Husky Energy celebrates its inaugural Oil Sands Project
  by: OilOnline
  Friday, October 06, 2006

Husky Energy Inc. has announced the official opening of Husky's Tucker Oil Sands Project in a ribbon cutting ceremony at the facility site near Cold Lake, Alberta. The event was attended by the Honourable Ralph Klein, Premier of Alberta, the Honourable Greg Melchin, Minister of Energy and other distinguished guests.

The Tucker Oil Sands Project is the first in Husky's portfolio of oil sands assets. The project, located 30 kilometres northwest of Cold Lake, Alberta, was completed on time and below its $500 million budget. Construction on the project began in the fall of 2004 and at its peak employed about 700 workers on site. The facility will employ approximately 40 full time workers.

During the 35 year life of the project, Husky expects to produce approximately 350 million barrels of bitumen. First oil is expected in November of this year with peak production of more than 30,000 barrels per day to be reached within 18 to 24 months.

The Tucker Oil Sands Project is an integrated development and is located in close proximity to Husky's existing heavy oil pipeline infrastructure. The product will be blended with a diluent to be transported to Husky's Upgrader located in Lloydminster, Saskatchewan. The diluted bitumen will be upgraded into a premium synthetic crude oil and then transported to refineries in Canada and the United States.

Husky's oil sands leases total approximately 484,000 acres in the Fort McMurray and Cold Lake regions with original bitumen in place of 39.3 billion barrels.