Suncor Energy (NYSE:SU) has broadened its portfolio with the acquisition of TotalEnergies (EPA:TTEF)' Canadian operations. The deal, which took place on Wednesday, includes a full stake in the Fort Hills project, increasing Suncor's bitumen production by 61K barrels per day and adding 675 million barrels of proved and probable reserves to its assets. The deal, worth CAD 1.47 billion ($1.1 billion), also secures a long-term bitumen supply from wholly-owned Firebag and MacKay River assets for Suncor's Base Plant upgraders post-Base Mine life.
On the same day, TotalEnergies also sold its 50% stake in the Surmont asset to ConocoPhillips (NYSE:COP) for CAD 4 billion (~$3 billion), with potential additional payments of CAD 440 million (~$330 million) contingent on future conditions.
In comparison to other energy companies such as Cenovus Energy (NYSE:CVE), Suncor has faced different market dynamics. As of today, Suncor's market cap stands at $59 billion, while Cenovus is valued at $52 billion. Suncor also carries a higher net debt of $14 billion compared to Cenovus' $6.4 billion.
In terms of dividends, Suncor offers a yield of 4.5%, higher than Cenovus' 2%. However, over the past years, both companies have shown different total returns. Over three and five years respectively, Suncor delivered returns of 186% and 9%, while Cenovus has provided shareholders with a total return of 338% and 138%.
This information provides an insight into the performance and strategic moves of these energy companies in recent times, highlighting the competitive landscape within the industry.
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