Aberdeen-based Wood Group has secured a three-year contract with Suncor Energy to provide cost services at its Firebag in-situ site in Canada.

The energy services firm will utilise its standard well pad design to deliver cost savings by eliminating much of the owner's costs associated with engineering, procurement and project management. Overall, the design will save Suncor 50% of well pad costs.

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The technique accommodates pad sizes of up to 12 well pairs and uses a drilling pattern with the production and steam injection wells in two parallel rows, with wells drilled at 10 metre spacing.

Wood Group's design was developed in response to growing concerns about increasing costs for in-situ heavy oil facilities, especially steam-assisted gravity drainage (SAGD) well pads.

Robin Watson, Chief Executive of Wood Group, said: "Our standard well pad design provides heavy oil producers the opportunity to lower costs and increase profit margins, and offers a new design solution for heavy oil production."

(LM)