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

|By:, SA News Editor

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.