<DOCUMENT>
<TYPE>EX-1
<SEQUENCE>2
<FILENAME>a2047110zex-1.txt
<DESCRIPTION>EXHIBIT 1
<TEXT>

<PAGE>

================================================================================

[SUNCOR ENERGY LOGO]                           F I R S T  Q U A R T E R  2 0 0 1

                                               Report to shareholders for the
                                               period ended March 31, 2001

SUNCOR ENERGY REPORTS RECORD QUARTERLY EARNINGS AND CASH FLOW
COMMODITY PRICES, IMPROVED REFINING MARGINS, CONTRIBUTE TO EARNINGS IMPROVEMENT

FIRST QUARTER SUMMARY
(All financial figures are in Canadian dollars unless noted otherwise. Natural
gas production converts to BOE at a 10:1 ratio.)

- First quarter earnings for 2001 rose to a record $125 million, up from $105
  million in the first quarter of 2000.
- Cash flow from operations was a record $275 million, compared with $269
  million during the same period last year.
- Total daily production for Suncor averaged 135,100 barrels of oil equivalent
  (BOE), a decrease over the first quarter daily average in 2000 of 148,600
  BOE.
- Oil Sands production averaged 113,400 barrels per day in the quarter,
  compared with 114,800 barrels per day in the first quarter of 2000. Sales in
  the quarter were 106,500 barrels per day, down from 117,900 barrels per day
  in the first quarter of 2000.

<TABLE>
<CAPTION>
                                      2000              2001
-------------------------------------------------------------
EARNINGS BY QUARTER          Q1     Q2     Q3     Q4     Q1
($ millions)
-------------------------------------------------------------
<S>                          <C>    <C>    <C>    <C>    <C>
                             105    111    50     111    125
</TABLE>


<TABLE>
<CAPTION>
                                              2000               2001
----------------------------------------------------------------------
PRODUCTION*                           Q1     Q2     Q3     Q4     Q1
(thousands of barrels of
oil equivalent per day)
*converted at 10:1
----------------------------------------------------------------------
<S>                                  <C>    <C>    <C>    <C>    <C>
- Natural gas                         22.2   19.5   20.0   18.3   17.7
- Crude oil and natural gas liquids  126.4  123.3  120.6  114.1  117.4
  Total                              148.6  142.8  140.6  132.4  135.1
</TABLE>


- Due to lower sales volume and higher energy costs, Oil Sands base plant cash
  operating costs increased to $12.65 per barrel compared with $11.10 per
  barrel in the first quarter of 2000.
- Project Millennium reached the 80 per cent completion mark. Project costs
  spent to date are $2.65 billion.
- Suncor's Natural Gas business produced an average of 21,700 BOE per day
  compared with 33,800 BOE per day during the first quarter last year.
  Production during the quarter consisted of 177 million cubic feet per day of
  natural gas; 2,300 barrels per day of natural gas liquids; and 1,700 barrels
  per day of crude oil.
- Refining margins for Sunoco improved almost 15 per cent, averaging 6.2 cents
  per litre (cpl) compared with 5.4 cpl in the first quarter of 2000. Retail
  gasoline margins for Sunoco's branded retail outlets were 6.1 cpl compared to
  6.8 cpl in the first quarter of 2000.

<TABLE>
<CAPTION>
                                      2000              2001
-------------------------------------------------------------
CASH FLOW FROM OPERATIONS    Q1     Q2     Q3     Q4     Q1
BY QUARTER
($ millions)
-------------------------------------------------------------
<S>                          <C>    <C>    <C>    <C>    <C>
                             269    244    229    216    275
</TABLE>


<TABLE>
<CAPTION>
                                                 2000               2001
-------------------------------------------------------------------------
RATIOS                                   Q1     Q2     Q3     Q4     Q1
(per cent)
-------------------------------------------------------------------------
<S>                                      <C>    <C>    <C>    <C>   <C>
Return on average shareholder's equity   13.6   16.4   15.4   16.5  16.5
Return on capital employed               11.0   15.5   14.8   16.6  16.3
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       2

"Continued strong crude oil prices, higher natural gas prices and improved
downstream refining margins gave Suncor a strong start to the year."

Richard L. George,
President and Chief Executive Officer


RECORD SET FOR FIRST QUARTER EARNINGS AND CASH FLOW

Earnings for the first quarter of 2001 rose to a quarterly record of $125
million ($0.53 per common share), up from $105 million ($0.45 per common share)
in the first quarter of 2000. The improvement was primarily a result of
increased commodity prices (including the impact of a weaker Canadian dollar
versus the U.S. dollar), higher downstream refining margins and a lower crude
oil hedging loss. These favourable factors were partially offset by lower sales
volumes, a higher light/heavy crude oil differential, higher interest expenses,
start-up costs associated with Project Millennium, and Stuart Oil Shale Project
costs.

During the first quarter, cash flow from operations was a record $275 million
($1.19 per common share), compared with $269 million ($1.16 per common share) in
the first quarter of 2000. Revenue was $1 billion compared with $779 million
during the same period in 2000.

"Continued strong crude oil prices, higher natural gas prices and improved
downstream refining margins gave Suncor a strong start to the year," said Rick
George, president and chief executive officer. "To sustain these record returns
Suncor will continue to focus on improving operational reliability and reducing
operating costs - an effort aimed at driving higher returns through production
growth, not commodity prices."

During the quarter Suncor recorded a $45 million hedging loss from its crude oil
hedging program, compared to a loss of $51 million in the first quarter of 2000.

Total production of crude oil, natural gas and natural gas liquids averaged
135,100 BOE per day, a decrease from the 2000 first quarter average of 148,600
BOE per day. The decrease reflects lower production from the Natural Gas
business primarily due to last year's property divestments.

OIL SANDS PRODUCTION STEADY

Oil Sands recorded earnings of $69 million in the first quarter, compared with
$90 million in the same quarter of 2000. Cash flow from operations declined to
$140 million, down from $199 million in the first quarter of 2000.

Oil Sands production in the quarter averaged 113,400 barrels per day, compared
with 114,800 barrels per day in the first quarter of 2000, mainly due to ore
quality variability in February. A maintenance shutdown in early April, which
allowed for repairs to the 5C9 fractionating tower, is expected to improve
production rates during the remainder of the year. Oil Sands original production
target of 130,000 barrels per day for 2001 includes the estimated impact of this
maintenance.

<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------
3 months ended March 31                                                2000                   2001
--------------------------------------------------------------------------------------------------
<S>                                                                    <C>                    <C>
NET EARNINGS COMPONENTS
($ millions after income taxes)
Operational earnings                                                   105                    131
Oil Sands
  Start-up expenses - Project Millennium                                --                     (6)
                                                                      ----                    ----
Net earnings                                                           105                    125
--------------------------------------------------------------------------------------------------
CASH FLOW FROM OPERATIONS COMPONENTS
($ millions)
Operational cash flow                                                  269                    302
Oil Sands
  Start-up expenses & overburden removal - Project Millennium           --                    (27)
                                                                      ----                    ----
Cash flow from operations                                              269                    275
--------------------------------------------------------------------------------------------------
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       3

"We're making significant progress and expect to complete Project Millennium on
schedule."

