pipeline news august 2011

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PIPELINE NEWS Saskatchewan’s Petroleum Monthly Canada Post Publication No. 40069240 August 2011 FREE Volume 4 Issue 3 A3 A3 Oilpatch pitches Oilpatch pitches in to save towns in to save towns C1 C1 Tank maker Tank maker setting up shops setting up shops B1 B1 Crescent Point Crescent Point develops Lower develops Lower Shaunavon Shaunavon 106 Souris Ave. N., Estevan, Sask. Ph: (306) 634-4087 • Fax: (306) 634-8817 E-mail: [email protected] AS AS & & OILFIELD OILFIELD OPERATING LTD. OPERATING LTD. Shelley Schroeder • Construction Safety OfÀcer • Health & Safety Administrator • External Safety Auditor Cell: (306) 421-3351 Andy Schroeder • Battery Operating/OilÀeld Consulting • Construction & Pipeline Supervision • Service Rig Supervision Cell: (306) 421-9288 Riley Shaver Lead Operator 421-8446 Nick Martin Operator 421-1881 Denille Shaver Relief Operator 421-2117 Dylan Beaulieu Operator 471-7020 Welder Matt Dunlop cuts piling pipe for the new Crescent Point Energy Corp. battery at Gardenhead, northwest of Shaunavon. Photo by Brian Zinchuk Gas Plants & Gas Plants & Batteries Batteries

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Pipeline News August 2011

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Page 1: Pipeline News August 2011

PIPELINE NEWSSaskatchewan’s Petroleum Monthly Canada Post Publication No. 40069240

August 2011 FREE Volume 4 Issue 3

A3A3Oilpatch pitchesOilpatch pitchesin to save townsin to save towns

C1C1Tank makerTank maker

setting up shopssetting up shops

B1B1Crescent PointCrescent Pointdevelops Lowerdevelops Lower

ShaunavonShaunavon

106 Souris Ave. N., Estevan, Sask.Ph: (306) 634-4087 • Fax: (306) 634-8817

E-mail: [email protected]

ASAS&& OILFIELD OILFIELD OPERATING LTD.OPERATING LTD.

Shelley Schroeder

• Construction Safety Of cer• Health & Safety Administrator

• External Safety Auditor

Cell: (306) 421-3351

Andy Schroeder

• Battery Operating/Oil eld Consulting • Construction & Pipeline

Supervision • Service Rig Supervision

Cell: (306) 421-9288

Riley ShaverLead Operator

421-8446

Nick MartinOperator

421-1881

Denille ShaverRelief Operator

421-2117

Dylan BeaulieuOperator

471-7020

Welder Matt Dunlop cuts piling pipe for the new Crescent Point Energy Corp. battery at Gardenhead, northwest of Shaunavon. Photo by Brian Zinchuk

Gas Plants & Gas Plants & BatteriesBatteries

Page 2: Pipeline News August 2011

A2 PIPELINE NEWS August 2011

NewsNotes

Briefs courtesy Nickle’s Daily Oil Bulletin

By Geoff LeeBonnyville, Alta. – Shock Trauma Air Rescue

Society (STARS) is negotiating to purchase up to three used BK117 helicopters from a U.S. - based air medical provider to support its growing air ambu-lance program in Western Canada.

STARS signed a memorandum of understand-ing with the Manitoba government on April 28 to facilitate a permanent air ambulance service in that province with expansion into Regina and Saskatoon starting in 2012.

If the deal to buy new BK117s goes through, the new helicopters would be used by STARS to provide air ambulance coverage to multiple provinces.

STARS recently purchased two new AW139 helicopters with a third planned for duty in Sas-katchewan in 2013 along with two BK117s.

Plans call for one of the three helicopters to be based in Saskatchewan to serve as a backup. It will rotate duty from Saskatoon to Regina according to maintenance and operational needs.

Th e BK117 is the current backbone of the fl eet with two choppers usually assigned to Calgary, two in Edmonton and one in Grande Prairie.

With one chopper down for repairs in Cal-gary and another assigned to Manitoba fl ood relief, STARS resources are being stretched thin.

“Basically what’s happened with our expansion into both Regina and Saskatoon is our need for back-up equipment and our commitment to oper-

ate 24/7 in these cities,” said Dan Knapp, STARS manager of business development at the Bonnyville & District Oil and Gas Show on June 22.

