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Strong production expected through 2018 after Suncor completes turnarounds

Suncor announced recently that with the completion of major planned turnaround activities and strong production from growth projects, Q2 production to date averaged approximately 636,000 barrels per day (bbls/d) reflecting the significant planned turnarounds in the quarter, and exited May at approximately 800,000 bbls/d. 

Planned turnaround work experienced some delays and additional work, but is now complete at Syncrude, Suncor's Oil Sands base plant and its four refineries. In June these assets are expected to run at full rates.  The Hebron and Fort Hills growth projects are delivering production that is exceeding expectations. 

"The Fort Hills mega-project has surpassed expectations; it came online safely, ramped up well ahead of schedule and it's producing a high-quality, fungible bitumen that is expected to continue to receive a premium price to in situ bitumen. We are especially appreciative of the dedication and careful planning and execution that our team and partners have demonstrated in achieving this remarkable result," said Steve Williams, president and chief executive officer. "Fort Hills' bitumen has the same GHG emissions intensity per barrel as the average crude refined in the U.S. Our investors and stakeholders can be proud of advances being made in decreasing the carbon intensity of our production." 

Following the May 11, 2018 commissioning of Fort Hills' third and final train of secondary extraction, Suncor tested the plant at full capacity, proving the design capacity of 194,000 bbls/d. In addition, the company has completed a seven-day reliability test of the plant running in excess of 90% capacity (175,000 bbls/d) with no significant issues. 

With the advanced commissioning of the final train of secondary extraction, the plant has ramped up earlier than anticipated. As a result, while the company will be accelerating the growth of planned mine capacity to align with the plant capacity, Fort Hills is expected to continue to track at the high end of guidance for the quarter. Looking forward to Q4, Suncor is now targeting 90% average production at Fort Hills, up from the original guidance which had a Q4 midpoint of approximately 80%.

When the joint venture partners announced that they would proceed with the Fort Hills project in 2013, the total project cost was estimated at a capital intensity of approximately $84,000 per flowing barrel, the project was scheduled to produce first oil as early as the fourth quarter of 2017 and was expected to achieve 90% of its planned production capacity within 12 months. Save for a few weeks delay of first oil, for Suncor the project's overall fundamentals and ramp up have been delivered faster or better than forecasted.

The successful completion of the Fort Hills project is the direct result of a well-developed and executed strategy to level load construction, accelerated commissioning plans using synergies between base plant and Fort Hills, the progressive turnover of assets from construction to operations, and the staged ramp up of production over time. The project was built during a period of low oil prices and has come online just as oil prices have strengthened. Suncor expects Fort Hills will continue to provide significant returns for decades.

With production from both Fort Hills and Hebron ramping up earlier than anticipated and the completion of major planned maintenance at Suncor's oil sands and downstream operations, Suncor is well-positioned for strong production performance for the remainder of the year

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Pipelines

City request to stop work at Trans Mountain terminal denied by NEB

In its decision, the NEB found that the piping modifications at the Burnaby Terminal are not associated with the Expansion Project and that the relocation and decommissioning Orders appropriately allow Trans Mountain to optimize the site in preparation to offer new services to shippers.

The NEB has rejected a request by the City of Burnaby to rescind two Orders that authorize Trans Mountain Pipeline ULC to undertake pipeline relocations and decommissioning works at its Burnaby Terminal. The decision enables the company to continue its ongoing work to modify existing piping and related infrastructure within the facility.

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Bureau Veritas awarded major inspection contract for new oil field development

The frame agreement between Bureau Veritas and operator Neptune Energy will run until December 2022 and, as the development progresses, it may see Bureau Veritas provide third-party inspection services in Newcastle, Evanton, Le Trait, Ulveston, and other European locations and further afield globally.

Bureau Veritas, a leader in laboratory testing, inspection and certification services, has been awarded a four-year contract with Neptune Energy to provide second and third-party inspection services for the new Fenja oil and gas field development, offshore Norway.

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Drilling & Production
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Offshore Technology

Subsea Integration Alliance receives EPCIC contracts offshore Australia

The OneSubsea scope includes the provision of two vertical monobore on-wellhead production trees, wellheads, controls and installation and commissioning services.

Subsea Integration Alliance has announced the award of integrated subsea engineering, procurement, construction, installation and commissioning (EPCIC) contracts. These awards, by Esso Australia Pty Ltd, represent the first integrated subsea project for Subsea Integration Alliance in Australia combining OneSubsea and Subsea 7 expertise in subsea production systems (SPS) and subsea umbilical, riser and flowline (SURF) systems.

