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Oil Sands



Overview

Kearl's total recoverable bitumen is estimated to be 4.6 billion barrels. It is located near the surface and will be recovered using open-pit mining methods similar to those used at existing oil sands mines in the region.

Full development will take place in three phases, with selective clearing, mining and reclamation continuing over the 50-year life of the project. All disturbed lands will be progressively reclaimed and returned to productive use. The reclaimed landscape will be a mix of native plants and forest with lakes and wetlands. Kearl's mining operations will only use some of the total project lands at any given time and many areas will not be affected for 20 to 25 years. Imperial and ExxonMobil Canada are committed to meeting or exceeding all regulatory standards for environmental management through all of Kearl's phases.

Production
Kearl production based on full development plans is expected to average about 300,000 barrels of bitumen per day. This will likely involve start-up of an initial mine development in 2012 with a capacity of about 100,000 barrels per day, followed by two additional phases each producing about 100,000 barrels per day. At its peak, Kearl could produce up to 345,000 barrels per day.

Regulatory Approval
The Kearl project was subject to a joint review by provincial and federal government representatives and 16 days of public hearings in late 2006. The panel thoroughly reviewed various stakeholder concerns and issues such as social and economic effects, mine plan and resource conservation, tailings management, reclamation, air emissions, surface water, aquatic resources, traditional land use and human health. The Alberta government granted its approval to Kearl through an Order-in-Council in May 2007. Canada’s federal government followed with their approval through an Order-in-Council in August 2007.

Subsequent to these approvals, the joint review panel report was challenged in the Federal Court of Canada by a coalition of environmental groups. The joint review panel was eventually reconvened and provided additional rationale for one of the report’s conclusions, and the project received the necessary authorization in June 2008 to allow preliminary work to continue at the site.
Schedule
Kearl is expected to operate from about 2012 to 2060 and beyond. An initial site ditching and drainage program was completed in the first half of 2008. Work in the second half of 2008 included clearing and draining surface water from the initial mining and plant site areas. Muskeg and topsoil is being removed and stockpiled for use in future reclamation.

Kearl Goals
Imperial’s strong track-record in developing new technologies, particularly in support of oil sands development in Cold Lake, and through our long-standing ownership in Syncrude, provide a unique foundation for Kearl.

Imperial identified several early goals that have guided Kearl’s planning. A primary objective has been to incorporate stakeholder input into Kearl’s design and to address concerns raised by stakeholders upfront. We have committed to use the best technology economically available to minimize our environmental impact. We are using a conservative set of assumptions to assess the benefits and impacts of Kearl. In addition, our planning will allow flexibility to incorporate ongoing improvements, advances and new technology that may occur over the life of the project.

Project Scope
Total development of Kearl will take place in three phases, with selective clearing, mining and progressive reclamation continuing over the 50-year life of the project. Imperial has a comprehensive plan for development of the entire lease that outlines how all of the recoverable bitumen will be developed and produced, and how the landscape will be reclaimed and restored to productive use.

Some highlights of the Kearl plan include:
  • One mine plan for the estimated project life of 50 years that takes the production capability to about 300,000 barrels per day.
  • One external tailings  area that will be emptied and reclaimed as soon as practical after space is available to process and return the remaining tailings into mined-out areas of the pit.
  • An innovative tailings process and pit lake system with only a small volume of mature fine tailings in the last of the six proposed pit lakes.
  • Staged development plans for additions to Kearl Lake that will compensate for the disturbance of fish habitat.
  • One integrated, progressive reclamation plan for the whole lease area that optimizes direct placement of forest floor material.
  • One comprehensive environmental and socio-economic assessment that addresses the benefits and impacts over the entire life of Kearl.
Through this fully integrated approach, Imperial has achieved significant benefits in optimizing resource recovery, minimizing impacts, and preparing a comprehensive plan.


Copyright 2006. Imperial Oil Limited. All rights reserved.
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