“In order to do that, there are mechanical con-siderations – we’ve got one machine that is in pieces right now all over the hangar fl oor in Calgary.

“We have another machine in Winnipeg for fl ood relief that’s left us with basically one machine in Grande Prairie, Edmonton and Calgary.

“So we are thin, in other words. If we have a mechanical failure that means we can’t provide the service. We sent some of our people looking to see if they could fi nd some additional BK117 ’copters.”

Knapp says the pending purchase of the new helicopters would likely include a stock of spare parts.

Having extra BK117s will come in handy as Manitoba has asked STARS to stay in that prov-ince year-round after their work assisting with fl ood relief eff orts.

“We did that in 2009 and it was such a tremen-dous success that the premier called and asked us to come back and do it again in 2011,” said Knapp.

“Th e arrangement was that we would spend two months there from the fi rst of April to the end of May, and what happened was the program turned out to be such a tremendous success again that he called our CEO and said ‘We really want you to stay."

► Page A6

STARS to fl y in Manitoba, shops for BK117 helicopters

(L-r) Lloydminster Mayor Jeff Mulligan; Ed Connolly, Husky VP of Heavy Oil; Scott Young, VP avia-tion for STARS and Tim McMillan, Saskatchewan MLA for Lloydminster, offi ciated at a Husky Energy cheque donation of $250,000 to help STARS set up its air ambulance service in Saskatchewan in 2012. Husky has contributed more than $1 million to STARS in recent years.

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Brett Wilson awarded Order of Canada

W. Brett Wilson, originally of North Bat-tleford and one of the founders of First Energy Capital, will be made a member of the Order of Canada, one of the nation’s highest awards.

Th e citation on June 29 stated it is for “his contributions as an entrepreneur, community leader and philanthropist.”

A membership of the Order of Canada recog-nizes a lifetime of distinguished service in or to a particular community, group or fi eld of activity.

Wilson now resides in Calgary, but still makes substantial contributions in Saskatchewan.

Canadian Energy Exploration Inc. has spud-ded a test well on lands earned in accordance with a previously announced seismic review and option agreement dated Sept. 28, 2010, in the Hardy/Minton area of southeast Saskatchewan.

Pursuant to the terms of the farm-in agree-ment, the well is considered an after-earned well and under the Saskatchewan government regula-tions it is considered a development well due to its proximity to unabandoned wells. Th is is the fi rst accessible location to the company on its Hardy lands since early March due to saturated soil con-ditions prevalent throughout southeast Saskatch-ewan.

Th e well is licensed to a total depth suffi cient to drill to 2,415 metres; however, the company may reduce the drill depth to 1,840 metres, suf-fi cient to evaluate the Mississippian formations including the Ratcliff e formation.

Canadian Energy spuds Ceylon well

Page 3: Pipeline News August 2011

”“

PIPELINE NEWS August 2011 A3

NewsNotes

Briefs courtesy Nickle’s Daily Oil Bulletin

Phone: 634-5519 or 634-734124 Hwy. 39 E. Estevan

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L & C Trucking

By Brian Zinchuk

Benson, Lampman – In late June, Benson and Lampman were both in serious danger of being fl ooded out, despite the fact there’s no obvious river fl owing through the area. Hard work and commu-nity spirit saved the two communities.

Google Maps satellite pictures show an inter-mittent watercourse that fl ows from the northwest. In late spring and early summer, that watercourse formed its own wide river which both Benson and Lampman found them-selves on. Th e water was working its way from the Griffi n area, heading east.

Benson started fl ood-ing June 22. Th e hamlet was becoming inundated from the north end of town, and soon the whole hamlet would be aff ected. An emergency levy was constructed on a roadway on the north side, and sandbaggers from all over came to build a sandbag

wall along the east side of town.

A call went out for trucks with pumps, and the

response was substantial. At its peak 52 trucks, ones

that would normally be hauling water in the oilfi eld

were present, along with several other pumps. Th ey

pumped out the several-acre pool that had formed along the east side of the community.

Th e trucks formed a continuous line along the west shoulder of Highway 47. Dozens of hoses ran to the centre line of the highway, discharging the wa-ter just across the crown of the road to fl ow into the opposite ditch. Vehicles passing by splashed though the pumped water as they went.

