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Syncrude cuts production due to mechanical disruption

September 23, 2021   by Bloomberg News




Syncrude Canada Ltd., a light crude producer majority-owned by Suncor Energy Inc., cut September supplies due to a mechanical disruption at its oil sands site, according to a person familiar with the situation.

In a force majeure notice sent by one of Syncrude’s four owners earlier this month, customers were informed of a supply cut of as much as 20% in September, the person said, asking not to be named because they are not allowed to publicly discuss the matter. Requests for comment to Suncor and fellow owners Imperial Oil Ltd., Sinopec Canada and CNOOC Ltd. weren’t immediately returned.

Syncrude’s upgrader, which turns mined bitumen from the oil sands of northern Alberta into light synthetic crude, produced about 275,000 barrels a day between January and May, Alberta Energy Regulator data show.

The supply cut out of Canada happens as oil production in the Gulf of Mexico has been slow to recover from Hurricane Ida, which struck the Louisiana coast on Aug. 29 and forced the shut-in of most offshore production in the region. Almost 300,000 barrels a day of Gulf of Mexico crude output remains down due to the impact of the storm.

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(Bloomberg News)


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