Statoil signs 10 year pipeline deal to ship Canadian bitumen
February 3, 2010 HOUSTON -- Statoil Canada has signed an agreement with Enbridge to ship 30,000 b/d of bitumen from the Leismer oil sands project in Alberta through the Waupisoo Pipeline for a period of 10 years, Enbridge said in a statement Wednesday.
Statoil's Leismer project, expected to produce first oil in late 2011, is expected to produce up to 30,000 b/d of bitumen in the first phase.
The Leismer project's output is expected to reach up to 220,000 b/d when all stages of the project are completed. The project is close to the Waupisoo Pipeline, one of two pipelines linked to Enbridge's Regional Oil Sands System.
"The Waupisoo Pipeline can initially absorb Leismer volumes within its existing capacity but will require a subsequent expansion to accommodate all commitments," Enbridge said.
"Waupisoo is expandable to an ultimate capacity of 600,000 b/d depending on crude slate," it said.
Esa Ramasamy © Platts. All Rights Reserved.