Richard L. George,
President and Chief Executive Officer


OIL SANDS CASH OPERATING COST
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------
                                                          3 months ended          3 MONTHS ENDED
(dollars per sales barrel)                                March 31, 2000          MARCH 31, 2001
-----------------------------------------------------------------------------------------------
<S>                                                           <C>                     <C>
Base plant                                                    11.10                   12.65
Start-up expenditures - Project Millennium                      --                     2.75
                                                              -----                   -----
Total cash operating costs                                    11.10                   15.40
-----------------------------------------------------------------------------------------------
</TABLE>

Sales volumes for the quarter declined to 106,500 barrels per day from 117,900
barrels per day in the first quarter of 2000. The decline occurred as Suncor
built back inventory to normal operational levels. Inventory had declined to
help meet customer requirements during the 5C9 maintenance shutdown.

Cash operating costs increased to $12.65 per barrel compared with $11.10 per
barrel in the first quarter of 2000. The increase was due to the lower sales
volume and higher energy costs. The first quarter costs for 2001 increase to
$15.40 per barrel when Project Millennium start-up costs are included.

Several milestones for advancing Project Millennium were met during the quarter,
including successfully testing improved extraction technology that is expected
to operate at a lower cost and be easier to maintain than the existing method;
and completion of a continuous water recycling system that should contribute to
energy efficiency by recycling waste heat and reducing water use. Construction
was also completed on TransAlta's co-generation facility, where a portion of the
output will help meet Suncor's long-term needs for electricity and steam.

"We're making significant progress and expect to complete Project Millennium on
schedule," said George. "We are on track to deliver on our commitments for
growth and see our average daily oil production capacity increase to 225,000
barrels per day by year-end."

<TABLE>
<CAPTION>
                                              2000              2001
----------------------------------------------------------------------
OIL SANDS PRODUCTION BY QUARTER      Q1     Q2     Q3     Q4     Q1
(thousands of barrels of per day)
----------------------------------------------------------------------
<S>                                 <C>    <C>    <C>    <C>    <C>
                                    114.8  116.7  114.2  110.0  113.4
</TABLE>


By the end of the quarter, Project Millennium had reached the 80 per cent
completion mark with engineering, equipment and material purchases all
essentially complete. Project expenditures at the end of the first quarter were
$2.65 billion. Suncor's current $2.8 billion estimate remains unchanged,
however, construction cost pressures continue to challenge the project.
Construction productivity in the second quarter will be important. Suncor
expects to provide a final cost estimate early in the third quarter when the
project is expected to be over 90 per cent complete.

NATURAL GAS SETS RECORD FOR EARNINGS AND CASH FLOW

Natural Gas earnings increased to $53 million in the first quarter, up from $8
million in first quarter of 2000. Cash flow from operations for the quarter was
$127 million compared with $48 million for the first quarter 2000.

Production averaged 21,700 BOE per day compared with 33,800 BOE per day during
the first quarter last year. Natural gas production in the quarter averaged 177
million cubic feet (mmcf) per day down from 222 mmcf per day in the first
quarter of 2000. The decrease primarily reflects property divestments that
occurred last year and natural reservoir decline.

"One year after unveiling its new strategy, Natural Gas has made progress in
building and sustaining a profitable business," said George.

<TABLE>
<CAPTION>
                                              2000                2001
-----------------------------------------------------------------------
NATURAL GAS BOE                        Q1     Q2     Q3     Q4     Q1
PRODUCTION BY QUARTER*
(thousands of barrels of
oil equivalent per day)
*converted at 10:1
-----------------------------------------------------------------------
<S>                                  <C>    <C>    <C>    <C>    <C>
                                     33.8   26.1   26.4   22.4   21.7
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       4

SUNOCO EARNINGS DRIVEN BY REFINING MARGINS

Sunoco's first quarter earnings were $23 million, compared with $19 million in
the first quarter of 2000. Cash flow from operations was $50 million for the
quarter compared with $46 million in the same quarter in 2000.

In the first quarter, refining margins improved almost 15 per cent, averaging
6.2 cents per litre (cpl) compared with 5.4 cpl in the first quarter of 2000.
Strong demand for gasoline and distillates in North America accompanied by low
inventories contributed to the improved margins. Sales volumes increased by more
than four per cent over the same quarter last year.

In January, operational problems associated with the Sarnia Refinery's catalytic
cracker increased maintenance costs and resulted in Sunoco making product
purchases to ensure customer requirements were met. The cat cracker returned to
full production later that same month.

Retail gasoline margins for Sunoco's branded retail outlets were 6.1 cpl
compared to 6.8 cpl in the first quarter of 2000. The decline is primarily due
to competitive market pressures and price related costs for Sunoco's customer
loyalty program. A three per cent improvement in retail gasoline sales volumes
at Sunoco's branded retail sites partially offset the margin decline.

<TABLE>
<CAPTION>
                                             2000                2001
-------------------------------------------------------------------------
DOWNSTREAM PRODUCT                    Q1     Q2     Q3     Q4     Q1
MARGINS BY QUARTER
(cents per litre)
-------------------------------------------------------------------------
<S>                                  <C>     <C>     <C>     <C>     <C>
Retail                               6.8     6.4     6.4     7.0     6.1
Refining                             5.4     6.3     6.1     5.8     6.2
</TABLE>

STUART OIL SHALE

Subsequent to the end of the quarter, Suncor sold its interest in the Stuart Oil
Shale Project to Southern Pacific Petroleum and Central Pacific Minerals
(SPP/CPM) and will record a write off in the second quarter of $3 million.

"While we think the Project has potential for the future, we had to make a
choice among competing growth priorities," said George. "For Suncor, it makes
sense to focus our people and resources on growing our core businesses in
Canada."

PROGRESS ON SUSTAINABLE DEVELOPMENT

Suncor's plan to establish an alternative and renewable energy business was
advanced during the quarter with the company acquiring a $3 million minority
equity interest in Northern Power Systems - a Vermont based firm that
specializes in wind and solar energy. The two companies have also signed a
non-binding letter of intent to form a joint venture to develop large-scale wind
power generation and other renewable energy projects in Canada.


SUNCOR ENERGY IS AN INTEGRATED CANADIAN ENERGY COMPANY. ITS OIL SANDS BUSINESS
MINES AND UPGRADES OIL SAND AND MARKETS CUSTOM-BLENDED REFINERY FEEDSTOCK AND
DIESEL FUEL. SUNCOR IS ALSO A CONVENTIONAL NATURAL GAS AND OIL PRODUCER IN
WESTERN CANADA AND OPERATES A REFINING AND MARKETING BUSINESS IN ONTARIO UNDER
THE SUNOCO BRAND. AT THE SAME TIME AS SUNCOR MEETS TODAY'S ENERGY NEEDS, THE
COMPANY IS ALSO INVESTING IN ALTERNATIVE AND RENEWABLE ENERGY FOR THE FUTURE.
SUNCOR ENERGY COMMON SHARES (SYMBOL SU) AND PREFERRED SECURITIES ARE LISTED FOR
TRADING ON THE TORONTO AND NEW YORK STOCK EXCHANGES.

