Oct 29 Canadian Oil Sands Ltd's
third-quarter profit jumped 40 percent and the company raised
its full-year cash flow guidance, despite a fall in synthetic
crude oil prices.
Profit at the company, which owns the largest stake in
Syncrude Canada, rose to C$338 million ($338 million), or 70
Canadian cents a share, up from a year-earlier C$242 million, or
50 Canadian cents a share, as sales volumes rose and costs fell.
Analysts on average had expected a profit of 57 Canadian
cents per share, according to Thomson Reuters I/B/E/S.
The oil sands-derived crude price averaged about $89.89 per
barrel in the quarter, down from $97.89, a year earlier.
"As a result of stronger than expected pricing for
(Synthetic Crude Oil) year-to-date, we have increased our 2012
cash flow guidance," Canadian Oil Sands said.
The company expects cash flow from operations for 2012 of
$1.7 billion, up 20 percent.
The upgrade came despite an 8 percent fall in cash flow - a
glimpse into the company's ability to fund development and pay
out dividends - in the third quarter to C$470 million, or 97
Canadian cents per share.
During the quarter, sales averaged 113,300 barrels a day net
to the company, up about 4 percent from a year earlier, with
operating costs averaging C$36.17 a barrel, compared with
C$37.19 last year.
Shares of Canadian Oil Sands, which has a 37 percent stake
in the massive Syncrude tar sands mining and synthetic crude
operation in northern Alberta, closed at C$20.60 on the Toronto
Stock Exchange on Monday.