By Chris Brown on March 25, 2020.
A major wind power project near Bow Island could be delayed up to two years, Suncor announced as it issued revised guidance to investors on
The major oilsands and energy producer will slash its forecast outlook in the face of the COVID-19 pandemic response and staggering low world oil prices touched off by a price war between Saudi Arabia and Russia.
“The simultaneous supply and demand shocks are having a significant impact on the global oil industry,” said Mark Little, president and chief executive officer. “We are adjusting our spending and operational plans to be prepared in the event the current business environment persists for an extended period of time.”
The company, whose stock prices have dropped by two-thirds over two weeks, will suspend a stock-repurchase program and halt $1.5 billion in planned capital spending this year.
It also lengthened the development timelines for two key projects, including the $300-million Forty Mile Wind farm, to be located near the Hamlet of Whitla in the County of Forty Mile. Another project is to convert its base power plant at oilsands facilities to co-generate electricity.
Announced last fall, the 50-turbine Forty Mile Wind facility was scheduled to move to construction phase in 2021.