In-situ project will use steam-assisted gravity drainage technology
Project design integrates energy-saving power cogeneration
Project will support production growth plans
CALGARY, Dec. 17, 2013 /CNW/ - Imperial Oil Limited today announced the
filing of regulatory applications with the Alberta Energy Regulator and
Alberta Environment and Sustainable Resource Development seeking
approval of a new oil sands project on its Muskeg lease about 45
kilometres northeast of Fort McMurray.
The proposed Aspen development would take place on a 52-section lease
area and use steam-assisted gravity drainage (SAGD) technology to
access a bitumen resource with recoverable potential of 1.1 billion
barrels. Imperial is considering using solvents to achieve enhanced
in-situ recovery and reduce water use and carbon dioxide emissions.
Solvent-assisted SAGD technology is being evaluated in a pilot at
Imperial's Cold Lake operation.
The proposed design concept involves three phases that will follow
Imperial's "design one, build multiple" approach and will include
central steam generation, bitumen processing plant facilities, and
energy-saving electrical power cogeneration. Development would be
phased during the expected 40-year span of the project with each phase
bringing on commercial bitumen production of about 45,000 barrels per
day. The concept plan includes future debottlenecking which could
further increase bitumen production.
Subject to timely receipt of regulatory approvals, further technical
evaluation and favourable business and market conditions, a final
investment decision could be made by as soon as 2017, and the project
could be producing as early as 2020.
The Aspen development is one of a portfolio of in-situ oil sands
opportunities Imperial is currently evaluating. Other potential
developments include the Corner and Clyden leases near Fort McMurray
and the Grand Rapids opportunity on Imperial's Cold Lake lease.
Imperial Oil Limited is one of Canada's largest corporations and a
leading member of the country's petroleum industry. The company is a
major producer of crude oil and natural gas, Canada's largest petroleum
refiner, a key petrochemical producer and a leading marketer with
coast-to-coast supply and service station networks.
Statements of future events or conditions, including projections,
targets, expectations, estimates, and business plans are
forward-looking statements. Actual future results, including project
plans, dates, costs and capacities; production rates and resource
recoveries could differ materially depending on a number of factors,
such as changes in the price, supply of and demand for crude oil,
natural gas, and petroleum and petrochemical products; political or
regulatory events; project schedules; commercial negotiations; the
receipt, in a timely manner, of regulatory and third-party approvals;
unanticipated operational disruptions; unexpected technological
developments; and other factors discussed in this release and Item 1A
of Imperial's most recent Form 10-K. Forward-looking statements are not
guarantees of future performance and involve a number of risks and
uncertainties, some that are similar to other oil and gas companies and
some that are unique to Imperial. Imperial's actual results may differ
materially from those expressed or implied by its forward-looking
statements and readers are cautioned not to place undue reliance on
them. We undertake no duty to update these statements as of any future
The term "project" as used in this statement does not necessarily have
the same meaning as under government payment transparency requirements.
The potential bitumen resource as set out in the second paragraph above
is Imperial's working interest before deduction of royalties. The
determination of this recoverable potential is described in the filed
regulatory application. This estimate includes quantities not yet
classified as "proved reserves" under U.S. SEC definitions but which we
believe will ultimately be produced and moved into the proved reserve
SOURCE: Imperial Oil Limited
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