AMEC awarded $20 million contract
19 Dec 2002
AMEC's Canadian pipeline business, Midwest Management, has been awarded a contract worth an estimated $20 million Cdn to construct the Firebag Pipeline Project, part of Suncor Energy's Firebag In-situ Oil Sands Project in northern Alberta.
AMEC will build the pipeline between Suncor's existing oil sands plant north-east of Fort McMurray and its new Firebag In-situ Oil Sands Facility.
Construction consists of four 47.5 kilometre pipelines - a 20-inch and 8-inch pipeline in a common trench and two 12-inch pipelines in a common trench - as well as a 2.8 kilometre 8-inch water disposal pipeline. Construction is expected to be completed in March 2003.
'The Firebag Pipeline Project is an important step in Suncor's plan to expand and increase its oil sands production,' said Douglas Pears, President of Midwest Management. 'We're very pleased to be able to strengthen our ongoing relationship with Suncor and Upside Engineering and to help them realise their development plans.'
The Firebag leases cover more than 1,000 square kilometres of land and are estimated to contain 9.6 billion barrels of recoverable bitumen. The in-situ project is a key part of Suncor's strategy to produce 500,000 to 550,000 barrels of oil per day over the next decade.