Rig Activity Report
DRILLING AND SERVICE RIG ACTIVITY
Daily Well Bulletin
April 29, 2013 Daily Well Bulletin and Weekly Summary of Total Wells Drilled. Well bulletins are generated when a new licence is issued or an existing licence is amended.
Co-op Refinery Expansion Complete
Regina – Seven years from conception, four-and-a-half years of construction
and a cool $2.66 billion later, it’s done. The Consumers’ Co-operative
Refineries Ltd. expansion has been completed.
Scott Banda, CEO for Federated Co-operatives Ltd., spoke to Pipeline
News by phone on Oct. 26 after the announcement. He said, “Today we had
the official announcement of the start-up of section V. As of Wednesday, Oct.
17, Section V started up and we are ramping up. It’s up and running!”
“We maxed out at 5,000 people on this site at the peak of construction.
There were two pieces of our construction: Section V and the revamps. The revamps,
we’re still a couple months from finishing. But we will add 45 per cent
capacity to our facility. That takes us up to 145,000 barrels a day.”
There were 8,000 person-years of construction, with an economic spinoff of
over $5 billion dollars.
He said, “To get us through that, about 150 companies worked on the construction.
Today we’re pretty excited to celebrate it’s up and producing.
“One advantage of our refinery is we’re very flexible on crude weights.
We run them all through our facility and yes, part of it does come out of the
Southeast Saskatchewan crude. Is the “wrong way on the pipeline,” and
goes the other direction, however. But Lloydminster crude finds its way to
“Depending on what the economics are, we can move between light, heavy,
sour or sweet. That’s what gives us one of the advantages on the economic side.
We can move as we have to, to ensure our production, but also to accommodate
the economics,” Banda said.
Saskatchewan’s daily production of crude oil has risen from roughly
425,000 bpd over the past 10 years to 440,000 bpd. The refinery will be dealing
with some of that increased production, particularly on the Lloydminster side.
“Anything that’s up the pipeline, by and large, will come into our facility.”
“Part of our story here is our ownership. As a co-operative, we’re Western
Canadian-based, this is a massive investment in this region in Western Canada.
In Saskatchewan, in particular, in the city of Regina, this will add another 100
permanent jobs. There are 800 permanent employees there, plus another 1,000
we use on annual turnarounds. This is, from our perspective, a commitment to
Western Canada’s long term viability. We believe in it. This is our home, here,
in Western Canada, of own ownership and retail co-operatives.
“That’s a big piece of this story. We have made a massive commitment to
the energy business to be here for the long term.”
Section V will see largely gasoline and diesel production.
On Oct 6, 2011, a fire in an older part of the refinery injured several workers
and damaged one of the areas being revamped. That area requiring extensive
“That was in the area where the revamps are. We’re probably about two
months away from where we want it. The end of December, early January, we
should have that all rebuilt. Where the incident did occur, we tore it right out
and rebuilt a whole lot of that facility in that area.
“It has put us back a little bit”
The final dollar amount, $2.66 billion, was higher than what was initially
projected. “The additional cost was productivity. We didn’t get the productivity
we thought, on site. (There were) challenges in labour, in Western Canada,
in this economy. And frankly, not fully appreciating working in live, existing,
operating units affected our productivity. Costs escalated on us. That’s not
something we’re really excited about, but that’s the reality.
Asked about any more future expansions, Banda said, “This maximizes production
from this facility. In other words, is a Section VI likely? Not likely. In
order to build a new section, you would have to basically build a new refinery
on the same site.
“This maximizes the ability of the process units we have on site. Further
expansion on this site – never say never – is not very likely.”
“This growth was a reflection of the growth on the retail side. We built this
to accommodate where we are right now with our retail,” he concluded.
By Brian Zinchuk
Study finds no CO2 leaking from oilfield work
Scientists contracted by Cenovus Energy Inc. have found carbon
dioxide injected to the company's oilfield in Weyburn, Sask., is staying
put deep underground.
The Calgary-based oil company told the Saskatchewan government it
would find out whether gas from its operations was leaking onto a nearby
property and hired several third-party specialists to conduct an
"These results provide complete assurance to landowners and the
public that the CO2 we're injecting about 1.5 kilometres below the
ground is staying put and that our Weyburn operation is safe," said
company vice-president Brad Small.
The findings of a separate independent study — by the International
Performance Assessment Centre for Geologic Storage of Carbon Dioxide —
are set to be released in about two weeks in Regina.
Cenovus pumps CO2 into the mature Weyburn field in order to boost
production, as well as to store the climate-change causing gas
underground rather than have it escape into the atmosphere. It operates
the unit on behalf of 23 other partners.
