Total suspends work on Joslyn oil sands mine, cites high costs


Total (TOT) says it is suspending work indefinitely on its C$11B Joslyn oil sands mine in Alberta, saying high costs do not support investing in the project.

Andre Goffart, head of the company's Canadian unit, says TOT has been working to reduce costs but without enough progress; TOT will continue work on project engineering to lower the cost of the mine, which had been expected to begin operating in 2017.

TOT owns a 38.25% stake in the project while Suncor (SU) owns 36.75%, Occidental Petroleum (OXY) holds 15% and Japan's Inpex has a 10% interest.

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Comments (4)
  • cyberclark
    , contributor
    Comments (93) | Send Message
     
    Alberta Conservatives are discounting the price of oil 30%
    They are not collecting royalty - next lowest is Montana who only gets 17% left hung there when the Republicans left office.
    They pay 10% income tax; Alberta middle and low class get hit the hardest.

     

    Point is; if we are not going to make money as a Province it is better left in the ground until the Markets support it!

     

    My hat is off to this company!
    29 May 2014, 07:15 PM Reply Like
  • jack20
    , contributor
    Comments (492) | Send Message
     
    Another victim of the indecisiveness of Canada/U.S. re export oil pipelines. We are sitting on a pot of gold and too stupid to mine it. I applaud Total. Maybe it will wake some people up. Why should Canada have to sell their oil at a discount??
    29 May 2014, 11:59 PM Reply Like
  • User 353732
    , contributor
    Comments (5152) | Send Message
     
    If Canada had treated the US with such deliberate hostility by refusing to sanction Keystone, the US would have reacted with anger and violence claiming a threat to economic and national security....

     

    No surprise that the US is rapidly losing the trust and confidence of its friends and allies and gaining the contempt and derision of its enemies.
    30 May 2014, 07:31 AM Reply Like
  • Mutated Photon
    , contributor
    Comments (31) | Send Message
     
    Like the mail, oil will makes its way to market. By pipeline, or train or dog sled. Energy East will move ahead, various technologies moving LNG are available, Canada in the end will be a significant supplier of LNG for the EU. Ending the captivity of Canadian resources will boost earning. The sooner the better, east or west let's keep it moving
    30 May 2014, 11:22 AM Reply Like
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