Nexen Energy, a unit of China’s CNOOC Ltd. (NYSE: CEO), said on June 20 that it would move ahead with the construction of its CA$400 million (US$300.5 million) Long Lake Southwest expansion project in northern Alberta.
The expansion will boost output at CNOOC’s Long Lake oil-sands facility by 26,000 barrels per day. The company said construction will begin shortly, with first oil expected in late 2020.
The investment decision comes as many foreign companies have exited Canada’s oil sands, frustrated with high costs and a lack of new pipeline infrastructure. Canadian oil trades at a discount to the U.S. benchmark due to transportation constraints.
“We remain committed to growing our Canadian production profile, and our oil sands assets are an important component of this strategy,” the company said in a statement.
Recommended Reading
BP: Gimi FLNG Vessel Arrival Marks GTA Project Milestone
2024-02-15 - The BP-operated Greater Tortue Ahmeyim project on the Mauritania and Senegal maritime border is expected to produce 2.3 million tonnes per annum during it’s initial phase.
TotalEnergies Acquires Eagle Ford Interest, Ups Texas NatGas Production
2024-04-08 - TotalEnergies’ 20% interest in the Eagle Ford’s Dorado Field will increase its natural gas production in Texas by 50 MMcf/d in 2024.
Deepwater Roundup 2024: Offshore Australasia, Surrounding Areas
2024-04-09 - Projects in Australia and Asia are progressing in part two of Hart Energy's 2024 Deepwater Roundup. Deepwater projects in Vietnam and Australia look to yield high reserves, while a project offshore Malaysia looks to will be developed by an solar panel powered FPSO.
Tech Trends: Halliburton’s Carbon Capturing Cement Solution
2024-02-20 - Halliburton’s new CorrosaLock cement solution provides chemical resistance to CO2 and minimizes the impact of cyclic loading on the cement barrier.
The OGInterview: How do Woodside's Growth Projects Fit into its Portfolio?
2024-04-01 - Woodside Energy CEO Meg O'Neill discusses the company's current growth projects across the globe and the impact they will have on the company's future with Hart Energy's Pietro Pitts.