Rise: Canadian Oil Sands' profits rise in second quarter
Canadian Oil Sands profits up
Canadian Oil Sands Trust surged back into the black in the second quarter earning C$497 million (US$483 million) up from a tear earlier loss of C$395 million as oil prices jumped to a record.
Canadian Oil Sands, which has a 37% interest in Syncrude, also raised its quarterly distribution by 25% to C$1.25 a unit.
Analysts surveyed by Reuters Estimates had expected, on average, the company to earn 94 Canadian cents a unit.
Cash flow, used to fund distributions to unit holders, rose 27% to C$413 million, or 86 Canadian cents per unit, from C$324 million, or 68 Canadian cents.
Revenue was C$1.18 billion, up 71% from C$690 million, said Reuters.
Production net to the trust averaged 97,744 barrels a day, down 1% from the second quarter of last year, as Syncrude shut down part of its upgrading operations for scheduled maintenance.
Canadian Oil Sands and other producers of the unconventional crude in northern Alberta reaped rewards from crude prices that soared 90% to a record quarterly average of $123.80 a barrel.
The other Syncrude partners are Imperial Oil, Petro-Canada, ConocoPhillips, Nexen, Nippon Oil, unit Mocal Energy and Murphy Oil.