By OGJ editors
HOUSTON, Mar. 27 -- Korea National Oil Corp. has let a contract to IMV Projects, part of John Wood Group PLC, for front-end engineering and design of a 10,000-b/d heavy oil development in northern Alberta.
The steam-assisted gravity drainage project is on the BlackGold oil sands lease, which KNOC acquired from Newmont Mining Corp. in August 2006 (OGJ, Sept. 25, 2006, p. 39). The 39-sq-km lease is 140 km southeast of Fort McMurray.
Through yearend 2007, KNOC had drilled 18 holes for core analysis, acquired 23 sq km of 3D seismic data, and drilled two water-supply wells.
KNOC plans eventually to produce 30,000 b/d from the lease. It estimates BlackGold holds more than 200 million bbl of recoverable bitumen.