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Packers Plus successfully installs more than 200 PrimeSET liner hangers in North America

The PrimeSET Liner Hanger is designed for challenging applications. This technology can handle high torque, carry heavy weight and provides the ability to rotate, push and pull the liner while running in-hole without an early release of the running tool.

Packers Plus Energy Services Inc. has successfully installed the TREX PrimeSET Liner Hanger system in 216 wells across North America. This liner hanger system, which can be used in both cemented and open hole applications, is engineered with unique anti-preset features to ensure reliability and performance, resulting in time and cost savings for operators.

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Instrumentation, Systems & Automation

Ametek introduces AMEVision communication and display system capability for 3050 moisture analyzers

The 3050 series analyzer can be pre-configured at the factory to directly communicate with AMEVision, eliminating the need to set it up, which will ultimately save time in the field.

AMETEK has broadened its AMEVision communication and display system capabilities to include the 3050 series of moisture analyzers. Originally designed for WDG-V analyzers, the AMEVision system provides real-time moisture measurements and trend data while also detailing a variety of maintenance and troubleshooting information.

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Shows & Events

New work trucks and equipment rolling out at The Work Truck Show 2019

Show attendees will have the opportunity to check out products from 26 first-time exhibitors in a special New Exhibitor Pavilion that opens an hour before the exhibit hall on Wednesday, March 6 and Thursday, March 7. It’s located across from the Hall I exhibit hall entrance.

More than 100 companies have already announced plans to introduce new work trucks and equipment at Work Truck Week 2019.

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Occupational Health & Safety

Optical gas imaging tools for the oil and gas industry

An optical gas imaging camera is a highly specialized version of an IR or thermal imaging camera. It consists of a lens, a detector, electronics that process the signal from the detector, and a viewfinder or screen for the user to see the image produced by the camera.

Infrared (IR) thermal imaging cameras have been used for decades for a variety of oil and gas applications, including electrical/ mechanical inspections, tank level inspections, and even examinations of pipe integrity within process equipment. In recent years, new optical gas imaging (OGI) technology has been developed which can "see" hydrocarbon gases and volatile organic compounds (VOCs) that are venting or leaking to the atmosphere. OGI can be used for meeting regulatory emission reduction requirements, while also helping to reduce product loss, which in turn provides positive return on investment. OGI cameras are a huge time saver compared to other inspection technologies and also offer safety advantages for operators. Major energy companies are using OGI cameras like the FLIR GF320 to quickly check thousands of components and identify potential gas leaks in real-time.

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Instrumentation, Systems & Automation

KROHNE to manufacture OPTIMASS twin bent tube coriolis mass flowmeter

The OPTIMASS 6400 has been approved for custody transfers of both liquids and gases, making it ideal for process industries and specialist applications like LNG, CNG, or supercritical gases in terminal or storage/bunkering, along with custody transfer applications.

KROHNE, Inc. announces that it has begun manufacturing the OPTIMASS 6400 twin bent tube Coriolis mass flowmeter at its newly opened state of the art flow and level instrument manufacturing and calibration facility located in Beverly, MA. The OPTIMASS 6400 is ideal for standard liquid and gas applications in the chemical and petrochemical, oil and gas, pharmaceutical, food and beverage, and energy and power industries. The OPTIMASS 6400 is equipped with a new signal converter that features advanced device and process diagnostics, compliant to NAMUR NE 107.

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COSIA seeks presenters for Oil Sands Innovation Summit

We encourage submissions from academia - both students and faculty, companies of all sizes, associations, government, research organizations, and individuals who are advancing technologies in the four environmental areas: Land, Water, Tailings and Greenhouse Gases.

Canada's Oil Sands Innovation Alliance (COSIA), Alberta Innovates and Emissions Reduction Alberta (ERA) are seeking presenters to share their research or project results, knowledge and experience at the 2019 Oil Sands Innovation Summit.  

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2019 Ram Heavy Duty provides benchmark for performance and capability

The standard engine in the 2019 Ram 2500 and 3500 Heavy Duty is upgraded to the proven and potent 6.4-litre HEMI V8, delivering class-leading 410 gas horsepower @ 5,600 rpm and 429 lb.-ft. of torque @ 4,000 rpm to handle the payload and towing requirements of the heavy-duty truck user.