This report contains certain forward-looking information. See the "Legal Notice"
in the attached Management's Discussion and Analysis for further details.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       5

MANAGEMENT'S DISCUSSION AND ANALYSIS

This Management Discussion and Analysis should be read in conjunction with the
attached quarterly unaudited consolidated statements of earnings, consolidated
statements of changes in shareholders' equity, consolidated balance sheets,
consolidated statements of cash flows and notes to the consolidated financial
statements. Readers of this document should also refer to Management's
Discussion and Analysis in Suncor's 2000 Annual Report.

INDUSTRY INDICATORS
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------
                                                              3 months ended      3 MONTHS ENDED
                                                              March 31, 2000      MARCH 31, 2001
------------------------------------------------------------------------------------------------
<S>                                                                <C>                 <C>
West Texas Intermediate (WTI) crude oil
U.S.$/barrel at Cushing                                            28.75               28.70

Light/heavy crude oil differential
U.S.$/barrel - WTI @ Cushing/Bow River @ Hardisty                  11.25               4.50

Natural gas U.S.$/thousand cubic feet @ Henry Hub                  2.50                7.25

Natural gas (Alberta spot) Cdn$/thousand cubic feet @ Empress      3.00                10.35

New York Habour 3-2-1 crack* U.S.$/barrel                          4.65                4.80

Exchange rate: Cdn$:U.S.$                                          0.69                0.65
------------------------------------------------------------------------------------------------
</TABLE>
* New York Habour 3-2-1 crack is an industry indicator measuring the margin on a
  barrel of oil for gasoline and distillate.

Suncor's future financial performance is closely linked to the above price and
exchange factors. Suncor cannot control the above price and exchange factors and
as such cannot predict any future changes. Therefore, future financial
performance may be volatile. For further discussion of the above and other
risk/success factors affecting Suncor's financial performance, readers are
referred to Suncor's 2000 Annual Information Form. A copy of this document is
available on Suncor's web site at www.suncor.com or by calling 1-800-558-9071.

THREE MONTHS ENDED MARCH 31, 2001 COMPARED TO THE THREE MONTHS ENDED
MARCH 31, 2000

ANALYSIS OF CONSOLIDATED STATEMENTS OF EARNINGS AND CASH FLOW

Net earnings for the quarter were a record $125 million compared to $105 million
in the first quarter of 2000. Operational earnings in the quarter were $131
million compared to operational earnings of $105 million during the first
quarter of 2000. Operational earnings were higher than net earnings for the
first quarter of 2001 because Project Millennium start-up costs are not viewed
as part of ongoing operational earnings and cash flow, and such costs will no
longer be incurred after commissioning of the project is completed, which is
anticipated to occur by January, 2002.

The improvement in operational earnings was primarily a result of increased
commodity prices (including the impact of a weaker Canadian dollar versus the
U.S. dollar), higher downstream refining margins and a lower crude oil hedging
loss of $45 million in the first quarter of 2001 compared to a $51 million loss
in the first quarter of 2000. The lower loss reflects the reduced level of
hedging activity undertaken by Suncor in 2001 compared to 2000. These favourable
factors were partially offset by lower sales volumes, a higher light/heavy crude
oil differential, costs related to the Stuart Oil Shale Project and interest
expenses.

Commencing in the first quarter of this year Suncor changed its methodology of
accounting for intersegment sales (as explained in Note 2 of the consolidated
financial statements). The new methodology recognizes that more sales of crude
oil are being made to third parties than in the past, and more crude oil is
being purchased from third parties by Sunoco.

Cash flow from operations in the quarter was a record $275 million compared with
$269 million for the first quarter of 2000. Excluding the costs associated with
Project Millennium, cash flow from operations was $302 million. The increase in
cash flow is a result of the same factors that increased net earnings.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       6

SEGMENTED EARNINGS AND CASH FLOW ANALYSIS

OIL SANDS

Oil Sands recorded net earnings in the quarter of $69 million, down from the $90
million earned in the first quarter of 2000. The decline was due to a number of
factors. Sales volumes were 1.1 million barrels lower than the first quarter of
2000 as inventory levels were increased to help meet customer requirements
during the planned maintenance shutdown of the 5C9 fractionator unit in early
April 2001. Also contributing to the lower earnings were lower sour crude oil
prices due to the widening of the light/heavy crude oil differential, higher
energy costs, and start-up costs associated with Project Millennium. Partially
offsetting these factors was a lower crown royalty rate for oil sands production
which was reduced to 1% of gross revenues compared to 5% in the first quarter of
2000, the impact of a weaker Canadian dollar versus the U.S. dollar (a weaker
Canadian dollar has a positive impact on the pricing of crude oil) and a lower
crude oil hedging loss.

The decrease in cash flow from operations to $140 million in the first quarter
of 2001 from $199 million in the first quarter of 2000 is due to the same
factors that reduced earnings as well as higher spending associated with Project
Millennium start-up and overburden pre-stripping.

NATURAL GAS

Natural Gas (NG) net earnings increased from $8 million in the first quarter of
2000 to $53 million in the first quarter of 2001. The increase is primarily due
to higher commodity prices (especially natural gas prices, which increased by
over 250% due to strong demand), supply/demand balance and sales to natural gas
markets, such as California, where prices were higher than in the previous year.

In addition, lower operating expenses as a result of property divestments in
2000, the benefits of an annualized cost reduction of $15 million identified in
2000 and lower exploration expenses due to lower dry hole and exploration costs
also positively improved earnings. The decline in exploration activity is
consistent with the change in the NG strategy to build competitive operating
areas, improve base business efficiency and achieve higher returns on capital.
Partially offsetting the above favourable factors were higher royalties
resulting from increased commodity prices (particularly in the case of natural
gas), lower sales volumes due to property divestments that occurred last year
and natural reservoir decline.

Cash flow from operations for the quarter was $127 million, up from the $48
million reported in the first quarter of 2000. The increase is due to the same
factors that increased earnings.

SUNOCO

Sunoco's first quarter net earnings were $23 million compared with $19 million
in the first quarter of 2000.

As noted in Suncor's 2000 Annual Report, Sunoco restructured its organization in
2000 to increase operating efficiencies. The changes were designed to enable
Sunoco to better execute its business strategies by providing greater focus on
Sunoco-wide performance. The re-organization reduced the number of business
units from three to two, these new business units being called Rack-Back and
Rack-Forward. Sunoco is basing its reporting for 2001 upon this new structure.
Prior year figures have been reclassified to conform to this presentation.

The majority of the Rack-Forward business is comprised of the retail and joint
venture operations, UPI and Pioneer, as well as the natural gas retail sales
(formerly referred to as the Integrated Energy Solutions business). The
Rack-Forward business also includes cardlock sales, industrial and commercial
sales. The retail operations including the joint venture businesses and the
natural gas marketing business comprise approximately 95% of the Rack-Forward
earnings of $5 million in the first quarter of 2001.

The Rack-Back business includes refining operations and sales to the refinery's
largest industrial and reseller customers, including Sun Petrochemicals Company.

