Tuesday, October 27, 2026
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Oil August 22, 2026

Cenovus Took Spruce Lake DilSAP to an Open House. The Number Is 10,000 Barrels

On August 21, Cenovus walked Saskatchewan residents through a proposed diluent solvent-aided expansion at Spruce Lake. The company says it would add about 10,000 barrels a day and cut GHG per barrel by 30 percent. Construction is slated to start later this year.

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This is a thermal project, not a press-kit slogan

Cenovus Energy (TSX: CVE) held an open house Thursday, August 21, at Spruce Lake in northwest Saskatchewan. The subject was DilSAP, a diluent solvent-aided process on top of the existing thermal facilities.

The company told residents it would add a standalone Diluent Recovery and Injection Facility, tanks, and a 3.5-kilometre underground line to Spruce Lake Central for diluent. Above-ground lines would move steam, emulsion, and fuel gas. Travis Shackleton, vice-president of Canadian thermal and Canadian heavy oil geosciences, said the build window is about a year, with roughly 200 construction jobs and four new operator seats after start-up. Construction is expected later this year through the first quarter of 2027. Start-up is aimed at late 2027.

What the process actually changes

SAGD uses steam. SAP adds a light hydrocarbon solvent, condensate in this case, so less steam is needed per barrel. Cenovus says leftover steam can go to new wells. The claimed outcome is about 10,000 barrels a day of extra production and 30 percent lower greenhouse gas emissions per barrel, plus lower operating cost from less steam. Those are company figures from a community meeting, not a completed regulatory decision.

The company also said surface casing would sit at least 20 metres below the base of groundwater protection, which it puts at 125 to 290 metres in this area. Air and groundwater monitoring already run at Spruce Lake Central and North. Residents who spoke to local press said they left without immediate concerns. That is one afternoon in one room. It is not a permit.

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