(Reuters) - Canadian oil and gas producer Husky Energy Inc (>> Husky Energy Inc.) forecast higher spending for 2018 on Monday and flat production levels from 2017.

The company said it expects to spend C$2.9 billion to C$3.1 billion, compared with its 2017 forecast of C$2.2 billion to C$2.3 billion.

Husky estimates 2018 production of 320,000 to 335,000 barrels of oil equivalent per day (boed) for next year, adjusting for asset sales expected to close by the end of 2017.

Next year, Husky said its operational focus is to ramp up the Tucker Thermal Project and Phase 1 of the Sunrise Energy Project, among others.

With the ramp-up of the projects to full capacity, average annual thermal production is expected to grow 12 percent year over year, the company said.

Husky has set a 2021 production target of 400,000 boed.

Last month, rivals Canadian Natural Resources Ltd (>> Canadian Natural Resources Limited) and Suncor Energy Inc (>> Suncor Energy Inc.), forecast lower 2018 capital spending as major projects near completion.

(Reporting by John Benny in Bengaluru; Editing by Bernard Orr)