Emerson Awarded $27 Million (C$ 35 Million) Contract To Automate Long Lake Oil Sands Project In Canada | Automation.com

Emerson Awarded $27 Million (C$ 35 Million) Contract To Automate Long Lake Oil Sands Project In Canada

August 132004
Emerson will use PlantWeb® automation technologies to create a digital plant that delivers breakthrough project and life cycle gains

AUSTIN, TEXAS (August 13, 2004) – Emerson Process Management announced today that it has won a $27 million (C$35 million) contract to serve as general automation contractor (GAC) for a $2.6 billion (C$3.4 billion) oil sands extraction project in Canada.

The Long Lake Oil Sands Extraction Project, 200 miles north of Edmonton, Alberta, is a joint venture of two Canadian companies, OPTI Canada Inc. and Nexen Inc. It will be the oil and gas industry’s first project to combine a Steam Assisted Gravity Drainage (SAGD) oil sands extraction facility that recovers and dilutes bitumen with a field upgrader that processes the bitumen into synthetic crude. The operation will result in the production of approximately 60,000 barrels per day of synthetic crude within three years.

The joint venture’s adoption of Emerson’s PlantWeb® digital architecture to deliver process automation and asset optimization was key in reducing the total Long Lake project automation budget to $91 million (C$120 million) from an original $152 million (C$200 million) estimate, which was based on traditional control and systems technology. Emerson’s smart safety instrumented system (SIS) will enable the Long Lake Project to use digital intelligence to maximize plant and personnel safety.

Emerson and Spartan Controls Ltd., Emerson's local business partner in Alberta, will supply automation specific engineering, project management, commissioning, and ongoing maintenance and operations support.

By combining its automation and project management expertise with the front-end design and construction led by engineering and procurement contractors (EPCs), Emerson expects the digital solution will assist OPTI Canada Inc. in delivering annual operation and maintenance savings of $4.2 (C$5.5 million) for the upgrader.

Finding ways to reduce the high cost of oil sands extraction and processing in this remote area has been a key objective of project planners, according to George Cushon, project manager of automation for OPTI Canada Inc.

“Costs in the automation area will be controlled through the application of advanced technologies, and leveraging of Emerson’s advanced control service capabilities and expertise. The all-digital plant utilizing Emerson’s proven PlantWeb digital technologies with Foundation™ fieldbus and other digital communications is another important step in reducing capital and operational costs while improving plant safety, reliability and productivity,” Cushon said.

The largely modular plant will be built and shipped pre-wired to the site to reduce construction costs. Cabling efficiencies of the fieldbus technology will play a key role in bringing together more than 300 plant modules economically.

"We are extremely pleased with this opportunity to serve as general automation contractor and implement our PlantWeb with Foundation fieldbus automation technology to improve the efficiency and economics of oil sands processing," said John Berra, president of Emerson Process Management. "We're committed to helping the Long Lake Project achieve safety and operational excellence in the production of synthetic crude, while controlling costs."

Mike Begin, president of Spartan Controls added, “The Long Lake Project plan is innovative and forward-thinking. We are excited about working with the project team to help the Long lake Project realize the full range of benefits available through the digital PlantWeb technologies.”

Collaboration with OPTI and Nexen, Emerson, and EPCs will create the digital Long Lake Oil Sands plant. The PlantWeb architecture of digital intelligence will include Fisher® valves and Fisher FIELDVUE® digital valve controllers, Rosemount® measurement instruments and analyzers, and Micro Motion® Coriolis flowmeters, all communicating over the network to the DeltaV™ digital automation system, smart SIS system, and the AMS™ Suite: Intelligent Device Manager predictive maintenance software.

Process equipment status and diagnostic information will be delivered to those commissioning and operating the plant. Operations and maintenance guidance from PlantWeb will enable a predictive operating approach that enables local and remote personnel to anticipate and deal with issues before they impact operations. This approach is expected to improve plant safety, keep personnel secure, reduce cost, and increase plant up time.

About Emerson Process Management
Emerson Process Management (www.emersonprocess.com), an Emerson business, is a leader in helping businesses automate their production, processing and distribution in the chemical, oil and gas, refining, pulp & paper, power, food and beverage, pharmaceutical, and other industries. The company combines superior products and technology with industry-specific engineering, consulting, and project management, and maintenance services to help customers achieve the potential of their operations. Emerson brands include PlantWeb®, Fisher®, Rosemount®, Micro Motion®, Daniel®, DeltaV™, Ovation®, AMS™ Suite, and CSI.

Spartan Controls (www.spartancontrols.com) is Emerson’s local business partner in Alberta. For more than 40 years, Spartan has served the industry with quality products, technical expertise, after sales support, on-site consultation, service, and training.

About Emerson
St. Louis-based Emerson (www.gotoemerson.com) is a global leader in bringing technology and engineering together to provide innovative solutions to customers in process control; electronics and telecommunications; industrial automation; heating, ventilating and air conditioning; and appliances and tools. Sales in fiscal 2003 were $14 million (C$18.4 billion.)

About OPTI and Nexen
OPTI Canada Inc. is an independent, Canadian-based company, listed on the Toronto Stock Exchange. OPTI and its joint venture partner Nexen Inc. are developing the Long Lake integrated oil sands project in the Athabasca oil sands in Alberta. Long Lake will be the first oil sands project to utilize OPTI’s proprietary OrCrude™ upgrading process..

Nexen Inc. is an independent, Canadian-based global energy and chemicals company, listed on the Toronto and New York stock exchanges under the symbol NXY. Nexen is uniquely positioned for growth in the deep-water Gulf of Mexico, the Athabasca oil sands of Alberta, the Middle East and West Africa.

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