Canadian oil producer Suncor Energy exceeded analysts’ second-quarter profit expectations on Tuesday, as higher output helped offset the impact of weak commodity prices.
Even as volatility in oil prices drives the broader energy industry into a downturn, Canada’s oil sands sector remains resilient.
Canadian producers are benefiting from the expansion of the Trans Mountain pipeline, which increased capacity to 890,000 barrels per day.
Suncor’s upstream quarterly production rose to 808,100 barrels per day (bpd) from 770,600 bpd a year ago.
Its refinery throughput climbed to 442,000 bpd during the quarter, while refinery utilization improved to 95% from 92% a year earlier.
The Calgary, Alberta-based company reported an adjusted profit of 71 Canadian cents per share for the quarter ended June 30, beating analysts’ average estimate of 69 Canadian cents per share, according to data compiled by LSEG.
(Reporting by Vallari Srivastava in Bengaluru; Editing by Mohammed Safi Shamsi)