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Sunshine sees slight West Ells SAGD delay

Sunshine Oilsands Ltd., Calgary, expects to begin steam injection in the first phase of its West Ells thermal oil sands project in the late third quarter or fourth quarter, slightly later than originally scheduled.

The company also has raised its cost estimate for the 10,000-b/d steam-assisted gravity drainage project in the Athabasca region to $496 million from $468 million, excluding contingencies and a shared access road.

Sunshine said it has finished drilling the first eight well pairs in first phase, production from which will be 5,000 b/d. The rig has moved to a second well pad to begin drilling well pairs for the second phase, which also is to produce 5,000 b/d.


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