Project Profile
Value: Undisclosed
Location: Athabasca oil sands region, west of the fourth meridian, in Alberta, Canada
Production: 10,000bpd
Area: 9,856 contiguous gross hectares
Start-up Year: 2015 (Phase I)
The West Ells region covers 9,856 contiguous gross and net hectares and is located within the Athabasca oil sands region between townships 94 to 96 and ranges 17 and 18 west of the fourth meridian, in Alberta, Canada. Sunshine Oilsands Ltd. has commenced a Steam Assisted Gravity Drainage (SAGD) project in the region. SAGD is an enhanced oil recovery technology for producing heavy crude oil and bitumen.
The 10,000 bbl/day commercial SAGD application to construct the first phase at West Ells was submitted on March 31, 2010. The company received approval on January 26, 2012. With the completion of an all season road at the end of September 2012, which provides full access to the West Ells facility location, construction began on Oct. 2, 2012.
Phase I
The first phase of the West Ells SAGD project will proceed in two phases of 5,000 bbl/d each. Modular expansions will increase production in phases. According to our Management assumptions, West Ells is expected to be capable of producing greater than 100,000 bbl/d of bitumen from the Wabiskaw zone over a period of 18 years with a productive life of over 50 years. The West Ells area will be developed in phases to help control costs, implement improving technologies and capture efficiencies. In December 2015, Sunshine Oilsands Ltd. successfully commenced the first oil production at the West Ells project.
West Ells Phase II
Is an expansion of the Phase I project with an additional production capacity of 5,000 barrels per day. All 8 wells have already been drilled. Additional works required for the project expansion include reviewing and refining of some of the designs, completion works for the wells, and surface facility construction. The total capital required for completion of the Phase II is expected to be approximately USD$50m. Upon completion of Phase II, the total production capacity of West Ells will be 10,000 barrels per day.
Operators:
Sunshine Oilsands Ltd: Operator with 100% interest
Contractors:
China Petroleum Engineering & Construction Corporation: Engineering, procurement, construction and operation maintenance work. (March, 2017)