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Suncor Energy Inc T.SU

Alternate Symbol(s):  SU

Suncor Energy Inc. is a Canada-based integrated energy company. The Company's segments include Oil Sands, Exploration and Production (E&P), and Refining and Marketing. Its operations include oil sands development, production and upgrading, offshore oil and gas production, petroleum refining in Canada and the United States and its Petro-Canada retail and wholesale distribution networks, including Canada’s Electric Highway, a coast-to-coast network of fast-charging electric vehicles (EV) stations. Petro-Canada has a network of over 1,800 retail and wholesale locations across Canada, providing customers with a wide variety of fuel and service offerings including low-carbon fuel options. The Company is developing petroleum resources while advancing the transition to a low-emissions future through investment in power and renewable fuels. It also wholly owns the Fort Hills Project, which is located in Alberta's Athabasca region, approximately 90 kilometers north of Fort McMurray.


TSX:SU - Post by User

Post by Obscure1on Aug 08, 2022 6:06pm
248 Views
Post# 34880108

This math doesn't make sense to me

This math doesn't make sense to mehttps://www.wtol.com/article/money/business/bp-sells-remaining-50-stake-toledo-refinery-to-cenovus/512-b099f0d5-8797-4430-b4a9-f7a776eada5e

CVE is buying the 50% share of the BP refinery in Oregon that it doesn't already own for $300 million. 

The refinery has a capacity of 160,000 bpd which means CVE is buying 80,000 bpd for $300 million.

That means the capacity is being purchased for about $3,750 per barrel.

I'm way outta my comfort zone here but the purchase price seems incredibly low based upon the current refinery rates.

I hope that one of our industry experts here can shed some light on this.
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