It was a reprieve, but more water was coming, so the dike was opened partially and pumping contin-ued for days.

North of Benson, water was fl owing over Highway 47 for a month until the Ministry of Highways shut it down and installed larger cul-verts just after Canada Day.

Even though there really isn’t a river in that area, there was now. Th e satellite pictures show that indeed this has been a water course in the past,

although there was no obvious outlet for it beyond Lampman. Th is had the Lampman offi cials very concerned, describing the community as being in something of a basin. Th e water was rising, and it wasn’t really going anywhere else. It was pooling on the north side of town, and threatened to inundate the community. ► Page A7

Thank goodness the oilpatch was there

I’ve talked to guys95 years old, and

they’ve never seen anything like this.

- Greg Wallin, RM administrator

Trini Piche, in the white, is a surveyor with Midwest Surveys as well as a Lampman town councillor. His transit, in the foreground, allowed him to instruct sandbaggers where to place their bags.

Torquay Oil Corp. reported a net loss but had positive cash fl ow in its fi rst quarter as a produc-ing company. Along with many other operators in southeast Saskatchewan, the company is experi-encing the eff ects of unprecedented fl ooding.

Roads are impassable even in July; leases are covered with water and production is shut in. As such, the company’s drilling schedule has been de-layed at all of its operating areas.

Torquay considers itself fortunate, having been able to begin drilling at Lake Alma, and is confi -dent it will be able to complete its 2011 drilling program. “However, many residents in southeast Saskatchewan have not been so fortunate - they have lost homes, crops and jobs - so our thoughts go out to these people,” the company said.

In the fi rst quarter Torquay drilled four (four net) wells resulting in two (two net) oil wells, earned an additional seven and one quarter sec-tions (7.25), and acquired about 50 boepd of pro-duction in southeast Saskatchewan establishing a new core area.

Also during the quarter the company acquired a partner’s working interest in the Lake Alma area of southeast Saskatchewan, increasing land hold-ings to 90 (86 net) sections. Torquay increased conventional Mississippian light oil drilling lo-cations to more than 40 and began an expansion project on the Viewfi eld battery in preparation for increased fl uid throughput.

Torquay set its 2011 budget at $50 million and produced an average of 370 boepd (97 per cent light oil and liquids) during the quarter. Current production is averaging 350 boepd (97 per cent light oil and liquids).

Updating its operations in southeast Sas-katchewan, Torquay said it recently fi nished drill-ing its fi rst horizontal Ratcliff e well in the Lake Alma area.

Th e well was drilled to 2,515-metres mea-sured depth and is currently being completed. Th e company then drilled a horizontal Bakken devel-opment well at Lake Alma.

Torquay drills around Lake Alma

Page 4: Pipeline News August 2011

Mission Statement:Pipeline News’ mission is to illuminate importance of Saskatchewan oil as an integral part of the province’s sense of community and to show the general public the strength and character of the industry’s people.

Pipeline News

Publisher: Brant Kersey - EstevanPh: 1.306.634.2654Fax: 1.306.634.3934

Editorial Contributions: SOUTHEASTBrian Zinchuk - Estevan 1.306.461.5599

SOUTHWESTSwift Current 1.306.461.5599

NORTHWESTGeoff Lee - Lloydminster 1.780.875.6685

Associate Advertising Consultants:SOUTHEAST• Estevan 1.306.634.2654 Jan Boyle Cindy Beaulieu Glenys Dorwart Kristen O’Handley Deanna Tarnes

SOUTHWEST• Swift Current 1.306.773.8260 Doug Evjen Stacey Powell

NORTHWEST• Lloydminster Daniela Tobler 1.780.875.6685

MANITOBA• Virden - Dianne Hanson 1.204.748.3931• Estevan - Jan Boyle 1.306.634.2654

CONTRIBUTORS• Estevan - Nadine Elson

To submit a stories or ideas:Pipelines News is always looking for stories or ideas for stories from our readers. To contribute please contact your local contributing reporter.

Subscribing to Pipeline News:Pipeline News is a free distribution newspaper, but is now available online at www.pipelinenews.ca

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Special thanks to JuneWarren-Nickle’s Energy Groupfor their contributions and assistance with Pipeline News.

Published monthly by the Prairie Newspaper Group, a division of Glacier Ventures International Corporation, Central Offi ce, Estevan, Saskatchewan. Advertising rates are available upon request and are sub-ject to change without notice. Conditions of editorial and advertising content: Pipe-line News attempts to be accurate, however, no guarantee is given or implied. Pipeline News reserves the right to re-vise or reject any or all editorial and advertising content as the newspapers’ principles see fi t. Pipeline News will not be responsible for more than one incorrect insertion of an advertisement, and is not responsible for errors in adver-tisements except for the space occupied by such errors. Pipeline News will not be responsible for manuscripts, photographs, negatives and other material that may be sub-mitted for possible publication. All of Pipeline News content is protected by Canadian Copyright laws. Reviews and similar mention of material in this newspaper is granted on the provision that Pipeline News receives credit. Otherwise, any reproduction with-out permission of the publisher is prohibited. Advertisers purchase space and circulation only. Rights to the adver-tisement produced by Pipeline News, including artwork, typography, and photos, etc., remain property of this news-paper. Advertisements or parts thereof may be not repro-duced or assigned without the consent of the publisher. Th e Glacier group of companies collects personal infor-mation from our customers in the normal course of busi-ness transactions. We use that information to provide you with our products and services you request. On occasion we may contact you for purposes of research, surveys and other such matters. To provide you with better service we may share your information with our sister companies and also outside, selected third parties who perform work for us as suppliers, agents, service providers and information gatherers.

Editorial

A4 PIPELINE NEWS August 2011 EDITORIAL

Oh what a diff erence a little warm weather makes.In some ways, the southeast spring breakup that nev-

er ended was nearing its end by mid-July. In other ways, it was still going on forever.

Asking RM of Estevan Reeve Kelly Lafrentz why the road ban signs were still up as of July 11th, he brings you over to a map of the RM. All over the map are small blue circles indicating places where water was still cross-ing a road, or had done so, and therefore was still soggy. Th ere were over 70. It looked like someone had gone crazy with a bingo dabber.

Th e road goes completely into the ditch if trucks travel on it, Lafrentz said.

Th e next day, Lafrentz and RM administrator Greg Hoff ort took Provincial Disaster Assistance Program of-fi cials for a tour of these locations. Th ere were way too many to squeeze into just one day.

As such, the road ban sides were staying up for the time being.

Similar signs could be found in the RM of Brown-ing, where the town of Lampman has been under siege for a month with a lake of fl oodwater just to the north. Since the water wasn’t going anywhere, the next step was to trench it away from the town until eventually it started fl owing on its own to Moose Creek.

Claudia Mullis of Cliff Nankivell Trucking said a lot of guys were off for over a month and a half as a result of the wet conditions, and then came back only part-time. “We’ve never had one like this. Th e whole basin is just

fl ooded,” she said.“We had guys who quit because it was too slow. When

it picks up, it will be hard to get crews back together.”Yet after a slow spring, drilling took off like a rocket

by mid-July. Riglocator.ca indicated on July 18, there were 118 drilling rigs active in Saskatchewan, the highest number in at least the past three years, including during winter drilling season. Th at number dropped off slightly in the following few days, but was still going strong.

Indeed, the Saskatchewan drilling fl eet is now run-ning around 156, about 30 more than last year. If the fl eet were the same size as 2010, we’d be running with a rig utilization rate in excess of 90 per cent! Th e additional rigs means that utilization is fl oating around 70 to 75 per cent, substantially higher than the 45 to 50 per cent both British Columbia and Alberta have been running in July.

On the Riglocator.ca map, a swath of new drilling took over in the southeast. Much of it was close to major roads or highways, but it was happening.

We predicted last month, “No one will be sitting on their hands for three months when there is $95 oil to be had.”

It turned out to be a safe bet.So while there will be aftermath for months, pos-

sibly years, due to the damage done to the roads by the wet conditions in the southeast, the oilpatch is up and running again. Th e “mini-bust” we spoke of last month should be just that – mini.

