Canadian Crude Oil Quality. 
May 25, 2006
Houston, TX

Bill Lywood, Crude Quality Inc., convener.

Bill provided a very informative presentation on “Western Canadian Crude Oil Production – an Overview.”  This included details on the geology of the Western Canadian Sedimentary Basin and the locations of the major bitumen and conventional crude oil areas in Alberta and neighboring Saskatchewan .  Trends in API gravity and sulfur of the resources across the basin were illustrated, and estimates on the respective production of each provided.  

A number of techniques are used in producing these resources.  Conventional crude oil is produced from wells using standard technology for the most part.  This includes “pull” techniques using reciprocating pumps (pump jacks).  “Push” techniques using various methods of flood involving water, gas/solvent, and steam are also employed.  Vertical drilling and pump jacks are being replaced to some extent by directional drilling and positive displacement pumps.  

Near-surface, non-conventional resources are produced from open pits by shovel-and-truck using the largest power shovels and dump truck in the world.  Approximately three-quarters of Alberta ’s tar sand resources are, however, too deep to be mined by open-pit techniques.  For these, a number of in-situ techniques have been developed.  These include “Cyclic Steam Stimulation (CSS)”, “Steam Assisted Gravity Drainage (SAGD)”, “Vapor Extraction (VapEx)”, and “Toe to Heel Air Injection (THAI).”  

Once produced, the bitumen must be upgraded so that it can be transported.  This may be done by blending it with a diluent such as condensate (“dilbit”), or by coking or hydrotreating to produce a synthetic crude oil (“synbit”).  This latter is a relatively light (~36° API), sweet (<0.25% S) stream with no 1000°F residuum.  There is a shortage of suitable domestic diluent, and availability of non-Canadian supplies are being investigated.