business results
Research and Development Highlights
In-Pit Bitumen Production
Research and testing continued during the year on a potentially revolutionary new technology, known as In-Pit Bitumen Production, or In-bit. The technology starts the oil sands slurry preparation process at the mine face and allows more extensive use of hydrotransport, thereby reducing the need to transport oil sands ore by haul trucks. The change should also reduce emissions of greenhouse gases and oxides of nitrogen. A $50 million prototype of the system was constructed at the Base Mine late in 2006 and, by the following summer, it was supplying oil sands slurry to bitumen extraction units. The test was initially slated for decommissioning in November 2007, but successful results have led to continued use of the new technology on a supplementary basis. Research continues and future applications are being considered.
Odour Elimination Project
A project to find a long-term solution to the odours that forced the temporary 2006 shutdown of Syncrude’s Coker 8-3 and the coker’s flue gas desulphurization (FGD) system was started during the year. The odours were caused by impurities in the Syncrude-produced ammonia that was being used in the flue gas desulphurization process. Imported ammonia that does not cause odours is currently being used. Toward a permanent remedy, staffers at Syncrude’s Edmonton Research Centre have developed a mock-up of the FGD that allows them to study the chemistry of the plant’s reactor and develop processes to eliminate potential odours once we again start using ammonia produced on-site.
Coker Research Breakthrough
Syncrude Research staffers have significantly improved their understanding of how gases flow in cokers, and their discoveries should help extend equipment life and improve product quality—with a side benefit of possibly improving the design of fluid cokers around the world. The work started in 2000 at Syncrude’s Mildred Lake site and led to similar efforts at ExxonMobil’s Baytown refinery and Imperial Oil’s Sarnia refinery in 2004. Other companies also contributed design ideas and, as a result, the current plan is to install baffles into Syncrude’s cokers during scheduled turnarounds in 2008 and 2009. The cost is estimated at $1 million for each project with potential savings of up to $9 million annually thanks to longer run times and improved product quality.
Technology Development Plan
To maximize and manage the benefits of technological change in the Syncrude operation, a new Technology Development Plan was developed in 2007. It envisions step-out technologies that will shape Syncrude’s future and is focused on reducing the number of haul trucks, eliminating the need to blend ore, and finding improved ways to conserve water and energy. The plan also addresses and helps guide present-day technology needs, such as troubleshooting problems and continuous improvement projects.
Syncrude Ranked a Top Research Company
Research Infosource Inc. ranked Syncrude as Canada’s 35th largest corporate R&D spender for 2006, up from 50th the year before. Syncrude’s spending, at $68 million, was up 53 percent compared to 2005, and contrasted a general downward trend among the other 99 firms on the list. Syncrude has long been one of Canada’s largest research firms, operating a self-contained research centre in Edmonton, and spending tens of millions of dollars every year on technology aimed at improving the financial, operational and environmental aspects of bitumen recovery and processing.