Calgary-based Suncor Energy said Tuesday it plans to lay off another 1,000 workers this year.

The company made the announcement during a BMO Capital Markets conference with analysts and investors.


Suncor Energy CEO Rick George, left, shakes hands with PetroCanada president and CEO Ron Brenneman after a news conference on March 23, 2009, announcing a merger to create Canada's largest oil company. ((CBC))

Investor relations vice-president John Rogers said the layoffs will come as the firm works to wring out extra profit following its merger last year with Petro-Canada. Suncor has already cut 1,000 jobs as a result of the merger.

The company also revealed it is completely reworking its proposed $25.3-billion Fort Hills oilsands mine in northern Alberta and won't discuss timing on when the project will go ahead until at least next year. The project was halted in late 2008 after its cost estimate rose from $15.2 billion.

Rogers said Fort Hills remains a key part of Suncor's plan to reach production of one million barrels a day by 2020 but that the cost estimates developed by Petro-Canada would not generate enough of a return for Suncor.

"So we really need some time to step back from that particular asset, go through a total re-look of it, a total re-costing of it and a total rescheduling of it before we determine how it should be progressed," he said.

Suncor has a 60 per cent stake in Fort Hills. UTS Energy Corp. and Teck Resources each own 20 per cent.