement also includes previously disclosed royalties and financial support from the Government of Newfoundland and Labrador, including up to $ 205 million, on a matching contribution basis, to support local work ashore and at sea related to the asset life extension project.

The asset life extension project is expected to extend the life of production by approximately 10 years, providing 70 million barrels of additional resources to the partnership and providing many benefits to the economies of Newfoundland and Labrador. -Labrador and Canada in the form of taxes, royalties and jobs. The FPSO will undergo maintenance work at the Bull Arm manufacturing site from early September before sailing to the dry dock in Ferrol, Spain later this year with a safe return to operations scheduled before the end of 2022.

“The decision to go ahead with the Terra Nova project is a real example of Suncor’s commitment to invest in projects that have strong economic returns and will provide long-term value to investors. This agreement also provides certainty for the more than 1,000 direct and indirect local jobs that support the project, ”said Mark Little, President and CEO of Suncor. “We appreciate the deep collaboration and support from the provincial and federal governments, which have been crucial in helping us reach this important milestone. “

The story continues

Suncor’s forecast for 2021 remains unchanged.

Legal notice – Forward-looking information

This press release contains certain forward-looking information and statements (collectively referred to herein as “forward-looking statements”) within the meaning of applicable Canadian and US securities laws. Forward-looking statements contained in this press release include statements and expectations regarding the Terra Nova FPSO facility and the Asset Life Extension Project, including the expectation that the Life Extension Project. asset life extends the life of production by approximately 10 years, providing 70 million barrels of additional resources for the partnership and providing many benefits to the economies of Newfoundland and Labrador and Canada in the form of taxes , fees and jobs, expectations regarding the maintenance work to be carried out on the FPSO and that the FPSO can safely resume operations before the end of 2022, and the belief that this agreement will bring certainty to the operators. over 1,000 direct and indirect local jobs that support the project and similar statements. Forward-looking statements are based on Suncor’s current expectations, estimates, projections and assumptions made by the company in light of its information available at the time the statement was made and take into account the experience of Suncor and its perception of historical trends, including expectations and assumptions. concerning: the accuracy of reserve estimates; the current and potential negative impacts of the COVID-19 pandemic, including the status of the pandemic and future waves and any associated policies regarding current trade restrictions, shelter-in-place orders or gatherings of people; commodity prices and interest and exchange rates; the performance of assets and equipment; capital efficiencies and cost savings; applicable laws and government policies; future production rates; the adequacy of the capital expenditure budgeted for the realization of the planned activities; the availability and cost of labor, services and infrastructure; the satisfaction by third parties of their obligations to Suncor; development and execution of projects; and the timely receipt of regulatory and third-party approvals.

Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some of which are similar to those of other oil and gas companies and others of which are unique to Suncor. Suncor’s actual results may differ materially from those expressed or implied by its forward-looking statements, so readers are cautioned not to place undue reliance on them.

Suncor’s MD&A for the second quarter of 2021 dated July 28, 2021, its annual information form and annual report to shareholders, each dated February 24, 2021, Form 40-F dated February 25, 2021 and other documents that Suncor files with from time to time with securities regulators describe the risks, uncertainties, material assumptions and other factors that could influence actual results and such factors are incorporated herein by reference. Copies of these documents are available free of charge from Suncor at 150 6th Avenue SW, Calgary, Alberta T2P 3E3, by calling 1-800-558-9071, or by email at [email protected] or by referring to the Company Profile on SEDAR at sedar.com or EDGAR at sec.gov. Except as required by applicable securities laws, Suncor disclaims any intention or obligation to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise.

Suncor Energy is Canada’s leading integrated energy company, with a global team of over 30,000 people. Suncor’s businesses include oil sands development, production and upgrading, offshore oil and gas, oil refining in Canada and the United States, and our national retail distribution network, Petro-Canada (including now our electric highway network of fast charging stations for electric vehicles). A member of the Dow Jones, FTSE4Good and CDP sustainability indices, Suncor responsibly develops petroleum resources, while profitably developing a renewable energy portfolio and advancing the transition to a low-emission future. Suncor is listed on the UN Global Compact 100 stock index. Suncor’s common shares (symbol: SU) are listed on the Toronto and New York stock exchanges.

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