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Shell to spend 4 bln usd to boost Canada’s Athabasca bitumen output

AFX UK (Focus): Shell to spend 4 bln usd to boost Canada’s Athabasca bitumen output

Posted 22 Sept 2004

LONDON (AFX) – Royal Dutch/Shell Group said it will spend 4 bln usd to raise bitumen production at its Athabasca oil sands project in Canada to 270,000-290,000 barrels per day by 2010.

It will ramp up production to 155,000 barrels initially, then over the next three years, a series of debottlenecking projects at the Muskeg river mine and Scotford facility will bring output to 180,000-200,000 barrels.

Between 2006 and 2010, planned expansions at Muskeg and Scotford are expected to further increase bitumen throughputs by 90,000 barrels per day, taking total production at Athabasca to 270,000-290,000 barrels per day.

Neil Camarta, Shell Canada’s senior vice president, said the group is “now ready take the next steps towards our long-term growth target of over 500,000 barrels per day.”

Shell hopes to secure regulatory approvals for the projects in 2006.

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