Conoco, total to expand oil sands project the globe and mail. Conocophillips has completed the sale of its 50% stake in the foster creek christina lake oil sands partnership to canadian major cenovus. First generation commercial projects include todays cenovusconoco phillips foster creek 1997, jacos. Highly dependent on its oil industry by 1990 petroleum. Combined, these assets have forecast 2017 production of approximately 298,000 barrels of oil equivalent per day boed. Which of the following statements best describes how oil. The terminal receives crude oil from the ekofisk complex and several other norwegian and uk offshore fields. Oil sands are recovered using two methods, depending on the depth of the reserves.
Grizzly oil sands announces purchase of may river property. Shutdowns and turnarounds in the oil and gas industry. State oil companies stay in oil sands as conoco, shell. Conocos oil sands production cuts seen as just the. The companys canadian operations are comprised primarily of oil sands assets in the athabasca region of northeastern alberta and unconventional development in western canada. Oil sands 356,000 bbls d acquiring conocophillips 50% interest pelican lake 21,000 bbls d deep basin 120,000 boed suffield 24,000 boed conocophillips horn river 4.
Conocophillips is selling a large portion of its canadian oil sands assets to cenovus energy to pay down debt and significantly increase stock buybacks, marking the latest exit from the oil sands. Cenovus is also purchasing the majority of conocophillips deep basin conventional assets in alberta and british columbia. Get access to our complete database of historical oil and gas prices, energy statistics and oil sands production data. The facility was originally designed as a one million barrelsday crude oil reception, processing, storage and transshipment installation. Conocophillips is alaskas largest crude oil producer and the largest owner of exploration leases, with approximately 1. The surmont insitu oil sands project is a 5050 joint venture between conocophillips canada. The conocophillips oil terminal at seal sands stabilizes crude oil by separating the natural gas liquids ngls and unwanted impurities.
Oil sands, a mixture of sand, bitumen a heavy crude that does not flow. Extracted oil sands crude can then be refined into gasoline and other hydrocarbon products. The operation stores, meters and exports separated ngls ethane, propane, normal butane and. Approximately 94% of the produced water recovered was recycled in 2018. Conocophillips to sell chunk of canadian oilsands assets for. Some of the more obvious petroleum products include transportation fuels, fuel oils for heating and electricity generation, asphalt and road oil. The hydrocarbon resource found in canadas oil sands is called bitumen. We explore for, produce, transport and market crude oil, bitumen, natural gas, natural gas liquids and liquefied natural gas on a worldwide basis. Oil sands also called tar sands are mixtures of organic matter, quartz sand, bitumen, and water that can either be mined or extracted insitu5 using thermal recovery techniques. Figures presented on a pro forma basis as if the transactions were completed on jan. Application for approval of surmont 3 project 1 gb pdf jun 2014. From 2012 to 2015 he was vice president, oil sands subsurface, focused on the integrated characterization and development for surmont. The economic impact from a number of unplanned shutdowns can be severe for oil and gas companies. Consolidates ownership of toptier oil sands projects no incremental staff or integration required lowrisk growth profile with emerging technology upside deep basin assets highgrade portfolio high quality position in the prolific deep basin of alberta and british columbia 3.
Surface mining is used when bitumen is within 250 feet of the surface. Keskula began his career as a geophysicist in 1997 and has worked in a variety of technical and leadership positions in development, exploration, and technology, in oklahoma, alaska, texas, and canada. Christina lake oil sands properties in alberta to a 5050 integrated oil productionrefining venture. Clyden is a 226,000netacre area of undeveloped land in the athabasca oil sands region of alberta, canada, close to imperials existing corner lease holdings. Venezuela unlawfully expropriated conoco oil, tribunal. Barclays shale oil technical teach in conocophillips. Asset overview 298,000 boed 70% liquids based on 2017f estimates conocophillips 50% interest in the fccl partnership 178,000 bblsd 2017f. Conocophillips teesside terminal seal sands middlesbrough. Cenovus to double production and reserves in canada. Indonesia saw a reduction in its crude oil sales during the first half of the year, caused in part by 122 unplanned shutdowns from the operator bpmigas, which created 6,860 bpd in lost production, the jakarta post reported.
Conoco acquired by du pont in1981 single largest business segment in the chemical and energy divisions 37% of the total revenue conoco gave du pont a substantial position in the oil industry with operations spanning the united states, europe, africa and the far east. But heavy canadian crude will drop from 15 per cent to 5 per cent of its production. The ghg cap, which was originally announced with the support of several industry and environmental leaders in november 2015, will not obligate oil sands producers until a regulatory system is designed and. Clyden is a 226,000netacre area of undeveloped land in the athabasca oil sands region. Conocophillips canada has business development and exploration interests in unconventional exploration areas, in the arctic and in atlantic canada. Conocophillips completes sale of oil sands interest news. As a result, it also led to a reduction of close to 30 percent of its proved oil and gas reserves. Bitumen is very viscous it doesnt flow like conventional crude oil and therefore requires special extraction methods to get it out of the ground and into a state where it is fluid enough for transportation to refineries. The conocophillips gwsc focuses on finding ways to reduce freshwater consumption, lowering operating costs and minimizing the environmental impact of wastewater discharge from oil and gas operations, as well as promoting water conservation through community outreach programs. Date bod mcfd boed 1 serena 8003h aug18 385 241 425 2 hr 146h aug18 380 232 419 3 serena 3401h apr17 332 270 377. Phillips 66 lubricants announces consolidation of its brand portfolio.
