Heavy oil production
The majority of our thermal heavy oil assets are located in Saskatchewan. We use repeatable, modular construction templates to build our long-life Lloydminster thermal plants, which drives capital efficiency and consistent project execution. Eleven projects are now producing in the region, including the Spruce Lake Central thermal project, which achieved first oil in September 2020.
Our producing assets are supported by a network of facilities and pipelines in the region that transport oil from field locations to the Lloydminster upgrader, asphalt refinery and other assets that are part of our business. The high degree of integration between field and processing sites allows us to optimize returns on our production by upgrading it to higher value products such as low-sulphur synthetic crude oil and ultra-low sulphur diesel. The synthetic crude is used to produce gasoline and diesel fuels in our refineries in Canada and the U.S.
Cold and Enhanced Oil Recovery (EOR) production
We use cold heavy oil production with sand (CHOPS) and enhanced oil recovery production technologies in our heavy oil operations.
CHOPS involves the continuous production of sand in combination with pumps or other artificial lift systems to recover the heavy oil from the reservoir. We also have a full-field polymer injection project at our Aberfeldy property in Saskatchewan as well as three carbon dioxide (CO2) injection EOR pilot projects and a CO2 capture and liquefaction plant at our Lloydminster ethanol facility. The liquefied CO2 is used in the ongoing EOR pilot program.