Rack-Back net earnings in the quarter of $18 million were the same as the first
quarter net earnings in 2000. Rack-Back refining margins improved due to a tight
supply/demand balance and low inventories. Volumes increased by more than 4%
over the same quarter last year reflecting strong demand. Offsetting these
favourable factors were higher cash operating expenses due to higher energy
consumption and prices. In addition, higher repair and maintenance costs at the
refinery were incurred due to an unplanned outage of the catalytic cracker unit
in January 2001. The outage also resulted in higher freight expenditures and
higher product purchases being incurred. The unit returned to production in late
January 2001.

Rack-Forward net earnings increased to $5 million in the quarter from $1 million
in the first quarter of 2000. The earnings improvement was due to stronger
margins in the natural gas business due to the restructuring of the majority of
contracts to match fixed price sales contracts with fixed price supply. Improved
margins

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       7

were also realized in the commercial and reseller distribution channels
reflecting improved diesel and heating oil margins.

Sunoco's branded retail gasoline business experienced lower margins due to
competitive market pressures and price related costs arising from Sunoco's
customer loyalty program. While volumes increased by 3%, they did not completely
offset the impact of the lower margins.

Cash flow from operations in the quarter improved to $50 million from $46
million in the same period of 2000 for the same reasons that earnings improved.

CORPORATE

Corporate costs were $20 million compared to $12 million in the first quarter of
2000. The increase was primarily due to higher costs associated with the Stuart
Oil Shale Project including a foreign exchange impact, interest charges that are
no longer being capitalized with respect to the Stuart Oil Shale Project and
research and development costs with respect to new technology assessments.

During the quarter there was a cash flow deficit of $42 million up from $24
million in the first quarter last year. This increase is a result of the same
factors that increased costs noted above.

ANALYSIS OF FINANCIAL CONDITION

Excluding cash and cash equivalents, short-term borrowings and the current
portion of long-term borrowings, Suncor had working capital of $10 million at
the end of the quarter compared to a working capital deficiency of $128 million
at the end of 2000. This change reflects an increase in inventory levels in both
Oil Sands and Sunoco and the reduction of outstanding liabilities reflecting
lower Project Millennium obligations, lower hedging losses and a general
reduction in investing activities that also reduced obligations. At the end of
the quarter net debt had increased from $2.236 billion at the end of 2000 to
$2.514 billion at the end of the first quarter of 2001. This increase largely
reflects Project Millennium spending. Suncor has in place sufficient lines of
credit to cover working capital requirements.

UPDATES AND DEVELOPMENTS

By the end of the quarter, Suncor's Project Millennium had reached the 80%
completion mark with engineering, equipment and material purchases all
essentially complete. Project expenditures at the end of the first quarter were
$2.65 billion. Suncor's current $2.8 billion cost estimate for Project
Millennium remains unchanged, however, construction cost pressures continue to
challenge the project. Construction productivity in the second quarter will be
important to determine the final cost estimate of the project. Suncor expects to
provide a final cost estimate early in the third quarter of 2001 when Project
Millennium is expected to be over 90% complete.

Suncor believes it has sufficient borrowing capacity and cash flow from
operations to fund completion of Project Millennium and ongoing operations and
investing activities.

At the end of the quarter Suncor's collective agreement with the Communications,
Energy and Paperworkers Union Local 707, which expires May 1, 2001, was still
under negotiations. Management believes that a new agreement should be reached
without work interruptions.

Labour agreements with other building trades, that supply much of the labour for
Project Millennium, expire on April 30, 2001. While Suncor is not a direct
negotiator in these agreements, Suncor has developed a working relationship with
these trade unions and believes that a satisfactory resolution will be reached
and progress on the project will not be impeded.

In its budget presented on April 24, the Alberta government announced it will
reduce the Alberta provincial income tax rate from 15.5% to 13.5% on April 1,
2001. This change will reduce the income tax that Suncor pays on income earned
in the province of Alberta. Suncor has not yet assessed the impact of this
announcement.

After several years of evaluation and negotiation, an energy supply agreement
was signed with TransAlta Energy Corporation (TransAlta) in the quarter whereby
TransAlta's Sarnia Regional Co-generation project will supply Sunoco's Sarnia
Refinery with energy. Under the energy supply agreement, it is expected that the
new facility will commence operation in the fourth quarter of 2002.

Subsequent to the end of the quarter, as explained in Note 5 to the consolidated
financial statements, Suncor sold its interest in the Australian Stuart Oil
Shale Project to Southern Pacific Petroleum and Central Pacific Minerals and
will record a write off in the second quarter of $3 million.

Except as discussed herein, the risk/success factors that may impact the Company
and which are identified in the Company's annual Management's Discussion and
Analysis for 2000, remain substantially unchanged.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       8

