Cenovus expects oil sands production to reach 600-610 Mbbls/d in 2024, with key assets including Christina Lake, Foster Creek, Lloydminster Thermals, and Sunrise. Operating costs have been reduced to $10.50 – $12.50 per barrel, reflecting a 12% decrease at the midpoint. Optimization projects, such as the Foster Creek expansion and the Narrows Lake tie-back, are expected to add significant production through 2024 and 2025. The company emphasizes cost leadership and efficiency, with further reductions in operational expenses. Additionally, Cenovus is integrating cogeneration capacity at Christina Lake and Foster Creek to reduce energy costs and improve efficiency.
Christina Lake
- The Christina Lake project, located southeast of Fort McMurray, Alberta, began production in 2002 and is now the largest and most efficient SAGD project in the industry. It has a low steam to oil ratio (SOR), leading to reduced water and natural gas usage and fewer greenhouse gas emissions.
- Christina Lake is integrated with cogeneration capacity of approximately 100 MW, which enhances operational efficiency and reduces energy costs. The focus on this asset is part of their broader strategy to maintain cost leadership in oil sands, with operational costs targeted between $10.50 – $12.50 per barrel. The asset continues to play a vital role in Cenovus’s overall production forecast of 600-610 Mbbls/d for 2024.
Location: 08-17-076-06W4
Foster Creek
- The Foster Creek project, located northeast of Edmonton on the Cold Lake Air Weapons Range, began commercial operation in 2001 as the first to use SAGD technology. It is one of the largest and most efficient SAGD projects in the industry, featuring a low SOR and high-producing wells.
- The company is undertaking an optimization project at Foster Creek, which is expected to add 15,000 – 20,000 barrels per day, with the first production anticipated in Q3 or Q4 of 2024. Foster Creek also benefits from cogeneration capacity of approximately 100 MW, enhancing energy efficiency and reducing operational costs. This asset is central to Cenovus’s overall production and cost leadership strategy, with reduced operating costs in the range of $10.50 – $12.50 per barrel. The optimization project at Foster Creek is a critical part of the company’s growth plans for 2024 and beyond.
Location: 04-22-070-04W4
Sunrise
- The Sunrise project is 100% owned and operated by Cenovus. Sunrise is about 60 kilometres northeast of Fort McMurray, Alberta and its reservoir sits roughly 200 metres below the surface. The facility began operating in 2015.
- They are working on an optimization project at Sunrise aimed at enhancing production and improving operating performance. While specific production targets were not provided, this project is part of the company’s broader strategy to increase efficiency and output across their oil sands operations. The optimization efforts at Sunrise align with Cenovus’s overall focus on cost leadership and production growth.
Location: 04-15-095-07W4
