Construction is restarting on an oilsands project south of Fort McMurray after a two-year break.
On Friday, Harvest Operations Corporation announced they were re-sanctioning their BlackGold SAGD oilsands project located around Conklin.
They initially suspended work back in 2015 due to the falling oil prices. With oil prices starting to stabilize, the company notes they decided to move forward with the project.
It’s expected BlackGold would produce around 10,000 barrels per day.
Harvest notes ‘major work’ has already started and will continue over the winter.
They’re hoping to start commissioning wells and have steam injection by the second quarter of 2018, followed by electric submersible pump conversion in the third quarter.