GO
Loading...

No Dice on a Big International Merger: Suncor CEO

Tuesday, 5 Mar 2013 | 2:00 PM ET
A worker positions a tool on a length of pipe while changing a tool on the drill on a Chief Oil and Gas, LLC natural gas rig in Mifflin Township, Pennsylvania.
Mike Mergen | Bloomberg | Getty Images
A worker positions a tool on a length of pipe while changing a tool on the drill on a Chief Oil and Gas, LLC natural gas rig in Mifflin Township, Pennsylvania.

Suncor Energy has seen "a lot of interest" from potential merger partners, CEO Steve Williams said on Tuesday, yet is unlikely to consent to a deal with an oil major like ExxonMobil.

Canada's largest energy company is often credited with having a large amount of free cash and a sprawling network of refineries. In Alberta, the company produces upwards of 350,000 barrels of oil a day.

Canada's energy dilemma
CNBC's Sharon Epperson speaks to Suncor Energy's CEO Steve Williams about access to Canadian crude oil and how the U.S. production boom is impacting Suncor's plants.

After having successfully merged with Petro-Canada in 2009, "We are now a fully integrated oil company, particularly on this continent," Williams told CNBC on the sidelines of the CERA conference in Houston.

While acknowledging that there was significant interest from investors and rivals in the company, Williams bluntly ruled out a merger with energy giant ExxonMobil. He explained that legislation and competition rules all but forbid such an outcome.

"When we acquired Petro-Canda, there was something called the Petro-Canada Act, which precludes a purchase of Suncor without govt approval," Williams said. "It's very unlikely that a company the size and strategic importance of Suncor to Canada could be acquired."

  Price   Change %Change
FDX
---
883
---
BP.
---
ENI
---
SU
---
XOM
---

Featured

  • Patti Domm

    Patti Domm is CNBC Executive Editor, News, responsible for news coverage of the markets and economy.

  • Sharon Epperson is CNBC's senior commodities and personal finance correspondent.

Latest Special Reports

  • The day you stop working will be here before you know it, making preparation now key to enjoying your golden years.

  • Is an active twist on passive investing the right portfolio move? An inside look at the rise of ETF strategists.

  • Simplifying news on the clock.

Energy

  • Pump jacks and wells are seen in an oil field on the Monterey Shale formation where gas and oil extraction using hydraulic fracturing, or fracking, is on the verge of a boom, March 23, 2014 near McKittrick, California.

    Brent crude futures turned lower after Russia said top diplomats have agreed to take immediate steps toward calming tensions in Ukraine.

  • An employee wipes a TV screen in a shop in Moscow, on April 17, 2014, during the broadcast of President Vladimir Putin's televised question and answer session with the nation.

    Russian President Vladimir Putin warned of possible disruption to Europe's gas supply on Thursday, as the U.S. confirmed it would send additional military support to Ukraine.

  • A former BP employee will pay to settle allegations of insider-trading during the 2010 Deepwater Horizon oil spill.