Husky Energy is planning to create two new thermal plants in Saskatchewan, one of which will be in the Edam area, for a total value of $700 million.
Both projects are expected to start heavy oil production in 2021.
The new Edam Central plant will be located near the current Edam East and Edam West facilities, while the new Westhazel facility will be situated west of Mervin.
“We'll now begin the process of seeking regulatory approval,” said company spokesperson Mel Duvall. “That starts by filing the applications. We'll hold open houses in the areas where the plants are going to be built. Typically, within a year we should have all the approvals in place, and then will get down to construction.”
He said the Edam area remains a strong hub for the company for production currently.
Duvall said both Edam Central and Westhazel operations will produce 10,000 barrels per day of heavy oil.
"It's a significant investment," he said, adding that this area is "one of our core areas for investment at the moment."
Each plant will cost about $350 million to build. Each facility will also create about 30 full-time jobs and about 250 jobs during the construction phase.
Duvall added there will also likely be a number of spin-off jobs, for services as an example, related to the new projects that will be created with the new builds as well.
The spokesperson said in addition to these two new facilities planned, Husky also has four other projects that are currently under construction in the region - Rush Lake 2 and Dee Valley (both in the Maidstone area), and Spruce Lake North and Spruce Lake Central. Rush Lake 2 is scheduled to start operating in 2019, while Dee Valley, Spruce Lake North and Spruce Lake Central are slated to start in 2020.
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