Horizontal wells are about to be spudded at a heavy oil steam assisted gravity drainage demonstration project at Sawn Lake, Alta.
Andora Energy Ltd. is expected to complete the wells, to be drilled to 650 m true vertical depth and have a 750-m horizontal length, by the end of October. Steaming is expected to begin in early December with first oil production likely in first-quarter 2014.
Pan Orient Energy Corp., Calgary, which owns 71.2% of Andora Energy, said the $24.1 million first phase of the project consists of one SAGD well pair, a steam generation facility, water handling and oil treating, and water source and disposal facilities.