ExxonMobil Licenses Oil Sands Steam Injection Technology to Baker Hughes
ExxonMobil Upstream Research Company (NYSE: XOM) has awarded the first license for its patented steam injection system and production method to Baker Hughes (NYSE: BHI) to improve the efficiency of in-situ oil sands projects. Approximately 80 percent of Canada's oil sands can be produced using in-situ technology, which involves the injection of steam to enable bitumen to be extracted through drilling versus surface mining.
The ExxonMobil-patented technology provides more effective regulation and distribution of steam in long horizontal wells for in-situ oil sands production. The technology reduces the number of wells needed, lowers operating costs by reducing steam consumption and improves overall recovery from the field.
The technology can be used in cyclic steam stimulation (CSS), steam-assisted gravity drainage (SAGD) and steam flood (SF) heavy oil production projects. The technology was developed by Imperial Oil Limited, an ExxonMobil Canadian affiliate, and applied at the Imperial Cold Lake oil sands project.