"Our findings indicate that there is absolutely no way CO2 in the
soil at the property in question originated from Cenovus' operation in
Weyburn," said Court Sandau, the lead scientist of the assessment.
Sandau, the founder of ChemistryMatters, said scientists can tell the
difference between "old" and "new" CO2. The gas Cenovus pumps
underground is from coal deposits formed millions of years ago.
"Our findings assert that the CO2 present at the property was formed
recently and is attributed to natural soil respiration processes."
The property owners, Cameron and Jane Kerr, have said that, beginning
in 2005, they noticed algae blooms, clots of foam and multicoloured
scum in two ponds at the bottom of a gravel quarry on their land. They
also said that small animals were regularly found dead a few metres
Alberta Star to Participate in Drilling Another Well at Landrose, Saskatchewan
VANCOUVER, BRITISH COLUMBIA, Nov 17, 2011 (MARKETWIRE via COMTEX) --
Alberta Star Development Corp.
(frankfurt:QLD) (the "Company") is pleased to announce that it
has agreed to participate in drilling and completing one (0.5 net)
well (the "Well") located on the Company's Landrose property located
in west central Saskatchewan. The Company holds a 50% net interest in
The costs to drill, complete and equip the Well are estimated to be
$420,000, which the Company intends to fund its 50% interest by
contributing all of its interest (50% net interest) in certain
oilfield equipment with a deemed value of $60,000 to equip the Well
and $150,000 cash.
Western Plains Petroleum is operator and the spud date for the Well
expected to be on or about November 20, 2011, subject to rig
availability and regulatory approvals.
ALBERTA STAR DEVELOPMENT CORP.
The Company is a Canadian resource exploration and development
company that identifies, acquires and finances oil and natural gas
assets in Western Canada and advanced stage mineral exploration
projects in North America. The Company has expanded its
diversification into the oil and natural gas resource sector with the
acquisition of revenue producing oil & gas resource assets which
compliments its existing, advanced stage mining interests. The
Company is a junior heavy oil producer that is focusing on growing
its production base and maximizing future production through its
exploration drilling activities, production acquisitions and
strategic asset acquisition both domestically and in the
international arena. The Company's strong balance sheet is expected
to enable the Company to continue to increase its production base in
the oil and gas sector.
Investors are welcomed to contact Mario Drolet MI 3 Communications
Financiers Inc. at (514) 346-3813, the Company's Investor Relations
specialists for all corporate updates, and investor inquiries.
Certain information in this Press Release is forward-looking within
the meaning of certain securities legislation, and is subject to
important risks, uncertainties and assumptions. This forward-looking
information includes, among other things, information with respect to
the Company's beliefs, plans, expectations, anticipations, estimates
and intentions, including the completion and success of future
development activities, the performance of new wells, general
economic conditions, availability of required equipment and services
and prevailing commodity prices. The words "may", "could", "should",
"would", "suspect", "outlook", "believe", "anticipate", "estimate",
"expect", "intend", "plan", "target" and similar words and
expressions are used to identify forward-looking information. The
forward-looking information in this Press Release describes the
Company's expectations as of the date of this Press Release.
Material factors which could cause actual results or events to differ
materially from such forward-looking information include, among
others, risks arising from general economic conditions and adverse
industry events, risks arising from operations generally, changes in
plans with respect to exploration or development projects or capital
expenditures; the uncertainty of reserve estimates; the uncertainty
of estimates and projections relating to production, costs and
expenses, and health, safety and environmental risks, commodity price
and exchange rate fluctuations; reliance on contractual rights such
as licenses and leases in the conduct of its business, reliance on
third parties, reliance on key personnel, possible failure of the
business model or business plan or the inability to implement the
business model or business plan as planned, competition,
environmental matters, and insurance or lack thereof and the other
factors described under "Risk Factors" in the Company's annual
reports and Form 20-F available in Canada at
www.sedar.com , as well
as on file with the U.S. Securities and Exchange Commission. Readers
are cautioned that this list of risk factors should not be construed
The Company cautions that the foregoing list of material factors is
not exhaustive, is subject to change and there can be no assurance
that such assumptions will reflect the actual outcome of such items
or factors. When relying on the Company's forward-looking information
to make decisions, investors and others should carefully consider the
foregoing factors and other uncertainties and potential events. It
has also assumed that the material factors referred to in the
previous paragraph will not cause such forward-looking information to
differ materially from actual results or events. The forward-looking
statements contained in this press release are made as of the date
hereof and the Company undertakes no obligation to update publicly or
revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, unless so
required by applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as the term is defined in the Policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.