Although most heavy oil or bitumen in North America is currently produced by open pit mining, about 80% of the oil sands are buried too deep below the surface for this process to be applied. This oil must be recovered by in-situ techniques. There are a number of proven and emerging technologies which are used to heat or dilute the heavy oil in the formation, thus lowering the viscosity of the heavy oil. The mobile heavy oil migrates towards producing wells, where it is brought to the surface. Technical review of MegaWest Energy’s projects will identify the most suitable technology for each resource and may include proven technologies such as Cyclic Steam Stimulation (CSS), Steam Assisted Gravity Drainage (SAGD), Steam Drive, in-situ Combustion and CO2 injection, or such emerging technologies as ET-DSP™ (a form of electro-thermal heating) or N-Solv (a novel solvent based technology).
MegaWest Energy will be exploring synergistic technologies to improve capital efficiency, increase energy efficiency, reduce energy costs, reduce the requirement for water, and increase the profitability of in situ processes. Production from in situ processes may well replace mining as the main source of heavy oil production from tar sands, contributing significantly to energy self-sufficiency in North America.