Canada's Suncor pushing for full operations by end-June -sources

By Eric M. Johnson
CALGARY, Alberta, May 25 (Reuters) - Suncor Energy Inc
SU.TO is pushing to reach full operations at its oil sands
projects in the fire-stricken Canadian province of Alberta
before July 1, according to several company employees.
A massive wildfire that erupted earlier this month in the
nation's energy heartland forced Suncor and a number of other
major crude producers around the Fort McMurray oil city to halt
operations, cutting Canada's crude output by about a million
barrels a day.
Suncor, Canada's largest crude producer, has several oil
sands facilities, including the main mining site which has the
capacity to produce up to 350,000 barrels per day.
With the fire held at bay near prized oil sands mines,
Suncor and other producers have started bringing staff back to
facilities after evacuation orders were lifted at all worker
camps in the province on Monday.
Employees had different accounts for when operations would
be fully restored, with several pointing to July 1.
"We're in the process of restarting, don't have more
specific details than that," said Suncor spokeswoman Sneh
Seetal. "I can't speak to someone's speculation on timing."
No oil facilities or communities have been in the fire's
immediate path over the past several days as firefighters seized
upon cooler, wet weather to hold firebreaks around key oil sands
assets.
Even so, temperatures were climbing on Wednesday and the
fire grew by about 43,000 hectares from the previous day to
566,000 hectares (2,185 square miles), said wildfire official
Travis Fairweather.
"Full operations will be by July," said a Suncor employee
familiar with safety plans, who spoke on condition of anonymity.
He said there were more than 100 workers at base facilities
already, with more expected in the coming days.
Another Suncor employee, an engineer, however, said all key
production facilities could be up and running in as little as
two weeks.
Carl James, a Suncor subcontractor who works on dredging at
a tailings pond site - massive lagoons that hold waste rock
leftover from mining operations - said he was due back at his
site on May 31.
"I have been hearing July, as long as these fires don't
start back up," James said. "It's supposed to warm up. For days
it's been cruddy, spitting rain. It's been cold."
To be sure, there are many conditions that could hamper the
ramp-up to full operations, such as plunging air quality, or a
resurgence of the fire toward facilities. Oil sands and lodging
must pass government and internal safety assessments, though the
former will likely be completed this week.
In addition to routine maintenance and safety testing,
restarting operations could be tricky if systems and equipment
were shuttered haphazardly amid frenetic job-site evacuations.
On Wednesday, Syncrude Canada Ltd., a joint venture led by
Suncor with a capacity of 315,000 barrels per day, said it was
making "significant progress" on its plan to safely restart
operations.
The company said it would provide a timeline for when it
expects to resume production at a later date, though one
supervisor at the project, who spoke on condition of anonymity,
said operations could be ramped up in as little as two weeks.
Other producers have already come online or maintained
operations despite the fire.
The return of industrial workers comes about a week before
the first wave of evacuees from Fort McMurray were due to return
to the city.