• 5 minutes Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 8 minutes China Faces Economic Collapse
  • 12 minutes Oil Production Growth In U.S. Grinds To A Halt
  • 14 minutes Iran in the world market
  • 17 minutes Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 1 min Experts review drone damage . Say Saudis need to do a lot of explaining.
  • 7 hours USA Wants Iran War -- Shooty Shooty More
  • 12 hours Collateral Damage: Saudi Disruption Leaves Canada's Biggest Refinery Vulnerable
  • 12 hours Yawn... Parliament Poised to Force Brexit Delay Until Jan. 31
  • 28 mins Saudis Confirm a Cruise Missile from Iranian Origin
  • 8 hours The Spy Money: U.S. Wants To Seize All Money Edward Snowden Makes From New Book
  • 49 mins Aramco Production
  • 14 hours Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 5 hours Trump Will Win In 2020 And Beyond..?
  • 24 hours USA : Attack came from 'Iranian soil'. Pompeo to release 'evidence'.
  • 6 hours The Belt & Road Initiative: A Wolf in Sheep's Clothing?

Japex To Postpone $185M Oil Sands Project In Alberta

Oil pipeline

Japan Petroleum Exploration (Japex) said Tuesday it will postpone launching its Hangingstone oil sands expansion project in Alberta, Canada, until mid-2017, which will result in a cost increase for the venture estimated in Cdn$250 million ($187M).

The oil and gas developer’s subsidiary, Japan Canada OilSands Limited (Jacos), said the part of the concession known as the 3.75 section will remain closed.

Investment in the expansion project is expected to increase to Cdn$1.5 billion from Cdn$1.25 billion.

The Hangingstone thermal oil sands operation, one of Canada's oldest, was shut down during the wildfires in Fort McMurray and the company said it will remain dormant until benchmark oil prices rise above $50 per barrel.

The firm will however continue developing the untouched area that is part of the Hangingstone Lease, adjacent to the demonstration area, currently shut.

It also noted that Jacos’ investment in the expansion project is expected to increase to Cdn$1.5 billion from Cdn$1.25 billion.

Hangingstone, in operations since 1999, was built with capacity of 10,000 barrels per day to test the use of steam to produce bitumen from wells but had been producing only about half of that in recent years.

Jacos aims to produce 20,000 barrels per day of bitumen from its $1.8-billion Hangingstone expansion project, originally slated to be completed by the end of this year. At full capacity, Canada's oil sands industry generates about 2.5 million bpd.

Japex holds a 75% stake in the venture, and Nexen — the Canadian subsidiary of China's CNOOC Ltd — owns the rest.

By Mining.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Waseem on November 08 2016 said:
    Another blow for Alberta economy

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play