If passed, the act will cap oil sands greenhouse gas ghg emissions to 100 megatonnes per year. Conocophillips selling canada oil sands assets the. October 28, 2016 in an effort to strengthen relationships and drive strategic growth, phillips 66 lubricants, one of the largest finished lubricants suppliers in north america, today announced it will consolidate its lubricants portfolio into two brands, phillips 66 and kendall motor oil, beginning july 1, 2016. Mar 20, 2014 koch is not generally known as a major stakeholder in the oil sands where the major players have been the likes of royal dutch shell, conoco phillips, suncor, exxon mobil and chevron. The biggest foreign lease holder in canadas oil sands isnt. Mar 29, 2017 jointly owned oil sands venture operated by cenovus. It is now a brand of gasoline and service station in the united states which belongs to phillips 66 following the spinoff of conocophillips downstream assets in may 2012. Sagd involves injection of steam into the reservoir, effectively liquefying the heavy bitumen, which then is recovered and pumped to the surface for further processing. Conocophillips selling canada oil sands assets the motley fool. According to the us energy information administration, about 75% of the 6.
Conocophillips selling canada oil sands assets 2 oil majors to acquire conocophillips clyden assets. The oilsands are an area of significant future oil production growth and are important for short and longterm energy and economic security in north america, conocophillips ceo john carrig said. Typically, oil sands contain about 75% inorganic matter, 10% bitumen, 10% silt and clay, and. The biggest foreign lease holder in canadas oil sands isn. Conocophillips announces agreement to sell clyden oil. If oil from the canadian sands is so difficult to extract, which of the following is not a reason why conoco phillips bothers with it. The oil industry is an extremely large industry that supplies 40% of u. Oil sands are naturally occurring geologic formations that contain a mixture of water, sand and thick, heavy oil that can be found in many parts of the world. Time to drill big alaska north slope oil producer plans another aggressive exploration season kay cashman. The future of the canadian oil sands oxford institute for energy. Conocophillips reached a deal to sell an oil sands leasehold in canada to exxon mobil corp. Following the cessation of solvent injection in late 20, the primary focus for the surmont esagd pilot in 2014 was on monitoring and analyzing pilot performance during the postinjection period.
Great canadian oil sands company now called suncor energy. May 24, 20 canadas oil sands can be an attractive venture but due to large financial requirements, technical and political challenges, explained later in the article, conocophillips would have had a tough. Conocophillips has decided to sell its entire 226,000 acres in the clyden oil sands in canada to exxon mobil. The canadian firm also acquired assets which include the. Oil sands 356,000 bbls d acquiring conocophillips 50% interest pelican lake 21,000 bbls d deep basin 120,000 boed suffield 24,000 boed conocophillips. Cenovus to become largest canadian thermal oil sands producer. In 2017, conoco sold oil sands assets in canada to cenovus energy and natural gas fields in the u. An integrated approach makes sense because production from oil sands needs more than normal upgradingrefining and the traditional swings in profit between production and refining have been volatile.
Horizontal development of a conventional shallow oil. Canada oil and gas 12%, conoco phillips oil sands partnership ii. Citing low western canada select prices, conoco yesterday announced its plan to cut production at the oil sands operation by 100k bblday to 35k bblday. At total, the company is also busy on work to build its first oil sands mine at joslyn. Transaction summaryoil sands 50% working interest in fccl 178 mbblsd of oil sands production net 368 mbblsd of regulatory approved capacity net 3. In last winters offroad season, conocophillips conducted its largest exploration season on the north slope since 2002, drilling eight wells and laying down 54 miles of ice roads for those wells. The dividend is poised to grow as management has stated it is a top priority. Conocos cuts seen as appetizer for big cuts to oil sands. In 2011, he worked as the global exploration portfolio and finance manager, and prior to that, in 2008, he worked as the seismic technology manager building conocophillips imaging capabilities and initiating key. Conocophillips bitumen resources in canada are produced using sagd technology. Commercial production from surmont 1 began in 2007. That means we coown the development, but the facility itself is staffed and run by conocophillips canada employees and contractors.
Oil was first received in 1975, and the main processing plant was completed in 1979. However, this type of energy is the one that has the biggest impact over the environment. Citing low western canada select prices, conoco yesterday announced its plan to reduce output at the oil sands operation by 100,000 barrels per day, to 35,000 barrels. State oil companies stay in oil sands as conoco, shell exit.
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