Suncor Energy announced a shift in its portfolio selling wind and solar assets to concentrate more on renewable fuels and hydrogen.
By Andrew Joseph, Farms.com; Photo is the property of Suncor Energy Inc.
Suncor Energy Inc., a Calgary-headquartered integrated energy company specializing in the production of synthetic crude from oil sands, has announced it is altering its portfolio to focus more on its environmental products division.
As part of this effort announced on April 4, 2022, the company said it would sell its wind and solar power assets to shift the focus to renewable fuels and hydrogen.
“While Suncor is in the fortunate position of being long on opportunities, we are adjusting our portfolio for fit and focus,” said Mark Little, Suncor President and Chief Executive Officer. “By doing so, we use our strengths, competitive advantages and resources to drive shareholder returns and value over the long term and help us meet our emissions reduction targets.”
Suncor said it will strengthen its focus on hydrogen and renewable fuels to accelerate progress towards its objective to be a net-zero company by 2050.
No set plans for when it will divest itself of the wind and solar energy assets were announced.
The company currently owns a total of 75 wind turbines in Ontario, Saskatchewan and Alberta, with another 45 turbines in the midst of construction in Alberta.
Suncor already owns renewable fuel facilities in Sarnia, Ontario—an ethanol plant (see photo above). The company said it utilizes about 20 percent of the province’s corn production for the manufacture of over 450 million litres of ethanol as a fuel additive.
Other renewables operations include: a partnership in a hydrogen plant in Alberta; a biofuels plant in Quebec that is being constructed; testing efforts in a green aviation gas in Georgia, US; and fuell cell testing for trucks.
Note, however, that this is just for its environmental products division. Suncor will continue to include natural gas-fired cogeneration of electricity and heat at oilsands sites, and maintain its service station electric vehicle charging operations.
Suncor also said that similar portfolio realignment will continue via an intended divestment of its Norway exploration and production assets, as well as the planned sell down of its Rosebank interest in the UK North Sea. The disposition process is underway with an expected close later this year.
More information on Suncor Energy can be found at https://www.suncor.com.