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Alberta Oil Sands 

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SAGD Thermal Recovery Project

Installation of Water Treatment Plant

Installation of the Water Treatment Plant

The Company's Sawn Lake oil sands properties are located within the Peace River oil sands area of Alberta where the oil sands deposits are buried deep beneath the earth’s surface and cannot be open pit mined. These oil sands deposits can be developed by drilling beneath the surface and using various in-situ recovery methods to extract the oil sands. Because these oil sands deposits must be recovered from beneath the surface they leave a smaller environmental surface footprint than open pit mining.

The Company entered into a Demonstration Project Joint Operating Agreement (the "SAGD Project”) with one of the Company's joint venture partner's on the Company's 50% (25% after Farmout) jointly owned oil sands properties located in North Central Alberta, Canada, also known as the Sawn Lake field.


SAGD Project Extraction Method


The thermal recovery process chosen for this project will be Steam Assisted Gravity Drainage ("SAGD"). The process is to inject steam into the oil sands deposit through a horizontal well (the injection well) which is located approximately 5 to 7 meters above the horizontal producer well. Pressure then pushes the steam into the oil sands while the heat of the steam allows the bitumen to flow easier.  As the steam soaks into the oil sands deposit, the heated bitumen flows into the lower well (the producer well) and is pumped to the surface.

SAGD Extraction Method Graphic

SAGD Project Location

As shown in the map below, the Company's joint Sawn Lake SAGD oil sands project is located in the section 30 within township 91, range 12, west of the 5th meridian of the Peace River oil sands area of Alberta, Canada.

SAGD Project Location Map

Drilling of the SAGD Well Pair

Injector and Producer Wells photo

The first SAGD well pair was drilled to a vertical depth of approximately 650 meters and have horizontal legs of 780 meters each.

Click on the QuickTime links below to see videos of the construction of our SAGD Project.

Construction of SAGD Facility Steam Generation


Construction of Steam Facility


Construction of the SAGD steam facility was completed in May of 2014, and on September 16, 2014, the first SAGD well pair started producing oil in the form of bitumen. As of early November 2014, stable production of oil had been demonstrated. A production facility performance evaluation period extending to the spring of 2015, has been launched to assess the production levels and the steam oil rations.

    Rig used to drill SAGD well pair  Installation of Sales Tanks  

Rig used to drill SAGD well pair.

Installation of Sales Tanks.  
    Construction of the SAGD Steam Facility Installation of Steam Generator  
    Construction of the SAGD Steam Facility. Installation of the Steam Generator  
    PipeLine crossing signs fuel gas water source waste water buried power Inside of Motor Control Centre  
Pipeline crossing signs for the SAGD Project: fuel gas pipeline, water source pipeline, waste water disposal
pipeline and buried power cable.
Inside of Motor Control Centre.  

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Edmonton - Alberta - Canada