Suncor Energy Inc.

Suncor Energy Inc.

July 21, 2006 00:00 ET

Regulatory hearing concludes on Suncor Energy's next expansion

Fort McMurray, Alberta (July 21, 2006) — The Alberta Energy and Utilities Board (EUB) concluded hearing evidence at its public hearing last night into Suncor Energy Inc.'s application to build a third upgrader and extend its mining operations near Fort McMurray. Participants will submit final arguments to the EUB in writing over the next few weeks. Suncor's application represents a critical step in the company's multi-phased growth strategy designed to more than double the company's current oil sands production capacity to 500,000 to 550,000 barrels per day in 2010 to 2012.

Over 11 days, the EUB heard from Suncor's panel of experts as well as a number of stakeholders. Suncor outlined some of the expected economic benefits of the proposed expansion, including jobs, taxes, royalties and community spending. The company also acknowledged the socio-economic challenges facing the oil sands region and highlighted a number of steps it has taken to enhance the community and minimize project impacts. Stakeholders then asked questions on a variety of environmental and socio-economic issues, including terrestrial issues, regional air quality and community infrastructure.

"We've seen a full and healthy discussion on a number of issues," said Heather Kennedy, Suncor's vice president, Employee Relations and Community Affairs. "We will continue to work with all of our stakeholders to create sustainable growth projects and to keep the dialogue going on how we collectively move forward."

The EUB is expected to deliver its written decision before the end of the year. Pending approval by the EUB and Suncor's Board of Directors, Suncor plans to begin construction in late 2007.
 
This news release contains forward-looking statements identified by the words "designed to", "expected", "plans to", and similar expressions which are based on Suncor's current expectations, estimates, projections and assumptions made in light of its experiences and the risks, uncertainties and other factors related to its business. Actual events could differ materially as a result of changes to Suncor's plans and the impact of events, risks and uncertainties discussed in Suncor's current annual information form, annual and quarterly reports to shareholders and other documents filed with regulatory authorities.

Suncor Energy Inc. is an integrated energy company headquartered in Calgary, Alberta. Suncor's oil sands business, located near Fort McMurray, Alberta, extracts and upgrades oil sands and markets refinery feedstock and diesel fuel, while operations throughout western Canada produce natural gas. Suncor operates a refining and marketing business in Ontario with retail distribution under the Sunoco brand. U.S.A. downstream assets include pipeline and refining operations in Colorado and Wyoming and retail sales in the Denver area under the Phillips 66® brand. Suncor's common shares (symbol: SU) are listed on the Toronto and New York stock exchanges.

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For further information, contact:
Darcie Park
403-807-2585