LEGAL NOTICE

THIS QUARTERLY REPORT TO SHAREHOLDERS, INCLUDING THE MANAGEMENT'S DISCUSSION AND
ANALYSIS, CONTAINS CERTAIN FORWARD-LOOKING STATEMENTS, WHICH ARE BASED ON
SUNCOR'S CURRENT EXPECTATIONS, ESTIMATES, PROJECTIONS AND ASSUMPTIONS AND WERE
MADE BY SUNCOR IN LIGHT OF ITS EXPERIENCE AND ITS PERCEPTION OF HISTORICAL
TRENDS. ALL STATEMENTS THAT ADDRESS EXPECTATIONS OR PROJECTIONS ABOUT THE
FUTURE, INCLUDING STATEMENTS ABOUT SUNCOR'S STRATEGY FOR GROWTH, EXPECTED
EXPENDITURES, COMMODITY PRICES, COSTS, SCHEDULES AND OPERATING OR FINANCIAL
RESULTS, ARE FORWARD LOOKING STATEMENTS. SOME OF THE FORWARD LOOKING STATEMENTS
MAY BE IDENTIFIED BY WORDS LIKE "EXPECTS," "ANTICIPATES," "PLANS," "BELIEVES,"
"PROJECTS" AND SIMILAR EXPRESSIONS. THESE STATEMENTS ARE NOT GUARANTEES OF
FUTURE PERFORMANCE AND INVOLVE A NUMBER OF RISKS, UNCERTAINTIES AND ASSUMPTIONS.
SUNCOR'S BUSINESS IS SUBJECT TO RISKS AND UNCERTAINTIES, SOME OF WHICH ARE
SIMILAR TO OTHER OIL AND GAS COMPANIES AND SOME OF WHICH ARE UNIQUE TO SUNCOR.
SUNCOR'S ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED BY
ITS FORWARD LOOKING STATEMENTS AS A RESULT OF KNOWN AND UNKNOWN RISKS,
UNCERTAINTIES AND OTHER FACTORS. THE RISKS, UNCERTAINTIES AND OTHER FACTORS THAT
COULD INFLUENCE ACTUAL RESULTS INCLUDE: CHANGES IN THE GENERAL ECONOMIC, MARKET
AND BUSINESS CONDITIONS; FLUCTUATIONS IN SUPPLY AND DEMAND FOR SUNCOR'S
PRODUCTS; FLUCTUATIONS IN COMMODITY PRICES; FLUCTUATIONS IN CURRENCY EXCHANGE
RATES; SUNCOR'S ABILITY TO RESPOND TO CHANGING MARKETS; THE ABILITY OF SUNCOR TO
RECEIVE TIMELY REGULATORY APPROVALS; THE SUCCESSFUL AND TIMELY IMPLEMENTATION OF
ITS GROWTH PROJECTS INCLUDING PROJECT MILLENNIUM; THE INTEGRITY AND RELIABILITY
OF SUNCOR'S CAPITAL ASSETS; THE CUMULATIVE IMPACT OF OTHER RESOURCE DEVELOPMENT
PROJECTS; SUNCOR'S ABILITY TO COMPLY WITH CURRENT AND FUTURE ENVIRONMENTAL LAWS;
THE ACCURACY OF SUNCOR'S PRODUCTION ESTIMATES AND PRODUCTION LEVELS AND ITS
SUCCESS AT EXPLORATION AND DEVELOPMENT DRILLING AND RELATED ACTIVITIES; THE
MAINTENANCE OF SATISFACTORY RELATIONSHIPS WITH UNIONS, EMPLOYEE ASSOCIATIONS AND
JOINT VENTURERS; COMPETITIVE ACTIONS OF OTHER COMPANIES, INCLUDING INCREASED
COMPETITION FROM OTHER OIL AND GAS COMPANIES OR FROM COMPANIES WHICH PROVIDE
ALTERNATIVE SOURCES OF ENERGY; THE UNCERTAINTIES RESULTING FROM POTENTIAL DELAYS
OR CHANGES IN PLANS WITH RESPECT TO EXPLORATION OR DEVELOPMENT PROJECTS OR
CAPITAL EXPENDITURES; ACTIONS BY GOVERNMENTAL AUTHORITIES INCLUDING INCREASING
TAXES, CHANGES IN ENVIRONMENTAL AND OTHER REGULATIONS; THE ABILITY AND
WILLINGNESS OF PARTIES WITH WHOM SUNCOR HAS MATERIAL RELATIONSHIPS TO PERFORM
THEIR OBLIGATIONS TO SUNCOR; AND THE OCCURRENCE OF UNEXPECTED EVENTS SUCH AS
FIRES, BLOWOUTS, FREEZE-UPS, EQUIPMENT FAILURES AND OTHER SIMILAR EVENTS
AFFECTING SUNCOR OR OTHER PARTIES WHOSE OPERATIONS OR ASSETS DIRECTLY OR
INDIRECTLY AFFECT SUNCOR. MANY OF THESE RISK FACTORS ARE DISCUSSED IN FURTHER
DETAIL IN SUNCOR'S 2000 ANNUAL INFORMATION FORM AND IN SUNCOR'S MANAGEMENT'S
DISCUSSION AND ANALYSIS IN ITS 2000 ANNUAL REPORT. READERS ARE ALSO REFERRED TO
THE RISK FACTORS DESCRIBED IN OTHER DOCUMENTS SUNCOR FILES FROM TIME TO TIME
WITH SECURITIES REGULATORY AUTHORITIES. COPIES OF THESE DOCUMENTS ARE AVAILABLE
WITHOUT CHARGE FROM THE COMPANY.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       9

CONSOLIDATED STATEMENTS OF EARNINGS
(unaudited)
<TABLE>
<CAPTION>
                                                         Three months ended March 31
------------------------------------------------------------------------------------
($ millions)                                                2001                2000
------------------------------------------------------------------------------------
<S>                                                       <C>                <C>
REVENUES (note 2)                                          1 001                779
------------------------------------------------------------------------------------
EXPENSES
  Purchases of crude oil and products (note 2)               306                155
  Operating, selling and general                             230                217
  Exploration                                                  1                 10
  Royalties                                                   57                 43
  Taxes other than income taxes                               86                 84
  Depreciation, depletion and amortization                    88                 91
  Gain on disposal of assets                                 --                  (1)
  Start-up expenses - Project Millenium (note 3)              10                 --
  Interest                                                     4                 --
------------------------------------------------------------------------------------
                                                             782                599
------------------------------------------------------------------------------------
EARNINGS BEFORE INCOME TAXES                                 219                180
------------------------------------------------------------------------------------
PROVISION FOR INCOME TAXES
  Current                                                     17                 7
  Future                                                      77                 68
------------------------------------------------------------------------------------
                                                              94                 75
------------------------------------------------------------------------------------
NET EARNINGS                                                 125                105
Dividends on preferred securities                             (7)                (6)
------------------------------------------------------------------------------------
Net earnings attributable to common shareholders             118                 99
------------------------------------------------------------------------------------
PER COMMON SHARE (dollars)
Net earnings attributable to common shareholders

basic                                                      0.53               0.45
diluted                                                    0.52               0.45
------------------------------------------------------------------------------------
Cash dividends                                             0.085              0.085
------------------------------------------------------------------------------------
</TABLE>

See accompanying notes.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       10


CONSOLIDATED BALANCE SHEETS
(unaudited)
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------
                                                 MARCH 31           December 31
($ millions)                                         2001                  2000
--------------------------------------------------------------------------------
<S>                                                 <C>                   <C>
ASSETS
  CURRENT ASSETS
    Cash and cash equivalents                          45                    21
    Accounts receivable                               401                   407
    Future income taxes                                45                    45
    Inventories                                       215                   192
--------------------------------------------------------------------------------
  Total current assets                                706                   665
--------------------------------------------------------------------------------
  Capital assets, net                               6 215                 5 883
  Deferred charges and other                          171                   166
  Future income taxes                                 131                   119
--------------------------------------------------------------------------------
  Total assets                                      7 223                 6 833
--------------------------------------------------------------------------------
LIABILITIES AND SHAREHOLDERS' EQUITY
  CURRENT LIABILITIES
    Short-term borrowings                              30                    64
    Accounts payable                                  373                   424
    Accrued liabilities                               237                   285
    Income taxes payable                                7                    15
    Future income taxes                                 5                     9
    Taxes other than income taxes                      29                    39
    Current portion of long-term borrowings             1                     1
--------------------------------------------------------------------------------
  Total current liabilities                           682                   837
--------------------------------------------------------------------------------
  Long-term borrowings                              2 528                 2 192
  Accrued liabilities and other                       261                   252
  Future income taxes                               1 173                 1 080
  Shareholders' equity (see below)                  2 579                 2 472
--------------------------------------------------------------------------------
  Total liabilities and shareholders' equity        7 223                 6 833
--------------------------------------------------------------------------------
  SHAREHOLDERS' EQUITY
                                            NUMBER               Number
    Preferred securities                17 540 000    514     7 540 000     514
    Share capital                      222 420 334    545   221 900 579     537
    Retained earnings                               1 520                 1 421
--------------------------------------------------------------------------------
                                                    2 579                 2 472
--------------------------------------------------------------------------------
</TABLE>

See accompanying notes.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       11

CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
<TABLE>
<CAPTION>
                                                              Three months ended March 31
-----------------------------------------------------------------------------------------
($ millions)                                                        2001            2000
-----------------------------------------------------------------------------------------
<S>                                                                 <C>             <C>
OPERATING ACTIVITIES
  Cash flow provided from operations (1), (2)                        275             269
  Decrease (increase) in operating working capital
    Accounts receivable                                                6             (65)
    Inventories                                                      (23)             (8)
    Accounts payable and accrued liabilities                         (99)            (36)
    Taxes payable                                                    (16)            (16)
-----------------------------------------------------------------------------------------
Cash provided from operating activities                              143             144
-----------------------------------------------------------------------------------------
CASH USED IN INVESTING ACTIVITIES (2)                               (398)           (460)
-----------------------------------------------------------------------------------------
NET CASH DEFICIENCY BEFORE FINANCING ACTIVITIES                     (255)           (316)
-----------------------------------------------------------------------------------------
FINANCING ACTIVITIES
  Decrease in short-term borrowings                                  (34)            (17)
  Net increase in long-term borrowings                               336             360
  Issuance of common shares under stock option plan                    6               1
  Dividends paid on preferred securities (3)                         (12)            (11)
  Dividends paid on common shares                                    (17)            (19)
-----------------------------------------------------------------------------------------
Cash provided from financing activities                              279             314
-----------------------------------------------------------------------------------------
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                      24              (2)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                      21               5
-----------------------------------------------------------------------------------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD                            45               3
-----------------------------------------------------------------------------------------
PER COMMON SHARE (dollars)
(1) Cash flow provided from operations                              1.24            1.22
(3) Dividends paid on preferred securities (pre-tax)                0.05            0.06
-----------------------------------------------------------------------------------------
Cash flow provided from operations after deducting
dividends paid on preferred securities                              1.19            1.16
-----------------------------------------------------------------------------------------
(2) See Schedules of Segmented Data
-----------------------------------------------------------------------------------------
</TABLE>

See accompanying notes.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       12

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
(unaudited)
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------
                                              Preferred           Share          Retained
($ millions)                                 Securities         Capital          Earnings
-----------------------------------------------------------------------------------------
<S>                                                <C>             <C>             <C>
AT DECEMBER 31, 1999                                514             524             1 070
Net earnings                                         --              --               105
Dividends paid on preferred securities               --              --                (6)
Dividends paid on common shares                      --              --               (19)
Issued for cash under stock option plan              --               1                --
Income taxes - impact of new standard                --              --                57
-----------------------------------------------------------------------------------------
AT MARCH 31, 2000                                   514             525             1 207
-----------------------------------------------------------------------------------------
AT DECEMBER 31, 2000                                514             537             1 421
Net earnings                                         --              --               125
Dividends paid on preferred securities               --              --                (7)
Dividends paid on common shares                      --              --               (17)
Issued for cash under stock option plan              --               6                --
Issued under dividend reinvestment plan              --               2                (2)
-----------------------------------------------------------------------------------------
AT MARCH 31, 2001                                   514             545             1 520
-----------------------------------------------------------------------------------------
</TABLE>

See accompanying notes.

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------
                                                                 2001            2000
-------------------------------------------------------------------------------------
<S>                                                         <C>             <C>
COMMON SHARE INFORMATION
For the three months ended March 31
Average number outstanding, weighted monthly (thousands)      222 115         221 064
-------------------------------------------------------------------------------------
As at March 31
Share price at end of trading
Toronto Stock Exchange               - $Canadian                40.55           31.45
New York Stock Exchange              - $U.S.                    25.90           21.25
-------------------------------------------------------------------------------------
Book value per common share          - $Canadian                 9.29            7.84
                                     - $U.S.                     5.89            5.39
-------------------------------------------------------------------------------------
Common share options outstanding                            6 399 816       6 619 708
-------------------------------------------------------------------------------------
</TABLE>

RATIOS
(unaudited)
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------
<S>                                                              <C>            <C>
as at March 31
Debt to debt plus shareholders' equity (%)                       49.8           42.7
-------------------------------------------------------------------------------------
Net tangible asset coverage on long-term debt (times)
  Before deduction of future income taxes                         2.4            2.7
-------------------------------------------------------------------------------------
  After deduction of future income taxes                          2.0            2.2
-------------------------------------------------------------------------------------

For the twelve months ended March 31
Debt to cash flow provided from operations (times)                2.6            1.8
-------------------------------------------------------------------------------------
Interest coverage on long-term debt (times)
  Net income                                                      5.4            6.7
-------------------------------------------------------------------------------------
  Cash flow from operations                                       7.9           10.7
-------------------------------------------------------------------------------------
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       13

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)

1. ACCOUNTING POLICIES
These financial statements follow the same accounting policies and methods of
computation as, and should be read in conjunction with, the most recent annual
financial statements, with the exception to the elimination of intercompany
sales as discussed in note 2.

2. ELIMINATION OF INTERCOMPANY SALES
During the first quarter of 2001, the company changed the methodology of
accounting for sales from its upstream operations (Oil Sands and Natural Gas) to
its downstream operations (Sunoco) from a deeming concept to the actual tracking
of product shipped. This change was made to better reflect the current
operational activities within the company. This prospective change will equally
increase sales and other operating revenues and purchases of crude oil and
products by $96 million and will have no impact on consolidated and segmented
net earnings in the accompanying financial statements.

3. START-UP EXPENSES
Start-up expenses represent pre-operating costs incurred in the commissioning of
the company's Oil Sands Project Millenium.

4. SUPPLEMENTAL INFORMATION

<TABLE>
<CAPTION>
                                  Three months ended March 31
-------------------------------------------------------------
($ millions)                          2001               2000
-------------------------------------------------------------
<S>                                     <C>                <C>
Interest paid                           43                 28
-------------------------------------------------------------
Income taxes paid                       20                 16
-------------------------------------------------------------
Interest expense
  Long term interest cost               35                 22
  Capitalized interest                 (31)               (22)
-------------------------------------------------------------
                                         4                 --
-------------------------------------------------------------
</TABLE>

HEDGE POSITION UPDATE
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------
                            Quantity                                $US (WTI)                        $CDN
---------------------------------------------------------------------------------------------------------
<S>                   <C>                   <C>                                         <C>
2001
Crude Oil             42 710 bbl/day                                  $18.75                       $26.39
                       4 790 bbl/day                                  $18.75                     $29.58 *
                      10 000 bbl/day        $26.00 - $31.88 (costless collar)           $41.01 - $50.29 *
---------------------------------------------------------------------------------------------------------
2002
Crude Oil             41 000 bbl/day                                  $20.06                       $28.45
                      12 000 bbl/day        $22.00 - $26.28 (costless collar)           $34.70 - $41.45 *
                      10 000 bbl/day        $21.00 - $26.19 (costless collar)           $33.13 - $41.31 *
---------------------------------------------------------------------------------------------------------
</TABLE>

<TABLE>
<CAPTION>

---------------------------------------------------------------------------------------------------------
                                                                           Average margin hedged
                            Quantity                                $US/bbl                      $CDN/bbl
---------------------------------------------------------------------------------------------------------
<S>                   <C>                                           <C>                          <C>
2001 - Q2
Refined Products -
Distillate/Gasoline   1.5 million bbls                                 $4.51                      $7.11 *
---------------------------------------------------------------------------------------------------------
</TABLE>
 * For presentation purposes, these $US hedges have been converted to a $CDN
   equivalent based on the month end $US/$CDN exchange rate of 1.5774.

