• EnCana Corp. continues to move forward aggressively with its oil sands expansion plans. EnCana and ConocoPhillips are jointly developing a major integrated oil sands business that involves extracting heavy oil in Alberta and processing it in the United States. Peters & Co. analyst Kam Sandhar expects production to grow to 220,000 bpd of bitumen from current levels of around 70,000 bpd.
  • Nexen said its Long Lake oil sands upgrader in Alberta remains on track to start up production of synthetic crude later this month, with 90% of commissioning complete. The project is designed to produce up to 60,000 bpd of synthetic crude. The company said development of its mining operations was on track, with 40 wells now converted to bitumen production. The Long Lake project is being developed jointly by Nexen and partner Opti Canada.
  • Enbridge has broken ground on the Canadian portion of the $2 billion Alberta Clipper expansion project. Mainline construction has started at Hardisty and Provost, Alberta and near Bethune, Saskatchewan. Together with the Southern Access project, Alberta Clipper will result in delivery of 1.2 million bpd of additional oil from Alberta to Eastern Canada, the U.S. Midwest, the mid-continent and U.S. Gulf Coast. The Alberta Clipper will be a new 36 inch, 1607 km pipeline from Hardisty, Alberta to Superior, Wisconsin. It is scheduled to be in service in 2010 with initial capacity of 450,000 bpd.