Saskatoon

New Husky Energy plant starts production in Saskatchewan

The new Husky Energy heavy oil thermal project at Edam East has commenced production in Saskatchewan.

Has capacity to produce 10,000 barrels of oil per day

A Husky Energy employee at Bolney/Celtic Oil Battery in the Lloydminster area of Saskatchewan. (Husky Energy)

The new Husky Energy heavy oil thermal project at Edam East, located approximately 100 kilometres east of Lloydminster, started production Monday in Saskatchewan.

"Our growing portfolio of heavy oil thermal projects continues to lead Husky's transition into a low sustaining capital business," said Asim Ghosh, Husky Energy CEO, in a news release.

"Edam East is another example of the quick ramp ups that we've come to expect from these developments, which have operating costs amongst the lowest in the industry."

According to Husky Energy, the new plant will have the capacity to produce 10,000 barrels of oil per day with operating costs for its Lloydminster thermal product line averaging about $7 per barrel, including energy.

This is the first of three thermal projects Husky will bring online this year in the province.