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Article: Imperial sanctions Kearl oil sands project.(Imperial Oil Ltd.)
- Article from:
- The Oil Daily
- Article date:
- May 27, 2009
- Author:
CopyrightCOPYRIGHT 2009 Energy Intelligence Group. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Exxon Mobil affiliate Imperial Oil has given the go-ahead to a C$8 billion (US$7.1 billion) oil sands development project--the first oil sands project to be sanctioned since oil prices collapsed last year.
Canada's largest oil company said this week that it expects to start producing at a rate of 110,000 barrels per day of bitumen in 2012 in the first phase of the project. The second and third phases each will add about 100,000 b/d, with peak output potentially hitting 345,000 b/d.
Because of the economies of scale, development costs will be only about $4.50 per barrel, Imperial said in a posting on its website.
Industry sources had speculated ...