Foster Creek is one of our two industry-leading oil sands projects. It's our largest project, considered among the best commercial and technical steam-assisted gravity drainage (SAGD) projects in the industry. It's situated on the Cold Lake Air Weapons Range, about 330 kilometres northeast of Edmonton, Alberta. We started a pilot project at Foster Creek in 1996 and commercial production began in 2001. The oil at Foster Creek is located about 450 metres below the surface and requires specialized technology, like SAGD, to drill and pump it to the surface. This project is 50 percent owned by ConocoPhillips.
Our growth plans
We currently have six phases (A-F) producing at Foster Creek and construction is well underway on phase G. We’re anticipating first oil from phase G in early 2016. Due to the significant decrease in crude oil prices, construction work on phase H has been deferred. In the fourth quarter of 2014, we received regulatory approval for phase J, which could add approximately 50,000 barrels per day of gross production capacity. Ultimately, we expect Foster Creek may have the capacity to produce about 300,000 gross barrels per day with future optimization.
Did you know?
In 2010 Foster Creek achieved a significant milestone in becoming the largest commercial SAGD project in Alberta to reach royalty payout status. For a project to reach payout its cumulative revenues exceed cumulative allowable costs. It's a sign of success.
IMPORTANT NOTE: Cenovus presents production volumes on a net to Cenovus before royalties basis, unless otherwise stated.