Connacher Oil and Gas Limited Receives ERCB Approval for Great Divide Expansion Project
CALGARY, Sept. 25, 2012 /CNW/ - Connacher Oil and Gas Limited (TSX: CLL); ("Connacher" or the "Company") announces that it has been advised that the Energy Resources Conservation Board ("ERCB") has granted approval (Approval 10587H) to application No. 1650859 for the development of its 24,000 bbl/d Great Divide Expansion Project.
The Great Divide Expansion Project is a steam assisted gravity drainage project ("SAGD") that will expand the existing Algar SAGD project site from 10,000 bbl/d bitumen capacity to 34,000 bbl/d. Total potential approved production capacity for the Great Divide area is now 44,000 bbl/d. The Algar SAGD project commenced operations in 2010.
This approval represents a significant milestone in the future development of the company's substantial reserve base and allows the company to advance its evaluation of the costs, timing and financing alternatives available to pursue this expansion project.