Nexen is investing $400-million in an existing oilsands project southeast of Fort McMurray.
The Calgary-based company, a wholly-owned subsidiary of CNOOC limited, announced Tuesday they’re adding 26, 000 barrels per day of production from three well pads that will be tied-in to its existing Long Lake facility.
“Through this project (Long Lake Southwest), we will bring into production a meaningful number of lower steam-to-oil ratio wells, significantly improving Long Lake’s GHG performance.”
The current site near Anzac has seen many problems over the years from a pipeline spill in 2015, an explosion in 2016 that killed two employees, multiple layoffs, and a shutdown following the wildfire.
Construction on the project is set to begin shortly – with first oil anticipated in late 2020.