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Shell expands Canadian oil sands operation

Published: May 5, 2011 at 8:32 AM

CALGARY, Alberta, May 5 (UPI) — The expansion of a production facility processing Canadian oil sands goes a long way toward addressing global energy concerns, Shell said.

Shell announced that it started production at its Scotford expansion project that increased the capacity in the region from 100,000 barrels per day to 255,000 bpd of heavy oil from Athabasca oil sands in Canada.

“This start-up is an important milestone for our heavy oil business,” Marvin Odum, Shell Upstream Americas director, said in a statement. “And it adds new capacity from an important source of oil in a world requiring more secure energy.”

Shell’s announcement marks the first time production ensued from the expansion. The Scotford project processes heavy oil for use in refined oil products.

Oil sands in the Athabasca region of Canada are among the world’s richest deposits, though environmental groups claim exploiting the unconventional plays is harming the environment.

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