Home

SASKATCHEWAN TO PROBE OIL UPGRADER

Nov. 30, 1992

The Saskatchewan government has called a public inquiry into operation of the $800 million NewGrade heavy oil upgrader at Regina, Sask. The upgrader, which has had frequent operating problems, was developed under a 1986 agreement between the former Conservative government and Federated Co-operatives Ltd. The current New Democratic government has sought to renegotiate the agreement so it can play a bigger role in operations. It said the province has written off $280 million in losses and holds

The Saskatchewan government has called a public inquiry into operation of the $800 million NewGrade heavy oil upgrader at Regina, Sask.

The upgrader, which has had frequent operating problems, was developed under a 1986 agreement between the former Conservative government and Federated Co-operatives Ltd.

The current New Democratic government has sought to renegotiate the agreement so it can play a bigger role in operations. It said the province has written off $280 million in losses and holds an additional $360 million in loan guarantees.

The upgrader is processing about 53,000 b/d of heavy crude.