Cenovus hikes oil sands production targets

By OGJ editors
HOUSTON, June 7
-- Cenovus Energy Inc., Calgary, plans to increase its net oil sands production in Alberta by a factor of six to 400,000 b/d by the end of 2021 under a new strategy to accelerate development.

The company’s total net production then would be about 500,000 b/d.

Under the new strategy, the company expects to bring a new oil sands project phase on stream every 12-18 months. It also plans to drill about 450 stratigraphic wells/year during the next 5 years in preparation for oil sands development.

The company now expects its oil sands production to reach 350,000 b/d by the end of 2019—about 50,000 b/d more than it projected in its 2010 strategic plan.

Two thirds of the projected oil sands production will come from in situ projects in the Foster Creek and Christina Lake regions of Alberta, in which Cenovus is a 50-50 partner with ConocoPhillips (OGJ, Sept. 6, 2010, p. 98).

At Foster Creek, Cenovus has raised expected gross production capacity to 270,000-290,000 b/d from 235,000 b/d. It expects Phases F, G, and H each to have production capacity of 35,000 b/d, increases from earlier projections of 5,000 b/d each, with production from the latter two phases starting earlier than originally planned. It also has raised capacity estimates and is considering earlier production starts for future phases.

The company has begun steaming in Phase C of Christina Lake 6 weeks ahead of schedule and is completed half the construction of Phase D, which is 3-6 months ahead of schedule. It is assessing capacity increases and acceleration of future Christina Lake phases.

Gross production capacity at Christina Lake is expected to reach about 258,000 b/d when Phase H starts producing in 2019, unchanged from earlier forecasts.

In other oil sands projects, Cenovus expects production to start in 2016 at Narrows Lake, another 50-50 partnership with ConocoPhillips where gross capacity estimated at 130,000 b/d, and at Grand Rapids, where capacity is estimated at 180,000 b/d.

From its conventional oil projects, Cenovus expects production to increase by 2016 to 55,000 b/d from a first-quarter 2011 average of 21,360 b/d in the Pelican Lake region of Alberta, to 30,000-35,000 b/d from 20,251 b/d in Sasketchewan, and to 35,000-40,000 b/d from 28,916 b/d in southern Alberta.

Related Articles

ExxonMobil replaces 103% of 2013 production

02/21/2014 ExxonMobil Corp. replaced 103% of its oil and natural gas production last year with additions to reserves, mostly of crude oil and other liquids.

Hydraulic fracturing stuck in New York policy vacuum

02/01/2014 Persistent institutional indecisiveness by elected officials in New York State has placed the state in the position of not having a statewide polic...

Contact hails Kakwa Montney tight gas-liquids well results

10/16/2013 Contact Exploration Inc., Calgary, said completion of its fourth operated horizontal Middle Montney formation tight gas-liquids well extends the sc...

Watching Government: BC Premier's energy stance

10/14/2013 British Columbia will not budge on its requirements proposed heavy oil export projects must meet, Premier Christy Clark said on Oct. 4. But that do...

Cyclic steam, gas enhance Bohai heavy oil production

10/07/2013

This article presents preliminary results of stimulation principles and offshore oilfield testing of cyclic steam and gas stimulation.

Understanding the science behind induced seismicity

10/01/2013 For several decades in the US, earthquakes occurred at a steady rate of 21 events per year. Beginning in 2001, this rate began to increase and peak...

Wyoming delegation asks Jewell to exempt state from BLM fracing rules

08/20/2013 Wyoming’s congressional delegation asked US Sec. of the Interior Sally Jewell to exempt the state and others that already regulate hydraulic fractu...

Sunshine signs oil sands JV, slows West Ells work

08/20/2013 Sunshine Oilsands Ltd., Calgary, signed a framework agreement with an undisclosed international third party to pursue a joint venture involving its...

Promise vs. obstructionism

08/12/2013 North America's energy transformation has progressed on two important fronts outside the US, where revulsion toward nongaseous hydrocarbons increas...
White Papers

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by

The impact of aging infrastructure in process manufacturing industries

Process manufacturing companies in the oil and gas, utilities, chemicals and natural resource industri...
Sponsored by
Available Webcasts


OGJ's Midyear Forecast 2015

When Fri, Jul 10, 2015

This webcast is to be presented by OGJ Editor Bob Tippee and Senior Economic Editor Conglin Xu.  They will summarize the Midyear Forecast projections in key categories, note important changes from January’s forecasts, and examine reasons for the adjustments.

register:WEBCAST


Predictive Analytics in your digital oilfield - Optimize Production Yield and Reduce Operational Costs

When Tue, Jul 7, 2015

Putting predictive analytics to work in your oilfield can help you anticipate failures, plan and schedule work in advance, eliminate emergency work and catastrophic failures, and at the same time you can optimize working capital and improve resource utilization.  When you apply analytic capabilities to critical production assets it is possible to reduce non-productive time and increase your yield.

Learn how IBM's analytics capabilities can be applied to critical production assets with the goal of reducing non-productive time, increasing yield and reducing operations costs.

register:WEBCAST



On Demand

Cognitive Solutions for Upstream Oil and Gas

Fri, Jun 12, 2015

The oil & gas sector is under pressure on all sides. Reserves are limited and it’s becoming increasingly expensive to find and extract new resources. Margins are already being squeezed in an industry where one wrong decision can cost millions. Analyzing data used in energy exploration can save millions of dollars as we develop ways to predict where and how to extract the world’s massive energy reserves.

This session with IBM Subject Matter Experts will discuss how IBM Cognitive Solutions contribute to the oil and gas industry using predictive analytics and cognitive computing, as well as real time streaming for exploration and drilling.

register:WEBCAST


The Alternative Fuel Movement: Four Need-to-Know Excise Tax Complexities

Thu, Jun 4, 2015

Discussion on how to approach, and ultimately embrace, the alternative fuel market by pulling back the veil on excise tax complexities. Taxes may be an aggravating part of daily operations, but their accuracy is crucial in your path towards business success.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected