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Report: Alberta oil spill disclosure delayed

Files obtained from the Canadian government show there was a push to delay publication of information about an Alberta oil spill, a newspaper said. In mid-July, Canadian Natural Resources Ltd. published a 92-page report on the 2013 seep of more than 12,000 barrels of bitumen, the viscous form of oil found in Alberta. Canadian newspaper the Toronto Star reported Tuesday it obtained more than 100 pages of emails showing the enforcement branch of Environment Canada called on a spokesman to "limit information" released about the spill last year. The Star reports the seeps began in May 2013, but weren’t disclosed until July when the newspaper issued its accounts of the incidents. Megan Leslie, a provincial lawmaker from Halifax, told the newspaper the government of Prime Minister Stephen Harper was massaging public relations about the energy sector. "The responses (to media) don’t need to be beefed up," she said. "Our […]

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Chinese Corruption Probe Stretches Into Canada

A Chinese government anticorruption investigation that already has swept aside dozens of officials is now stretching into Canada. A shake-up has hit state-run China National Petroleum Corp.’s Canadian operations and a billion-dollar oil-sands project is now in limbo. The head of a key China National Petroleum subsidiary was recalled to Beijing last month and has since fallen from public view, according to people familiar with the matter. Also in recent weeks, an email announced the replacement of China National Petroleum’s top representative in Canada. The two are being succeeded by a single executive dispatched from Beijing who will play senior roles at both units, according to emails reviewed by The Wall Street Journal. Canadian authorities are aware of "these investigations being conducted by Chinese authorities into Chinese officials," a government official familiar with the matter said. "At this point there is no reason to believe that any Canadians are […]

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WWF: Arctic Oil Well Blowout Could Spread More Than 1,000 Km

CALGARY, Alberta, July 25 (Reuters) – Oil from a spill or oil well blowout in the Arctic waters of Canada’s Beaufort Sea could easily become trapped in sea ice and potentially spread more than 1,000 kilometres to the west coast of Alaska, a World Wildlife Fund study showed on Friday. The WWF contracted RPS Applied Science Associates to model 22 different oil spill scenarios and map the spread of the oil, potential impact on the water and shoreline, and interaction with sea ice, wildlife and the surrounding ecology. Types of oil spills analysed included shipping spills, shallow-water blowouts and deep-water blowouts. The BP Plc Macondo oil well rupture in 2010 that unleashed more than four million barrels of oil into the Gulf of Mexico was a deep-water blowout. The remote Beaufort Sea is a section of the Arctic Ocean that spans the Canada-U.S. border. It comprises about 476,000 square […]

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Costs up for oil sands production

The costs of producing bitumen and synthetic crude in the Albertan oil sands have increased over the past year, says the Canadian Energy Research Institute in an annual report that projects steady growth in output. Compared with last year’s report, estimated costs of production before blending and transportation are up 4.4% for steam-assisted gravity drainage , 1.6% for mining without upgrading, and 5.9% for integrated mining and upgrading ( OGJ Online, May 29, 2013 ). The new estimates of plant-gate supply costs: $50.89/bbl (Can.) for SAGD, $71.81/bbl for stand-alone mining, and $107.57/bbl for integrated mining. CERI estimates the cost of stand-alone upgrading at $40.82/bbl. When the price of West Texas Intermediate crude is $100/bbl, the only economic production technology when blending and transportation are included in the estimate is SAGD, CERI points out. After those adjustments, the WTI-equivalent supply costs at the Cushing, Okla., pricing hub are $84.99/bbl (US) […]

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Canada Broadens Sanctions Against Russia

Canada broadened its economic sanctions against the Kremlin, in response to the downing of Malaysia Airlines Flight 17, targeting major Russian financial and energy companies as well as Moscow-backed separatists in eastern Ukraine. Canada’s move on Thursday was signaled earlier in the week and comes as European Union officials are set to announce on Friday a fresh set of wide-ranging sanctions against Russia. Member states of the EU are said to be considering restrictions on Russian access to European financial markets and exports of military-related goods to Russia. Washington also has turned up the pressure on Moscow, leveling accusations about Russia’s role in the downing of Malaysia Airlines Flight 17. The latest was made on Thursday and suggested Russian artillery are firing across the border at Ukranian military positions. Prime Minister Stephen Harper said Canada would impose economic sanctions and travel bans against eight individuals, all […]

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Alberta frets over steam-injection for oil

| License Photo While potentially safe, the provincial energy regulator in Alberta said it’s not ready to lift a ban on a controversial steam-injection method for bitumen. The Alberta Energy Regulator released results from an independent review of an assessment made by Canadian Natural Resources Ltd. of last year’s seeps at its Primrose project, near the Cold Lake Air Weapons Range in Alberta. The regulators said four so-called flow-to-surface events were reported last year, spoiling about 50 acres of land. The company’s own report said a process called cyclical steam stimulation, or CSS, may have cracked open other subsurface layers, allowing oil to leak out of control from the site. Jim Ellis , president of the Alberta regulator, said flow-to-surface events could be prevented if the right mitigation efforts are in place. "That said, the AER is not prepared to approve a return to full operations at these sites […]

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CERI: Costs up for oil sands production

The costs of producing bitumen and synthetic crude in the Albertan oil sands have increased over the past year, says the Canadian Energy Research Institute in an annual report that projects steady growth in output. Compared with last year’s report, estimated costs of production before blending and transportation are up 4.4% for steam-assisted gravity drainage , 1.6% for mining without upgrading, and 5.9% for integrated mining and upgrading ( OGJ Online, May 29, 2013 ). The new estimates of plant-gate supply costs: $50.89/bbl (Can.) for SAGD, $71.81/bbl for stand-alone mining, and $107.57/bbl for integrated mining. CERI estimates the cost of stand-alone upgrading at $40.82/bbl. When the price of West Texas Intermediate crude is $100/bbl, the only economic production technology when blending and transportation are included in the estimate is SAGD, CERI points out. After those adjustments, the WTI-equivalent supply costs at the Cushing, Okla., pricing […]

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Steam-injection blamed for Canadian oil seep

Canadian Natural Resources Ltd. said a steam-injection practice at an oil extraction site in Alberta may have led to major oil spill there last year. More than 12,000 barrels of bitumen, the viscous form of oil found primarily in Alberta, seeped from the company’s exploration areas near the Cold Lake Air Weapons Range in Alberta last year. The company initially said legacy issues at the site may have led to the incident. In a 92-page report , released to the public Tuesday, the company said a process dubbed cyclical steam stimulation, or CSS, may have contributed to what the report described as a flow-to-surface event. CSS may have cracked open other subsurface layers, allowing oil to leak out of control from the site. "The identified causes indicate that changes to steaming strategies and enhanced monitoring, as well as remediation of defective wellbores can prevent the conditions […]

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Progress made since Lac-Megantic, Canada says

Canadian transportation officials are making good progress in addressing the safety issues of crude oil transport by rail, the Transportation Safety Board said. The safety board in Canada said progress made on safety since last year’s deadly oil train derailment in Lac-Megantic, Quebec, was satisfactory. Transportation Safety Board Chairwoman Wendy Tadros said her agency was "pleased" with steps taken so far by Transport Canada to reduce the risks. "There are risks to carrying more and more oil by rail and the board’s recommendations are aimed at bringing those risks down," she said in a statement . The Lac-Megantic disaster left more than 40 people dead. Canadian Transport Minister Lisa Raitt in January ordered rail cars designated as DOT-111, or Class-111, out of service. Those type of rail cars were involved in last year’s accident and similar incidents in the United States. Tadros said Canada is leading […]

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Canada Approves Enbridge’s Northern Gateway Pipeline

The Canadian government approved Enbridge Inc. (ENB) ’s Northern Gateway pipeline, eliminating the final major regulatory obstacle for the conduit that would move Alberta oil to the Pacific coast for shipment to Asia. The approval of the C$6.5 billion ($6 billion) project by Prime Minister Stephen Harper’s cabinet is subject to Enbridge satisfying the 209 conditions placed on the proposal by a regulatory review panel in December, Natural Resources Minister Greg Rickford said in a statement today from Ottawa. “The proponent clearly has more work to do in order to fulfill the public commitment it has made to engage with Aboriginal groups and local communities along the route,” Rickford said in the statement . Canada’s petroleum producers are seeking ways to get land-locked and price-depressed Alberta crude to world markets, especially after delays to TransCanada Corp.’s proposed Keystone XL pipeline. Harper’s government has made building energy infrastructure a national […]

Posted On : Published By : Tom Whipple