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Phase I

Phase I will consist of an initial six SLP-SAGD well-pairs (injectors and producers), drilled from a common pad adjoining the surface facilities. The wells have planned horizontal legs of 600 metres’ length and lateral spacing of 75 metres between wellbores.

Facilities will consist of one steam boiler, one diluent fractionator, six SLP-SAGD well-pairs, observation wells, water source wells and lines, bitumen/diluent blending, temporary bitumen storage tanks, electricity and natural gas service, office/control room building, vapour recovery system, extensive tiltmeter array, and various other monitoring and observation systems.

The plant site and well pads will have a very small surface footprint. They will cover a fenced area of only 10.32 hectares, a tiny fraction of the Clearwater lease area of 8,288 hectares. Of this small fenced area, the majority will remain undeveloped.

Phase I will include solvent co-injection, which will facilitate low-pressure SAGD operations, creating a process AOS calls solvent-low-pressure or SLP-SAGD. This process will improve productivity and reduce the SOR to maximize operating efficiencies and minimize the project’s physical and environmental footprint.

Phase I will have a planned production rate of 4,350 bpd of bitumen (approximately 725 bpd per producing well). The project has an expected capital requirement of $150 million, including facilities, horizontal wells and other project costs. This represents a capital cost of only $40,000 per installed barrel of daily production capacity at 4,350 bpd.

Please click here for key facts on the Clearwater Project.