Latest news with #WestWhiteRose
CBC
15-05-2025
- Business
- CBC
Argentia bid goodbye to the 210,000-tonne base for the West White Rose oil project. But optimism remains
The skyline is back to normal and hundreds of jobs are gone now that the support structure for the West White Rose project was towed out last week from the Port of Argentia. But leaders in the community say the next great project won't be long coming to the town. The CBC's Terry Roberts has more.
CBC
15-05-2025
- Business
- CBC
An oversized oil project has floated away from Argentia. So what's next for the port?
Onlookers witnessed a feat of engineering last week when the massive base for the West White Rose fixed wellhead oil platform was floated away from its graving dock at Argentia, marking the end of a years-long construction project that anchored activities and dominated the landscape at the sprawling Placentia Bay port. The 210,000-tonne, 145-metre high concrete gravity structure, as it's called, will soon be towed to the Grand Banks, where it will be anchored to the sea floor in roughly 120 metres of water, and mated with a 25,000-tonne topside structure that will make its way from Texas. Oil production is scheduled to begin sometime next year. The milestone was a cause for celebration on many fronts, but it also raises questions about the port's future now that the Cenovus project in Argentia is complete. But at the port's administrative office this week, you won't find any unhappy faces. "[The] future is extremely bright," CEO Scott Penney said during an interview with CBC News. On Tuesday, there continued to be a buzz of activity at the port, with shipping containers being moved about by oversized forklifts, massive wind turbine blades being loaded onto an awaiting ship, and excavators and heavy trucks operating at a nearby recycling yard. Some 40 businesses operate at the port, employing more than 240 people, and if people like Penney get their way, Argentia will boom once again in the post-West White Rose era. Iron ore processing at Argentia? Penney and his team knew the Cenovus project would eventually end, and they have been busy marketing the port around the globe in recent years, and laying the foundation for a $100-million terminal expansion at Cooper Cove that is expected to break ground next year. The opportunities, Penney said, are cause for excitement. Imagine, for example, an iron ore processing plant at Argentia, on a scale similar to the nickel processing plant in nearby Long Harbour, powered by zero-emitting hydrogen made from wind energy at the port. Penney said he's in talks with an unnamed mining company for a scenario that would see iron ore from Labrador shipped to Argentia, where it would undergo secondary processing with minimal greenhouse gas emissions to create so-called "green steel." "Yes, we have absolutely had conversations. That's what I can tell you," said Penney, adding he's muzzled from disclosing any details by a non-disclosure agreement. Still hope for hydrogen A proposed wind-hydrogen-ammonia project at Argentia by Pattern Energy is stalled because of high production costs and undeveloped export markets, but talks of a partnership with a mining company is breathing new life into the hydrogen concept, said Penney. "Hydrogen is a viable option," he said. Pattern Energy is also keen on competing for a contract to supply wind energy to the province's power grid, with Newfoundland and Labrador Hydro expected to call for expressions of interest sometime this year, said Penney. The West White Rose project also leaves behind an important legacy in the form of a specialized graving dock, and a freshly dredged channel in the harbour to allow the CGS to be towed into Placentia Bay. Penney said this new infrastructure has allowed the port to be shortlisted for a "transitional energy" project that would involve years of construction activity, and generate much-needed employment. Again, Penney can only say so much, but said "the opportunity is real," with a decision before the end of this year. "We are shortlisted down to less than three, so that is quite encouraging for a port of our size to compete globally," he said. He also sees a role for the port in Equinor's Bay du Nord oil project. But much of this activity, if it occurs, is still years away. The provincial government is forecasting an uptick in unemployment over the next two years, and the jobless rate for members of the building and construction unions represented by Trades N.L. has now reached 70 per cent, according to executive director Bob Fiander. "We're in a bit of a lull right now," Fiander told CBC News recently. Key to province's growth Meanwhile, Argentia has evolved into a diverse port, supporting industries such as marine transportation, renewable energy, aquaculture, offshore oil and mining. Penney said the port has established partnerships with companies around the globe, and Argentia is now recognized in some of the leading boardrooms because of its strategic location, large footprint of more than 9,000 acres, ice-free access, and a skilled workforce. Penney believes Argentia will play a key role in the province's future growth, and that will also mean good things for the nearby Town of Placentia. "We remain optimistic that the next great project for this area will come," said Wayne Power, Placentia's deputy mayor. Placentia received about $2.5 million in grants from the oil companies for hosting the West White Rose project at Argentia, so the town is hopeful that more major projects are on the horizon. But for now, Power said there's a noticeable downturn in activity. "We're seeing vacancy rates here with our apartments. You're not seeing as many people around the community availing of businesses and services," he said.
CBC
20-02-2025
- Business
- CBC
West White Rose project on target for first oil in 2026, Cenovus reports
Social Sharing Production in the White Rose oil field in offshore Newfoundland and Labrador will resume in the coming days, while an expensive satellite project called West White Rose is also on target for first oil in 2026. Calgary-based Cenovus Energy gave those updates Thursday while releasing the company's latest financial results. The company is the operator and majority owner of the White Rose field and satellite extensions. The overhaul for the SeaRose floating production, storage and offloading (FPSO) vessel is complete, the vessel is back on station 350 kilometres east of St. John's, and is reconnected to the White Rose field. Production is scheduled to resume "by the end of February," according to a Cenovus news release. The SeaRose FPSO began production on the Grand Banks two decades ago, and is one of four producing fields in the Jeanne d'Arc Basin. The 271-metre long SeaRose ceased operations in early 2024 and travelled to the Harland and Wolff shipyard in Belfast, Ireland for the refit. The FPSO produced more than 6.6 million barrels of crude in 2022, according to the offshore regulator, and was originally scheduled to resume production last summer. Meanwhile, Cenovus reports that all mechanical work is now complete on the concrete gravity structure (CGS) and topsides for the West White Rose project. The CGS, at 145 metres tall and weighing 200,000 tonnes, was constructed inside a unique graving dock at the Port of Argentia. The topsides were build at a yard in Ingleside, Texas. The plan is to flood the graving dock with 19 metres of seawater from Placentia Bay this spring or summer, float the CGS to its location in the White Rose oil field, and fix it to the seabed in roughly 120 metres of water. The topsides will simultaneously be floated from Texas, and mated with the structure. "The focus of the project in 2025 will be on the installation and commissioning of the platform," the company said, adding that the project is now 88 per cent complete and "on schedule for first oil in 2026." Daily production from the West White Rose is expected to reach 80,000 barrels of oil per day. The new platform will be capable of drilling up to 40 wells in the White Rose oil field, but unlike other platforms such as Hibernia and Hebron, it will not refine or store the oil. Instead, it will send the oil back to the nearby SeaRose FPSO through a series of subsea flowlines. The SeaRose life extension and the West White Rose extension is expected to extend the life of the oil field by 14 years.
