Oil Sands Growth Shifts to Capital-Efficient Focus

The oil sands in Alberta have seen significant growth over the years, with production increasing by 41% in less than a decade. In 2015, bitumen production averaged approximately 2.53 million barrels per day, while by 2024 it had increased to around 3.56 million barrels per day.

However, this growth has come without the construction of new giant greenfield projects. Instead, operators have focused on extracting more production from existing facilities through debottlenecking, improved maintenance practices, and better reservoir management.

Suncor is a prime example of this approach, with plans to add around 100,000 barrels per day of additional upstream production by 2028 while targeting a US$5-per-barrel reduction in its corporate WTI breakeven price.