Kearl Oil Sands Project
Encyclopedia
The Kearl Oil Sands Project is a proposed oil sands mine in the Athabasca Oil Sands
region at the Kearl Lake area, about 70 kilometres (43.5 mi) north of Fort McMurray. It is developed in three phases and expected to begin production in late 2012.
operation , which will be developed in three stages. At the first stage it will produce approximately 110000 oilbbl/d, with later expansions to more than 300000 oilbbl/d. Blended bitumen from the Kearl project will be transported to the Edmonton
area by Enbridge
's pipeline system. Diluent
would be provided from Edmonton through the Inter Pipeline owned 454 kilometres (282.1 mi) long 12 inches (304.8 mm) diameter pipeline supplying the Athabasca Oil Sands Project. The Kearl oil sands facilities would be connected with this pipeline by a 50 kilometres (31.1 mi) long new branch.
At the first stage the development would involve capital spending of about C$8 billion, with the final estimate being highly dependent on the final upgrading option selected. An engineering, procurement, and construction management contract for the first phase was awarded to AMEC
while
Fluor Corp. is responsible for the development of infrastructure and facilities.
The proposed development will be on the following oil-sands leases:
owns 70% of the project and ExxonMobil Canada Ltd.
owns 30%.
launched legal action in Canadian federal courts to overturn the Department of Fisheries and Oceans
regulatory approval. They say the joint federal-Alberta regulatory panel "failed to do its job" when it gave conditional approval to the $7 billion Kearl open-pit mine. They argued that a full environmental review must take place before the federal government can decide whether the project should proceed.
After a joint federal-provincial panel reviewed and upheld the original decision, a key water permit was reinstated, pending approval from Imperial's board of directors. Delayed again in response to the 2008 fall in oil prices, Imperial Oil decided in May 2009 to proceed with the project, taking advantage of the soft local economy to cut costs.
The Alberta Federation of Labour criticised the plan's lack of an upgrader, as "that's where the real jobs are", referring to the intent to pipe diluted bitumen south for upgrading.
Residents of Idaho
and Montana
have criticized the plan to transport 'Oversized Loads' of prefabricated parts of oil extraction 'modules' over U.S. Route 12
along the narrow curving byways of the Clearwater
and Lochsa River
of the National Wild and Scenic Rivers System, over Lolo Pass, through Missoula
and into Alberta.
, a developer and user of Self Propelled Modular Transporter
s is using SPMTs (14 Line 16' Wide Goldhofer Hydraulic Platform Trailer) in conjunction with Class 8 Tractors to transport modules (deemed 'Oversized Loads') of oil extraction parts on the 'Kearl Module Transportation Project' from the port of Lewiston
, Idaho
, through the states of Idaho and Montana in the United States of America to the Kearl Oil Sands Project.
Proposed module transport and required road and utility modifications:
http://www.mdt.mt.gov/pubinvolve/docs/eis_ea/kmtp/ea_kearl.pdf
Athabasca Oil Sands
The Athabasca oil sands are large deposits of bitumen, or extremely heavy crude oil, located in northeastern Alberta, Canada - roughly centred on the boomtown of Fort McMurray...
region at the Kearl Lake area, about 70 kilometres (43.5 mi) north of Fort McMurray. It is developed in three phases and expected to begin production in late 2012.
Project description
The proposed development will be an open-pit miningOpen-pit mining
Open-pit mining or opencast mining refers to a method of extracting rock or minerals from the earth by their removal from an open pit or borrow....
operation , which will be developed in three stages. At the first stage it will produce approximately 110000 oilbbl/d, with later expansions to more than 300000 oilbbl/d. Blended bitumen from the Kearl project will be transported to the Edmonton
Edmonton
Edmonton is the capital of the Canadian province of Alberta and is the province's second-largest city. Edmonton is located on the North Saskatchewan River and is the centre of the Edmonton Capital Region, which is surrounded by the central region of the province.The city and its census...
area by Enbridge
Enbridge
Enbridge Inc. is a Calgary, Alberta based company focused on three core businesses: crude oil and liquids pipelines, natural gas transportation and distribution, and green energy. The company has approximately 6,000 employees, mostly in Canada and the United States...
's pipeline system. Diluent
Diluent
A diluent is a diluting agent.Certain fluids are too viscous to be pumped easily or too dense to flow from one particular point to the other. This can be problematic, because it might not be economically feasible to transport such fluids in this state.To ease this restricted movement, diluents...
would be provided from Edmonton through the Inter Pipeline owned 454 kilometres (282.1 mi) long 12 inches (304.8 mm) diameter pipeline supplying the Athabasca Oil Sands Project. The Kearl oil sands facilities would be connected with this pipeline by a 50 kilometres (31.1 mi) long new branch.
At the first stage the development would involve capital spending of about C$8 billion, with the final estimate being highly dependent on the final upgrading option selected. An engineering, procurement, and construction management contract for the first phase was awarded to AMEC
AMEC
AMEC plc is a global consultancy, engineering and project management company headquartered in London, United Kingdom. It is focused on the oil and gas, minerals and metals, renewable energy, environment and infrastructure sectors and has offices in 40 countries worldwide...
while
Fluor Corp. is responsible for the development of infrastructure and facilities.
Resource
When ExxonMobil proposed the Kearl project in 1997, estimated recoverable bitumen resources were 1.2 to 1.4 Goilbbl. Later revisions place the actual established reserves at over 5.5 Goilbbl.The proposed development will be on the following oil-sands leases:
- Leases 6 and 87, in which Imperial holds 100 percent of the mining rights. Areas deemed suitable for surface mining are primarily in the western part of Lease 6 and the northwestern part of Lease 87.
