LONDON (dpa-AFX) - Energy services company Wood Group Plc (WDGJF.PK, WG.L) Tuesday said it signed an agreement with Suncor Energy for work to be completed, using its standard well pad design, at Firebag in-situ site in Alberta, Canada, about 120 kilometres northeast of Ft. McMurray.
Suncor's well pad facilities costs, which earlier ranged between more than C$4 million and C$9 million per well pair, are now about C$2 million per well pair using the Wood Group design.
The design delivers cost savings by eliminating much of the owner's costs related to engineering, procurement and project management. The proven design accommodates pad sizes of up to 12 well pairs and uses a drilling pattern with the production and steam injection wells in two parallel rows, with wells drilled at 10 metre spacing.
Robin Watson, chief executive of Wood Group, stated: 'Our standard well pad design provides heavy oil producers the opportunity to lower costs and increase profit margins, and offers a new design solution for heavy oil production.'
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