This paper provides a description of PanCanadian’s Christina Lake Thermal Project. PanCanadian is implementing a commercial steam assisted gravity drainage (SAGD) project to recover 7.5 to 9.0 API bitumen from the Athabasca oil sands in the McMurray Formation. The project is located in Northeast Alberta, approximately 130 km north of Lac La Biche and 170 km south of Fort McMurray, in township 76 range 6 W4M.

The project will be built in three phases for total bitumen production of 70,000 barrels of bitumen per day. Phase 1 will produce 10,000 bpd, with Phases 2 and 3 producing 30,000 bpd each. This paper will outline PanCanadian’s reasons for taking a phased approach to the Christina Lake development.

Dual well SAGD will be implemented with 500 to 750 m long horizontal well pairs. Phase 1 is expected to begin steaming operations in the fourth quarter of 2001. The timing of subsequent phases will depend on Phase 1 results, market conditions and project economics. In March, 2000 PanCanadian received Alberta Energy and Utility Board approval for the project.

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