5. SUBSEQUENT EVENT - OIL SHALE PROJECT
Effective April 5, 2001, the company sold its interest in the Stuart Oil Shale
Project to its partners in the joint venture Southern Pacific Petroleum and
Central Pacific Minerals (SPP/CPM). In consideration, the company will retain a
5% royalty interest in Stage 1 of the project and each party will retain its
world wide rights to the technology. The company will make total payments as
part of the transaction in the amount of AUD$7 million, which SPP/CPM will use
to fund Stage 1 operating, capital and transition costs. The company will
receive 2.5 million SPP shares and 0.926 million CPM shares in consideration.
SPP/CPM will issue the company 12.5 million SPP share options and 4.6 million
CPM share options, exercisable over five years at a strike price of AUD$1.25 per
SPP share and AUD$3.38 per CPM share.

During the second quarter of 2001, the company will write off the carrying value
of the capital assets, surrender its partly paid Restricted Class shares and
extinguish the long term borrowings and accrued interest. The resulting after
tax charge of the divestment will be $3 million.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       14

SCHEDULES OF SEGMENTED DATA
(unaudited)
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------
                                                                                      Three months ended March 31
-----------------------------------------------------------------------------------------------------------------
                                                                                     Corporate and
                                      Oil Sands      Natural Gas         Sunoco       eliminations      Total
-----------------------------------------------------------------------------------------------------------------
($ millions)                       2001      2000    2001    2000     2001    2000    2001    2000   2001    2000
-----------------------------------------------------------------------------------------------------------------
<S>                                  <C>     <C>      <C>     <C>    <C>     <C>    <C>     <C>      <C>     <C>
EARNINGS
REVENUES
Sales and other
  operating revenues                 252     151      82      46     666     581      --      --    1 000    778
Intersegment revenues                 41     191     108      44      --      --    (149)   (235)      --     --
Interest                              --      --      --      --      --      --       1       1       1       1
-----------------------------------------------------------------------------------------------------------------
                                     293     342     190      90     666     581    (148)   (234)   1 001    779
-----------------------------------------------------------------------------------------------------------------
EXPENSES
Purchases of crude
 oil and products                     --      --      --      --     449     382    (143)   (227)    306     155
Operating, selling
 and general                         108     109      14      23      84      73      24      12     230     217
Exploration                           --      --       1      10      --      --      --      --       1      10
Royalties                              7      25      50      18      --      --      --      --      57      43
Taxes other than
 income taxes                          3       3       1      --      82      81      --      --      86      84
Depreciation, depletion
 and amortization                     57      55      18      23      14      13      (1)     --      88      91
Gain on disposal of assets            --      --      --      (1)     --      --      --      --      --      (1)
Start-up expenses -
 Project Millennium                   10      --      --      --      --      --      --      --      10      --
Interest                              --      --      --      --      --      --       4      --       4      --
-----------------------------------------------------------------------------------------------------------------
                                     185     192      84      73     629     549    (116)   (215)    782     599
-----------------------------------------------------------------------------------------------------------------
EARNINGS (LOSS) BEFORE
 INCOME TAXES                        108     150     106      17      37      32     (32)    (19)    219     180
Income taxes                         (39)    (60)    (53)     (9)    (14)    (13)     12       7     (94)    (75)
-----------------------------------------------------------------------------------------------------------------
NET EARNINGS (LOSS)                   69      90      53       8      23      19     (20)    (12)    125     105
-----------------------------------------------------------------------------------------------------------------
CAPITAL EMPLOYED
As at March 31                      1 500   1 520    320     709     520     469     (17)    (66)   2 323   2 632
-----------------------------------------------------------------------------------------------------------------
Twelve months ended March 31
RETURN ON AVERAGE
 CAPITAL EMPLOYED (%)               19.5    16.8    28.0     6.2    17.3     8.1      --      --    16.3    11.0
-----------------------------------------------------------------------------------------------------------------
RETURN ON AVERAGE
 CAPITAL EMPLOYED (%) *              8.7    11.6    28.0     6.2    17.3     8.1      --      --     8.9     8.3
-----------------------------------------------------------------------------------------------------------------
</TABLE>

 * The company's definition of capital employed excludes capitalized costs
   related to major projects in progress. If capital employed were to include
   these capitalized costs, the return on average capital employed would be as
   stated on this line.

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       15

SCHEDULES OF SEGMENTED DATA (CONT'D)
(unaudited)
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------
                                                                                       Three months ended March 31
------------------------------------------------------------------------------------------------------------------
                                                                                     Corporate and
                                        Oil Sands     Natural Gas       Sunoco        eliminations       Total
------------------------------------------------------------------------------------------------------------------
($ millions)                          2001    2000    2001    2000    2001  2000      2001    2000    2001    2000
------------------------------------------------------------------------------------------------------------------
<S>                                   <C>     <C>      <C>      <C>     <C>     <C>    <C>     <C>    <C>     <C>
CASH FLOW BEFORE FINANCING ACTIVITIES
CASH PROVIDED FROM (USED IN)
  OPERATING ACTIVITIES:
  Cash flow provided from
    (used in) operations
  Net earnings (loss)                   69      90      53       8      23      19     (20)    (12)    125     105
  Exploration expenses
    Cash                                --      --      --       4      --      --      --      --      --       4
    Dry hole costs                      --      --       1       6      --      --      --      --       1       6
  Non-cash items
    included in earnings
    Depreciation, depletion
      and amortization                  57      55      18      23      14      13      (1)     --      88      91
    Future income taxes                 37      57      53      (4)      1       6     (14)      9      77      68
    Current income tax provision
      allocated to Corporate             2       3      --      13      13       7     (15)    (23)     --      --
    Gain on disposal of assets          --      --      --      (1)     --      --      --      --      --      (1)
    Other                                2       3       1      (1)      1       1       1      (4)      5      (1)
  Overburden removal outlays            (9)     (5)     --      --      --      --      --      --      (9)     (5)
  Overburden removal outlays
    - Project Millenium                (17)     (3)     --      --      --      --      --      --     (17)     (3)
  Increase (decrease) in
    deferred credits and other          (1)     (1)      1      --      (2)     --       7       6       5       5
------------------------------------------------------------------------------------------------------------------
  Total cash flow provided
    from (used in) operations          140     199     127      48      50      46     (42)    (24)    275     269
  Decrease (increase) in
    operating working capital         (111)    (93)     49     (20)    (28)    (25)    (42)     13    (132)   (125)
------------------------------------------------------------------------------------------------------------------
  Total cash provided from
    (used in) operating activities      29     106     176      28      22      21     (84)    (11)    143     144
------------------------------------------------------------------------------------------------------------------
CASH PROVIDED FROM (USED IN)
INVESTING ACTIVITIES:
  Capital and exploration
    expenditures                      (362)   (406)    (30)    (40)     (4)     (5)     (2)     (6)   (398)   (457)
  Deferred outlays and
    other investments                   --      (3)     --      --      (1)     (3)      1      --      --      (6)
  Proceeds from disposals               --      --      --       3      --      --      --      --      --       3
------------------------------------------------------------------------------------------------------------------
  Total cash used in
    investing activities              (362)   (409)    (30)    (37)     (5)     (8)     (1)     (6)   (398)   (460)
------------------------------------------------------------------------------------------------------------------
NET CASH SURPLUS (DEFICIENCY)
  BEFORE FINANCING ACTIVITIES         (333)   (303)    146      (9)     17      13     (85)    (17)   (255)   (316)
------------------------------------------------------------------------------------------------------------------
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       16

QUARTERLY OPERATING SUMMARY
(unaudited)
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------
                                                   For the quarter ended           Total year
---------------------------------------------------------------------------------------------
                                          MAR 31   Dec 31  Sept 30  June 30   Mar 31
                                            2001     2000     2000    2000      2000     2000
---------------------------------------------------------------------------------------------
<S>                                        <C>      <C>      <C>      <C>      <C>      <C>
OIL SANDS
PRODUCTION (a)                             113.4    110.0    114.2    116.7    114.8    113.9
SALES (a)
  - light sweet crude oil                   53.0     64.0     61.4     64.3     67.7     64.3
  - diesel                                  13.5     11.0      8.9      8.6      8.7      9.3
  - light sour crude oil                    40.0     38.5     42.6     45.2     41.5     42.0
---------------------------------------------------------------------------------------------
                                           106.5    113.5    112.9    118.1    117.9    115.6
---------------------------------------------------------------------------------------------
AVERAGE SALES PRICE (b)
  - light sweet crude oil                  36.09    37.22    36.21    33.54    34.35    35.31
  - other (diesel and
    light sour crude oil)                  25.66    23.71    27.84    28.22    28.46    27.09
  - total                                  30.84    31.33    32.39    31.12    31.84    31.67
  - total *                                38.17    43.27    43.41    39.40    39.19    41.29
  CASH OPERATING COSTS (1), (c)            15.40    16.40    14.50    12.20    11.10    13.55
  TOTAL OPERATING COSTS (2), (c)           18.60    19.50    17.40    16.60    15.50    17.25

NATURAL GAS
GROSS PRODUCTION **
Conventional
  - natural gas (d)                          177      183      200      195      222      200
  - natural gas liquids (a)                  2.3      2.5      2.8      3.1      3.5      3.0
  - crude oil (a) ***                        1.7      1.6      3.6      3.5      8.1      4.2
  - total (e)                               21.7     22.4     26.4     26.1     33.8     27.2
AVERAGE SALES PRICE
  - natural gas (f)                        10.73     8.02     4.63     3.70     2.96     4.72
  - natural gas (f) *                      10.81     8.05     4.62     3.70     2.97     4.73
  - natural gas liquids (b)                45.07    43.00    39.56    32.80    33.16    36.66
  - crude oil - conventional (b)           37.35    36.01    33.09    30.04    26.30    29.50
  - crude oil - conventional (b) *         42.12    44.35    42.31    38.65    38.23    39.80
NET WELLS DRILLED
Conventional - exploratory ****                2        4        1        9        2       16
             - development                     2        4        5        6        4       19
---------------------------------------------------------------------------------------------
                                               4        8        6       15        6       35
---------------------------------------------------------------------------------------------
</TABLE>

MEDIA AND INVESTOR INQUIRIES:
JOHN ROGERS (403) 269-8670                  VISIT OUR WEBSITE AT: WWW.SUNCOR.COM

<PAGE>

SUNCOR ENERGY INC. - FIRST QUARTER REPORT 2001
                                       17

QUARTERLY OPERATING SUMMARY
(unaudited)
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------
                                                       For the quarter ended         Total year
------------------------------------------------------------------------------------------------
                                            MAR 31  Dec 31  Sept 30  June 30   Mar 31
                                              2001    2000     2000     2000     2000      2000
------------------------------------------------------------------------------------------------
<S>                                           <C>     <C>      <C>      <C>      <C>       <C>
SUNOCO
REFINED PRODUCT SALES (g)
Transportation fuels
  Gasoline        - retail*****                4.1     4.4      4.2      4.2      4.0       4.2
                  - other                      4.0     4.1      4.1      4.2      3.8       4.0
  Jet fuel                                     1.1     1.0      1.1      1.0      1.1       1.1
  Diesel                                       3.1     3.3      3.0      3.3      2.8       3.1
------------------------------------------------------------------------------------------------
                                              12.3    12.8     12.4     12.7     11.7      12.4
Petrochemicals                                 0.5     0.6      0.3      0.8      0.6       0.6
Heating oils                                   0.8     0.6      0.2      0.3      0.7       0.4
Heavy fuel oils                                0.9     0.7      0.5      0.6      0.7       0.6
Other                                          0.4     0.5      0.6      0.7      0.6       0.6
------------------------------------------------------------------------------------------------
                                              14.9    15.2     14.0     15.1     14.3      14.6
------------------------------------------------------------------------------------------------
NATURAL GAS SALES (d)                           92      95       74       78       84        83
------------------------------------------------------------------------------------------------
MARGINS (h)
Refining (3)                                   6.2     5.8      6.1      6.3      5.4       5.9
Retail (4)                                     6.1     7.0      6.4      6.4      6.8       6.6
CRUDE OIL SUPPLY AND REFINING
Processed at Suncor refinery (g)               9.8    10.5     10.7     11.0     11.4      10.9
Utilization of refining capacity (%)            88      95       96       99      102        98
------------------------------------------------------------------------------------------------
</TABLE>

*     Excludes the impact of hedging activities.

**    Currently all Natural Gas production is located in the Western Canada
      Sedimentary Basin.

***   Before deducting first quarter 2001 Alberta Crown royalty of 0.2 thousand
      barrels per day (first quarter 2000 - 1.0 thousand barrels per day).

****  Excludes exploratory wells in progress

***** Excludes sales through joint venture interests.

<TABLE>
<CAPTION>
<S>                                   <C>                                    <C>
(a) thousands of barrels per day      (d) millions of cubic feet per day     (g) thousands of cubic metres per day
(b) dollars per barrel                (e) BOE per day                        (h) cents per litre
(c) dollars per barrel rounded        (f) dollars per thousand cubic feet
     to the nearest $0.05
</TABLE>

Definitions
<TABLE>
<CAPTION>
<S>                      <C>
(1)   Cash operating     - operating, selling and general expenses, crude oil and products purchases, taxes other than
      costs                income taxes, and overburden cash expenditures for the period.
(2)   Total operating    - cash and non-cash operating costs (total Oil Sands expenses less royalties in Schedules of
      costs                Segmented Data).
(3)   Refining margin    - average wholesale unit price from all products minus average unit cost of crude oil.
(4)   Retail margin      - average street price of Sunoco branded retail gasoline minus refining gasoline price.
</TABLE>

Metric conversion
Crude oil, refined products, etc.   1m3 (cubic metre) = approx. 6.29 barrels
Natural gas                         1m3 (cubic metre) = approx. 35.49 cubic feet



</TEXT>
</DOCUMENT>
