UPDATE 1-Sunoco Philadelphia refinery FCC fixed -sources

* Point Breeze FCC cut rates on July 6 for repairs

* 40,000-bpd capacity FCC running near 35,000 bpd

(Updates with Sunoco declining comment)

HOUSTON, July 13 (Reuters) - Sunoco Inc's (SUN.N) 335,000 barrel-per-day (bpd) Philadelphia refinery has repaired a 40,000-bpd gasoline-producing fluidic catalytic cracking unit, which is increasing production levels, sources familiar with refinery operations said on Wednesday.

A Sunoco spokesman declined to discuss operations at the Philadelphia refinery.

The FCC, located in the Point Breeze section of the refinery, cut rates to 25,000 bpd on July 6 after a bearing failed on the unit's wet gas compressor. During attempts to repair the unit, a small fire broke out on Sunday.

The unit was running at near 35,000 bpd on Wednesday and was expected to reach full rates by the end of the week at the latest, the sources said. (Reporting by Erwin Seba in Houston and Selam Gebrekidan in New York; Editing by Lisa Shumaker)