Why COS is what Suncor wants!
It is and oil sands company and it can leverage its technology investment and it expertise. It needs lease 29 or it will cost them billions. COS Is the only opportunity to buy 60+ years of reserves. Synthetic crude is low in sulfur and this will become more important. Syncrude is adjacent to Suncor so it has the advantage of location. Syncrude represent likely the most reserves held by a free trading company with a 4 billion dollar no cash bid in the world. The addition of 120,000 boe of synthetic feed stock would have a significant benefit to Suncor's refining business. Suncor could do projects in conjunction with syncrude that would improve the economics of both operations. Suncor is making the offer when the price of oil is at its lowest to purchase and operation that can carry itself and its debt and will reap the full benefit of higher oil prices. Suncor has sever technology innovation in the works including driverless trucks that will have significant cost improvements in the future.