Thursday, March 24, 2011

A New Paradigm Emerging in the Development of the Oilsands? (OilVoice)

Total and Suncor are both very large, very capable, and generally very private operations.  They like to do their own work.  Sharing the effort and the rewards is not necessarily there typical modus operandi.  Last December they announced their intention to establish a strategic alliance to advance development of new project initiatives.  The JV will spend $20B to bring production of more than 1M bbl/d online from the Voyaguer upgrader and Joslyn and Fort Hills projects. 

Suncor Energy Finalizes Strategic Alliance with Total E&P Canada

Tuesday, March 22, 2011
Suncor Energy Inc. announced today that it had finalized its strategic alliance with Total E&P Canada Ltd. after receiving all required approvals and successfully meeting all other conditions.

"This agreement with Total is an important element of Suncor's plans to accelerate development of its growth portfolio and more than double our oil sands production by 2020", said Kirk Bailey, executive vice-president, Oil Sands Ventures. "Together, we will be able to pool our manpower and capital resources and bring our collective strengths to bear to manage projects using best-in-class operating practices."

Under the terms of this agreement, first announced on December 17, 2010, Suncor acquired a 36.75% working interest in the Total-operated Joslyn joint venture with Total now holding 38.25%, Occidental Petroleum holding 15% and Inpex Canada Ltd. holding 10%. Suncor will also receive approximately $1.75 billion from the transaction.

No comments: