Oilpatch movement

There are stories floating around the world of business news in which the name ‘Marten Hills’ comes up. That’s because it has seen quite a bit of drilling for oil lately, with companies such as Cenovus, Spur Energy and Deltastream mentioned.

This is newsworthy, apparently, because it goes against the trend of investment away from the oilsands in recent years. That’s due to the unhappy combination of low oil prices and relatively high cost of production for such oil.

But what’s going on in the Marten Hills, according to a May 28 story in the Financial Post, is companies are going after more easily-extractable stuff, from deeper. The article says Rangeland Energy of Houston Texas is building a 50,000 barrel-a-day pipeline to connect the Marten Hills with the Rainbow pipeline owned by Plains Midstream. It calls the Marten Hills “a rare bright spot,” in the Alberta oil production picture, which has seen some big players decamp in favour of easier targets outside of Canada.

Recoverable oil in the Marten Hills could be as much as 3.5 billion barrels, the article says.

The pipeline is expected to enter service in 2020.

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