ExxonMobil Announces Kearl Expansion Project Starts Production Ahead of Schedule
June 16 2015 - 7:55AM
Business Wire
- Total Kearl production capacity
increases to 220,000 barrels a day
- Capital-efficient project applies
lessons from initial Kearl development
- Expansion project production ultimately
expected to reach 110,000 barrels per day
Exxon Mobil Corporation (NYSE:XOM) today announced that
production at its Kearl oil sands expansion project in Alberta,
Canada, started ahead of schedule and is expected to double overall
capacity to 220,000 barrels of bitumen a day.
The expansion project is ultimately expected to reach 110,000
barrels per day. Kearl will access approximately 4.6 billion
barrels of resource for more than 40 years.
“The ahead-of-schedule startup of the Kearl expansion
demonstrates ExxonMobil’s project management expertise and
highlights our ability to safely and successfully execute complex
projects,” said Neil Duffin, president of ExxonMobil Development
Company. “The improved understanding gained from the initial Kearl
development phase was applied to the expansion project to produce
this outstanding result.”
The expansion project consists of three additional trains that
use proprietary paraffinic froth treatment technology to produce
bitumen. The process reduces energy requirements and environmental
impacts by not requiring an on-site upgrader, which avoided a
multi-billion dollar capital investment and associated operating
expenses. Energy needs are further reduced through the installation
of energy-saving cogeneration facilities.
The project produces blended bitumen with about the same
lifecycle greenhouse gas emissions as the average crude oil refined
in the United States. Other environmental innovations include
on-site water storage to reduce water use, progressive land and
tailings reclamation, and a state-of-the-art waterfowl deterrent
system.
“Kearl’s bitumen was first processed in ExxonMobil refineries to
help the company fully understand its properties before introducing
it to the market,” Duffin said. “It is now processed in more than
25 refineries around the world.”
ExxonMobil expects to increase its global production volumes
this year by 2 percent to 4.1 million oil-equivalent barrels per
day, driven by 7 percent liquids growth. The volume increase is
supported by the ramp up of several projects completed in 2014 and
the expected startup of seven major developments in 2015, including
the Kearl expansion, Hadrian South in the Gulf of Mexico, Banyu
Urip in Indonesia and deepwater expansion projects at Erha in
Nigeria and Kizomba in Angola.
The Kearl project is located about 75 kilometers northeast of
Fort McMurray, Alberta, and is operated by Imperial Oil Limited, an
ExxonMobil affiliate.
CAUTIONARY STATEMENT: Statements of future events or conditions
in this release are forward-looking statements. Actual future
results, including project plans, schedules, costs, capacities, and
ultimate recoveries could differ materially due to changes in
market conditions affecting the oil and gas industry or long-term
oil and gas price levels; political or regulatory developments;
reservoir performance; timely completion of development projects;
technical or operating factors; the outcome of future commercial
negotiations; and other factors. The term "project" as used in this
release does not necessarily have the same meaning as under any
government payment transparency reporting rules.
About ExxonMobil
ExxonMobil, the largest publicly traded international oil and
gas company, uses technology and innovation to help meet the
world’s growing energy needs. ExxonMobil holds an industry-leading
inventory of resources and is one of the world’s largest integrated
refiners, marketers of petroleum products and chemical
manufacturers. For more information, visit www.exxonmobil.com or
follow us on Twitter www.twitter.com/exxonmobil.
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