Suncor Energy Inc.

Suncor Energy Inc.

July 10, 2006 00:00 ET

Canada's Largest Ethanol Plant Now in Production

Sarnia, Ontario (July 10, 2006) — Suncor Energy Products Inc. announced today that its St. Clair Ethanol Plant is now in production. With an expected production volume of 200 million litres per year, the St. Clair Ethanol Plant is now the largest ethanol production facility in Canada.

"We are proud of our new, world-class ethanol production facility," said Tom Ryley, executive vice president of Suncor. "It demonstrates Suncor's commitment to renewable fuels in Ontario and to playing a leadership role in the Sarnia-Lambton community."

Located in St. Clair Township, near Sarnia, the St. Clair Ethanol Plant has 38 full-time employees and will provide a number of ongoing opportunities for local suppliers and service providers, including the agricultural sector. The primary feedstock for the plant is corn, and the operation is expected to use 20 million bushels of corn per year.

During construction of the $120 million facility, approximately 250 construction jobs were created.

Suncor has been blending ethanol into its Sunoco-branded gasoline sold since 1996. When blended with gasoline, ethanol helps reduce carbon monoxide emissions by up to 30%. Studies show the use of corn-based ethanol in Sunoco's fuel has had the equivalent effect of removing more than 20,000 cars from Ontario's roads. Ethanol is also a natural gas-line antifreeze in winter.

In addition to producing ethanol, Suncor is also supporting renewable energy development in Canada by pursuing wind power projects. Suncor has two wind power projects in operation — SunBridge in southwestern Saskatchewan and Magrath in southern Alberta. A third wind farm near Taber, Alberta received regulatory approval in spring 2005 and construction is under way. Pending regulatory approval, Suncor's fourth and largest wind farm is planned for a location east of Lake Huron in Ripley, Ontario.

A grand opening celebration at the St. Clair Ethanol Plant is being planned for later this summer.

Suncor Energy Products Inc. is a wholly-owned subsidiary of Suncor Energy Inc., an integrated energy company. In addition to a refinery in Sarnia, Suncor Energy Products has a network of 281 Sunoco-branded retail and Fleet Fuel cardlock sites and has a 50 per cent joint venture interest in over 200 Pioneer and UPI retail sites. Suncor Energy Products Inc. manufactures, distributes and markets transportation fuels, heating oils and petrochemicals primarily in Ontario. For more information, see the Sunoco website at or

This news release contains forward-looking statements identified by words such as "expecting" and "expected", 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.

- 30 -

Jason Vaillant 
Suncor Energy Products Inc. - Sarnia
(519) 383-3691