Husky Energy Celebrates its Inaugural Oil Sands Project
Mr. John C.S. Lau, President & Chief Executive Officer, Husky Energy Inc. announced the official opening of Husky's Tucker Oil Sands Project in a ribbon cutting ceremony at the facility site near Cold Lake, Alberta. The event was attended by the Honorable Ralph Klein, Premier of Alberta, the Honorable Greg Melchin, Minister of Energy and other distinguished guests.
The Tucker Oil Sands Project is the first in Husky's portfolio of oil sands assets. The project, located 30 kilometers northwest of Cold Lake, Alberta, was completed on time and below its $500 million budget. Construction on the project began in the fall of 2004 and at its peak employed about 700 workers on site. The facility will employ approximately 40 full time workers.
"Corporate citizens like Husky Energy represent the grand entrepreneurial spirit of Alberta. Benefits from projects like Tucker don't stop in the boardroom. They are shared throughout Alberta, whether by the worker in Fort McMurray or the retired couple in Brooks, and indeed are felt right across Canada. We thank Husky for contributing to Alberta's oil sands development and for providing energy for generations to come," said Premier Klein.
"We are very pleased with our project planning and execution," said Mr. Lau. "The Husky project team and our contractors have done an outstanding job in completing the facilities on time and below budget, notwithstanding an overheated economy and increased labor costs."
During the 35 year life of the project, Husky expects to produce approximately 350 million barrels of bitumen. First oil is expected in November of this year with peak production of more than 30,000 barrels per day to be reached within 18 to 24 months.
The Tucker Oil Sands Project is an integrated development and is located in close proximity to Husky's existing heavy oil pipeline infrastructure. The product will be blended with a diluent to be transported to Husky's Upgrader located in Lloydminster, Saskatchewan. The diluted bitumen will be upgraded into a premium synthetic crude oil and then transported to refineries in Canada and the United States.
Husky's oil sands leases total approximately 484,000 acres in the Fort McMurray and Cold Lake regions with original bitumen in place of 39.3 billion barrels.
Husky Energy is a Canadian based, integrated energy and energy-related
company headquartered in Calgary, Alberta. Husky Energy is publicly traded on
the Toronto Stock Exchange under the symbol HSE.
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