Total Won't Accept Fort Hills Cost Increases

French oil and gas company Total said on Thursday that it was not ready to accept substantial cost increases in the Fort Hills oils sands project in Canada, which has led to a commercial dispute with Suncor.

Total's Chief Financial Officer Patrick de la Chevardiere told analysts in a call following the company's second quarter earnings that it was in discussion with Suncor to reduce costs.

Suncor said separately that it was in the early stages of a commercial dispute with Fort Hills project partner Total over project funding.

Reporting by Bate Felix