CALGARY – Royal Dutch Shell Plc said it would proceed with its steam-driven Carmon Creek oil sands project in northwest Alberta.
The venture will produce 80,000 barrels of oil per day from 13 well “pads,” the Anglo-Dutch company said in a statement Thursday.
“I’m pleased we’re moving ahead with this important project,” Lorraine Mitchelmore, executive vice-president of heavy oil, said in a statement.
“Shell’s Peace River oil sands represent a significant development opportunity. Our decision to invest in Carmon Creek has been carefully studied with the goal of designing a project that is competitive from a commercial, technological and environmental perspective.”
Startup is expected “around 2017,” a spokesman said.
A capital cost estimate was not provided. Carmon Creek, 100% owned by Shell, would employ 1,000 local contractors during peak construction, the company said.
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