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BS: Oil Sands Go-ahead

25 May 09 - 11:50 PM (#2640951)
Subject: BS: Oil Sands Go-ahead
From: Q (Frank Staplin)

Imperial Oil Canada (Exxon-Mobil) made Albertans happy as the company today approved an $8 billion project for the Kearl oil sands of northeastern Alberta.

Oil prices are expected to stabilize at $80/bbl or higher, which would guarantee a 10-per-cent after-tax profit.

The Kearl sands have 4.6 billion bbls of recoverable bitumin, and, at the rate of 345,000 bbl/day, the project will last half a century.
First production of 110,000 bbl/day will be attained in 2012 and gradually increased after that.

Suncor, planning merger with Petro-Canada, is planning revival of its temporarily stalled projects.
Total SA, the French giant, also is readying their oil sands plans.

Nathan VanderKlippe, The Globe and Mail, May 25, 2009.


26 May 09 - 02:01 PM (#2641283)
Subject: RE: BS: Oil Sands Go-ahead
From: Rapparee

Northeast Alberta, huh? Probably pumping it from the huge deposits under the US of A.

Give us back our oil or Face The Consequences!


26 May 09 - 02:22 PM (#2641306)
Subject: RE: BS: Oil Sands Go-ahead
From: Richard Bridge

Is that like Palestinian water, Rapaire? Or is there a subtle difference in that water is a liquid and oil sands aren't?


26 May 09 - 03:18 PM (#2641328)
Subject: RE: BS: Oil Sands Go-ahead
From: bobad

"at the rate of 345,000 bbl/day, the project will last half a century."

345,000 bbl is what the pentagon uses per day.


26 May 09 - 05:27 PM (#2641406)
Subject: RE: BS: Oil Sands Go-ahead
From: Bill D

I **hope** they will need a bit less than that by 2012.


26 May 09 - 06:09 PM (#2641442)
Subject: RE: BS: Oil Sands Go-ahead
From: Janie

Here a recent NGM article regarding the Canadian oil sands, including cost/benefit analyses for companies, people and the environment.


26 May 09 - 06:12 PM (#2641445)
Subject: RE: BS: Oil Sands Go-ahead
From: Rapparee

Didn't you know? All oil in North and South and Central America belongs to the US.

It's called "The W Doctrine."


26 May 09 - 06:18 PM (#2641448)
Subject: RE: BS: Oil Sands Go-ahead
From: Bill D

About the time we GET the last of that oil, most of the areas won't be worth living in, anyway.


26 May 09 - 06:56 PM (#2641481)
Subject: RE: BS: Oil Sands Go-ahead
From: gnu

bobad... the Pentagon? per day? I don't understand.


26 May 09 - 07:30 PM (#2641517)
Subject: RE: BS: Oil Sands Go-ahead
From: bobad

gnu, see here: http://www.energybulletin.net/node/21330


26 May 09 - 11:49 PM (#2641620)
Subject: RE: BS: Oil Sands Go-ahead
From: EBarnacle

Last time I looked, the reason the oil sands were still there because the cost of extraction was very high, to the point that with no subsidy, we would need a cost of more than $100 per barrel to make it work with current technology.


27 May 09 - 12:29 AM (#2641635)
Subject: RE: BS: Oil Sands Go-ahead
From: Q (Frank Staplin)

As noted in the press post, $80/bbl yields a 10 per cent profit, according to the major players- they say this is needed for new developments. Existing operations are still profitable at current levels.

Mining techniques are much improved; over 60% of the oil produced in Alberta comes from the tar sands, and although capital spending is down because of the recession, some $10 billion will be spent on new development in 2009.
Existing operations continue to be profitable. Not quite the cash cow for the Province that it was before the recession; the Province has cut its expected revenue for 2009 to $35.6 billion, a drop of $4.5 billion.

Current Alberta production (all sources) is 1.2 million bbl/day, and is expected to rise to 2 million bbl/day by 2013.

Total Canadian production is roughly 3.4-3.5 million bbl/day currently (Canada Energy Data,-- http://eia.doe.gov/emeu/cabs/Canada/Oil.html
and CBC news story, March 11, 2009.