Connacher Oil and Gas Initiates SAGD Project At Great Divide Oil Sands Algar Pad

Connacher Oil and Gas Limited (TSX:CLL) reports it has initiated the injection of solvent with steam on two wells 203-2 and 203-3.

The press release is quoted as saying,

This pilot project is designed to measure the increase in bitumen production due to the downhole reduction of bitumen viscosity, through the interaction of the solvent and bitumen at the steam oil interface and the amount of solvent recovered after it is injected.  Connacher anticipates there will be a measurable improvement in individual well and overall steam:oil ratios (“SORs”) as a consequence of the solvent injection. In turn, this is anticipated to be further improved as a result of anticipated increases in individual well productivity and overall Algar production levels.  If the field trial project proves to be as successful as Connacher’s initial laboratory and simulation results, solvent injection may be expanded to all seven wells on Pad 203 by year end 2011.  Further applications to the two other Algar well pads and possibly also to Pod One would then be under consideration for 2012.

For the complete press release, click here.