- Lease 36 and 31A, in which ExxonMobil Canada holds 100% of the mining rights.
Ownership
Imperial Oil ResourcesImperial Oil
Imperial Oil Limited is Canada's largest petroleum company. The company is engaged in the exploration, production and sale of crude oil and natural gas. It is controlled by US based ExxonMobil, which owns 69.6% of its stock...
owns 70% of the project and ExxonMobil Canada Ltd.
ExxonMobil
Exxon Mobil Corporation or ExxonMobil, is an American multinational oil and gas corporation. It is a direct descendant of John D. Rockefeller's Standard Oil company, and was formed on November 30, 1999, by the merger of Exxon and Mobil. Its headquarters are in Irving, Texas...
owns 30%.
Critics
Sierra LegalEcojustice canada
Ecojustice Canada , is a Canadian non-profit environmental law firm that uses litigation to defend and protect the environment.-Mission:...
launched legal action in Canadian federal courts to overturn the Department of Fisheries and Oceans
Fisheries and Oceans Canada
Fisheries and Oceans Canada, frequently referred to as DFO , is the department within the government of Canada that is responsible for developing and implementing policies and programs in support of Canada's economic, ecological and scientific interests in oceans and inland waters...
regulatory approval. They say the joint federal-Alberta regulatory panel "failed to do its job" when it gave conditional approval to the $7 billion Kearl open-pit mine. They argued that a full environmental review must take place before the federal government can decide whether the project should proceed.
After a joint federal-provincial panel reviewed and upheld the original decision, a key water permit was reinstated, pending approval from Imperial's board of directors. Delayed again in response to the 2008 fall in oil prices, Imperial Oil decided in May 2009 to proceed with the project, taking advantage of the soft local economy to cut costs.
The Alberta Federation of Labour criticised the plan's lack of an upgrader, as "that's where the real jobs are", referring to the intent to pipe diluted bitumen south for upgrading.
Residents of Idaho
Idaho
Idaho is a state in the Rocky Mountain area of the United States. The state's largest city and capital is Boise. Residents are called "Idahoans". Idaho was admitted to the Union on July 3, 1890, as the 43rd state....
and Montana
Montana
Montana is a state in the Western United States. The western third of Montana contains numerous mountain ranges. Smaller, "island ranges" are found in the central third of the state, for a total of 77 named ranges of the Rocky Mountains. This geographical fact is reflected in the state's name,...
have criticized the plan to transport 'Oversized Loads' of prefabricated parts of oil extraction 'modules' over U.S. Route 12
U.S. Route 12 in Idaho
US Route 12 is a state highway in north central Idaho. It extends from the Washington state line in Lewiston east to the Montana state line at Lolo Pass, generally along the route of the Lewis and Clark expedition, and is known as the Northwest Passage Scenic Byway -Route description:US 12 enters...
along the narrow curving byways of the Clearwater
Clearwater River (Idaho)
The Clearwater River is a river in north central Idaho, which flows westward from the Bitterroot Mountains along the Idaho-Montana border, and joins the Snake River at Lewiston. In October 1805, the Lewis and Clark Expedition descended the Clearwater River in dugout canoes, putting in at "Canoe...
and Lochsa River
Lochsa River
The Lochsa River is located in the northwestern United States, in the mountains of north central Idaho. It is one of two primary tributaries of the Middle Fork of the Clearwater River in the Clearwater National Forest. Lochsa is a Nez Perce word meaning rough water.The Lochsa was included by the...
of the National Wild and Scenic Rivers System, over Lolo Pass, through Missoula
Missoula, Montana
Missoula is a city located in western Montana and is the county seat of Missoula County. The 2010 Census put the population of Missoula at 66,788 and the population of Missoula County at 109,299. Missoula is the principal city of the Missoula Metropolitan Area...
and into Alberta.
Kearl Module Transportation Project
MammoetMammoet
Mammoet is a privately held Dutch company specializing in the hoisting and transporting of heavy objects.- History :Mammoet was founded in 1973, specialised in heavy transport over water and roads. In 2001 it was taken over by Van Seumeren transport. The name Mammoet became the name for the new...
, a developer and user of Self Propelled Modular Transporter
Self Propelled Modular Transporter
A Self Propelled Modular Transporter is a platform vehicle with a large array of wheels on the bottom. They are used for transporting massive objects such as bridges, oil refining equipment, huge motors, large bridge sections, and other objects that are too big or heavy for trucks but trucks can...
s is using SPMTs (14 Line 16' Wide Goldhofer Hydraulic Platform Trailer) in conjunction with Class 8 Tractors to transport modules (deemed 'Oversized Loads') of oil extraction parts on the 'Kearl Module Transportation Project' from the port of Lewiston
Lewiston, Idaho
Lewiston is a city in and also the county seat of Nez Perce County in the Pacific Northwest state of Idaho. It is the second-largest city in the northern Idaho region, behind Coeur d'Alene and ninth-largest in the state. Lewiston is the principal city of the Lewiston, ID - Clarkston, WA...
, Idaho
Idaho Panhandle
The Idaho Panhandle is the northern region of the U.S. State of Idaho that encompasses the ten northernmost counties of Benewah, Bonner, Boundary, Clearwater, Idaho, Kootenai, Latah, Lewis, Nez Perce, Shoshone. Residents of the panhandle refer to the region as North Idaho...
, through the states of Idaho and Montana in the United States of America to the Kearl Oil Sands Project.
Proposed module transport and required road and utility modifications:
http://www.mdt.mt.gov/pubinvolve/docs/eis_ea/kmtp/ea_kearl.pdf