While investment in new Alberta oilsands megaprojects has stalled, heavy oil activity in Saskatchewan is proceeding apace, albeit on a much smaller scale.
Saskatchewan’s total thermal oil production, for example, is roughly 100,000 bbls a day. In the Alberta oilsands, a single project can be that size.
But size increases capital risk. And at a time of oil price uncertainty and political/regulatory uncertainty, megaprojects are riskier because of long lead times and multibillion-dollar price tags.