The trouble with MEGALOADS

A megaload on its way to Kerl. Picture stolen from mymcmurray.com.

Athabasca says it will continue moving "megaloads" through Idaho to get the facilities at its Hangingstone SAGD project up and running. Specifically they're trying to move in big evaporators which opposition groups, including the Nez Perce tribe, say clog up roads and ruin scenery. Oil sands operators like using big modules because they mean less fabrication on site, which has helped make the oil sands notorious for cost overruns.

Enbridge to transport crude from AOC's Hangingstone project

Hangingstone project map. Ruthlessly stolen from the
Athabasca homepage. Note the prosimity to Ft. Mac.

Enbridge, an Alberta pipeline company, has made an agreement with Athabasca Oil Corp (AOC) to transport crude from AOC's Hangingstone project. They say this will cost Enbridge $200 million, apparently for running a 50 kilometre line from Hangingstone to its Cheecham terminal and expanding the facility there as required. They say Enbridge already connects 8 oilsands projects to terminals.

Athabasca Oil Corp. Sanctions Hangingstone Project

Athabasca's properties. Note Grossmont is carbonate,
which means it may not be developed for a long time.

Athabasca Oil Corp. (AOC) announced it had internally sanctioned the first 12,000 barrel per day phase of its Hangingstone project. It had received government approval for the phase on October 3rd. First steam is expected in late 2014, and first production in early 2015.

Although the deal is not final, it will apparently proceed as a 50/50 venture with Kuwait Petroleum, as hinted at in September. AOC estimates it will cost $536 million.