ConocoPhillips on Thursday boosted its oil and natural gas production guidance for the remainder of the year and said it expects to spend more now that it has taken full control of the Surmont oilsands site in Alberta. 

Full-year oil and natural gas production is now expected to come in at 1.82 million boe/d, up slightly from the prior range of 1.80-1.81 million boe/d. ConocoPhillips also expects to spend $8.6 billion on operations, compared with its previous guidance of $8.3 billion. Inflation and nonoperated activity in the U.S. onshore are also expected to push costs higher. 

The company exercised its contractual right in May to take full ownership of the Surmont assets, which utilize natural gas-fired stream injections to make bitumen deposits flow. The Canadian oilsands are...