Issue link: http://resourceworld.uberflip.com/i/832998
J U N E / J U L Y 2 0 1 7 www.resourceworld.com 65 being handed over to operations. Activity also included readying primary extraction for handover to operations and continued development of the secondary extraction facilities. Expenditures in Q1 were also focused on early-works sustaining activities to support execution of the Fort Hills Mine and tailings plan following the start of pro- duction, expected to begin by year end. Significant progress continued on the Hebron Project in Q1, with the completed platform ready to be towed out to the final site in Q2. First oil remains on track for late 2017. Activity in Q1 also included contin- ued development drilling at the Hibernia and White Rose offshore fields in the North Atlantic. "Significant progress continues to be made on Hebron and Fort Hills, with both projects on track for first oil at the end of 2017," said Williams. "The Hebron plat- form will be towed out to the production site as planned in the second quarter when weather conditions are optimal. With peak Fort Hills construction activity now behind us, we will continue to progress the phased commissioning of the project throughout the year." Also, Suncor successfully closed the sale of its Petro-Canada lubricants business and its interest in the Cedar Point wind facility for total proceeds of $1.4 billion and net after-tax gains of $437 million. The proceeds from these divestments were used toward the repayment of US $1.25 billion 6.10% notes originally scheduled to mature on June 1, 2018. All this is against the backdrop of increasing pressure on oil prices again, as rising US production continues to offset OPEC's efforts to reduce global supplies. It leaves a mixed bag of opinions, with some analysts seeing WTI oil rebounding to US $70 by year end, while others say it could drop back to US $40. However, with oper- ations all along the oil value chain, from its oil sands assets and four large refineries to retail assets that include 1,500 Petro- Canada service stations, Suncor is seriously diversified and thus well-positioned to ride out another downturn, making it an attractive bet for investors. "We plan to have a very long future in the oil sands," Williams said. "During that future, we'll continue to challenge the status quo to demonstrate that we are globally carbon and cost competitive, mak- ing a compelling case for Suncor's place in a lower-carbon world. "History has shown that we can strike the right balance between navigating through changing economic and market conditions while remaining focused on our long-term vision." n