The 2019 Ram Heavy Duty is the most powerful, most capable pickup in the segment, according to the manufacturer, with a towing capacity of 15,921 kg (35,100 lbs.) and a payload capacity of 3,484 kg (7,680 lb.). Driving it all is a never-before-seen torque rating of 1000 lb.-ft. from the Cummins 6.7-litre High Output Turbo Diesel engine. The new Ram Heavy Duty also sets benchmarks in ride and handling, luxury, materials, innovation, and technology extending well past any competitive offerings. 

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Pipelines

T.D. Williamson introduces 4-inch inspection tool for small diameter, low pressure pipelines

According to Tod Barker, Senior Product Manager, Pipeline Integrity, the 4-inch tool overcomes challenges associated with conventional MFL inspections, such as difficulty navigating tight bends and speed excursions that limit data accuracy.

T.D. Williamson (TDW) has commercialized a 4-inch magnetic flux leakage (MFL) + deformation (DEF) + internal versus external discrimination (IDOD) tool that helps ensure pipeline integrity by detecting pitting and general corrosion as well as interacting features such as dents with metal loss in small diameter, low pressure pipelines.   

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Portable vehicle scales​ help heavy-haul carriers stay compliant

Heavy-haul carriers transport oversized objects using public roadways. While these loads may weigh hundreds of thousands of pounds, operators must still comply with permitted limits, while also completing their job safely. Intercomp has a variety of options to fill this unique application for a range of applications including construction, oil & gas, waste and recycling, heavy-haul transportation and electrical utility.

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Allen Engineering promotes Kyle Baker to national sales manager

In his new position, Baker will be responsible for managing, training and recruiting all the Allen direct sales personnel as well as the independent sales representatives that sell Allen Equipment in the United States and Canada.

Allen Engineering Corp. recently announced that Kyle Baker has been promoted to national sales manager for all sales operations in the United States and Canada.

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Power Systems

Encana selects Siemens to provide rotating equipment for Pipestone Processing Facility

Siemens’ SGT-750 turbine offers customers lower life cycle costs compared to competing turbines in the industry.

Siemens was recently selected to provide one feed and sales gas train and one refrigeration compression train for Encana's Pipestone Processing Facility in Grand Prairie, Alberta, Canada. Designed to accommodate future capacity expansion, the Pipestone Processing Facility will provide Encana with 19,000 barrels per day of net raw condensate processing capacity plus 170 million cubic feet per day of net inlet natural gas processing capacity. Keyera will own the Pipestone Processing Facility and provide processing services to Encana. The Facility will have total processing capacity of 200 million cubic feet per day and is expected to start up in 2021.

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Pipelines

TransCanada plans name change to TC Energy

TransCanada Corporation has announced its intention to change its name to TC Energy to better reflect the scope of the company's operations as a leading North American energy infrastructure company. TransCanada's shareholders will be asked to approve a special resolution to change the name at the company's next Annual and Special Meeting of Shareholders.

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Husky considering sale of non-core downstream assets

Husky's retail and commercial network consists of more than 500 stations, travel centres, cardlock operations and bulk distribution facilities from British Columbia to New Brunswick. The myHusky Rewards loyalty program has about 1.6 million members.

Husky Energy will undertake a strategic review and will potentially sell its Canadian retail and commercial fuels business and its Prince George Refinery.

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Seeq announces availability of R21 with new scorecard and FFT analytics

Seeq now supports Fast Fourier Transform (FFT) and expanded reporting capabilities in latest release, increases headcount to support larger and worldwide customer deployments.

Seeq Corporation announces the availability of their latest release, R21, an advanced analytics solution for process manufacturing customers. Seeq enables engineers and scientists in process manufacturing organizations to rapidly analyze, predict, collaborate, and share insights to improve production outcomes. Customers include companies in  oil & gas, chemical, energy, mining and other process industries.

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Pipelines

Demand to drive Canadian oil prices higher in 2019: Deloitte

Deloitte notes that Canadian oil prices should also strengthen in 2019 because of improved export capacity as a result of the Alberta government's plan to purchase additional rail cars to transport crude oil and the expanded capacity of Enbridge's Line 3 pipeline, which transports a variety of Canadian crude oil to the United States.

Prices for Canadian heavy and light oil should improve somewhat in 2019 because of increased demand from refineries in the United States, improving transportation capacity and mandatory productions cuts in Alberta, according to Deloitte's Resource Evaluation and Advisory (REA) group. In its latest report, Deloitte says these factors should begin to reduce the current oversupply of Canadian oil and help narrow the larger-than-usual differentials with WTI prices that were present in the final quarter of 2018.

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