Bring on the sun, it’s drilling time

Page 5: Pipeline News August 2011

PIPELINE NEWS August 2011 A5

PIPELINE NEWS INVITES OPPOSING VIEW POINTS. EDITORIALS AND LETTERS TO THE EDITOR ARE WELCOME.

Email to: [email protected]

Opinion

Brian Zinchuk

From the top of

the pile

Geoff Lee

Lee Side of Lloyd

Saskatchewan’s oil and gas sector is on an eco-nomic roll that continues to gain momentum from strong investment, growth and employment.

Th e Fraser Institute’s Global Petroleum Survey 2011 released in late June ranks Saskatchewan as the best place for oil and gas investment in Canada, over-taking Manitoba that slipped to second place.

Saskatchewan is also ranked 11th best in the world out of 136 provinces, states and countries that the Fraser Institute assessed in its 2011 worldwide survey.

Th e survey notes industry executives stress long-term energy stability, low royalties, and clear regulato-ry frameworks lead their list of priorities when choos-ing where to invest, and Saskatchewan scores well in these areas.

A survey spokesperson said Saskatchewan “un-derstands the petroleum industry” and its importance to maintaining a prosperous economy.

Energy and Resources Minister Bill Boyd credits the rankings to the government’s “stable, predictable royalty and taxation framework” and a commitment to off ering the best possible investment climate.

Alberta, by comparison, moved up to sixth place in Canada from eighth in 2010 while British Colum-bia slipped from sixth to eighth place this year.

Th e report says investors in Alberta’s energy sec-tor have concerns about regulatory uncertainty despite special drilling incentives announced last May.

Th e report cites B.C.’s lower ranking to regula-

tory uncertainty, cost of compliance and environmen-tal regulations.

Saskatchewan’s top oil and gas investment rank-ing in the country is supported by a Conference Board of Canada report in May indicating Saskatoon and Regina will have the fi rst and third highest economic growth rates in the country in 2011.

Th e forecast calls for Saskatoon to have a 4.1 per cent increase in economic growth followed by Regina at 3.1 per cent.

Th e report attributes the forecasted growth rates in the two cities to increased economic activity in pot-ash mining and energy.

Th e report further expects Saskatoon, Edmonton and Regina to average the highest economic growth rates from 2012 to 2015.

Saskatchewan’s strong economic position is also supported by the lowest unemployment rate in the country in May at 5.0 per cent, unchanged from the

previous month.Th e unemployment rate in Alberta fell to 5.4 per

cent in May.Saskatchewan’s stable energy investment climate

was refl ected in a strong June sale of petroleum and natural gas rights that brought in $40.9 million in revenue.

Saskatchewan is the second largest producer of oil in Canada and is on a drilling tear, beginning with a rig utilization rate of 71 in the fi rst quarter of the year.

Th e Canadian Association of Oilwell Drilling Contractors predicts drilling activity in Western Can-ada will be 24 per cent higher this year than it previ-ously predicted despite unseasonably wet spring and early summer conditions.

All of this good economic news hit home for Saskatchewan residents on July 1 when lower income taxes announced in the 2011-12 budget took eff ect.

Th e 2011-12 budget announced a $1,000 increase to the basic and spousal personal income tax exemp-tions, along with a $500 per child increase to the ex-emption for dependent children.

Average weekly earnings are also up approxi-mately 5.2 per cent this year, leaving Saskatchewan residents with a tough choice of whether to invest in the oil and gas sector or put their money on the Riders getting to another Grey Cup game.

In 2011 everyone in the province can aff ord wish-ful thinking. Go Riders Go.

Province fi res on all cylinders

I was driving through Yorkton on Canada Day long weekend when not one, but two billboards caught my eye.

Th e fi rst featured a picture of a little girl. Oh, such a sweet little girl she was, head in her hand, peering up to the sky. Th e text beside her said, “If we had fair royalty rates ... imaginewhatwecoulddo.com.” In the bottom corner we fi nd out who paid for this: CUPE, the Canadian Union of Public Employees.

Th e second billboard almost made my blood boil. Here is a photo of an old granny, hands together as if in prayer, looking to the camera as if her sweet lit-tle grandchildren were coming to visit for the week (perhaps the girl from the previous ad?). Maybe her hard work at the bake sales just paid off the church mortgage, she looks so happy, hopeful and joyful. Her text read “If we raised resource royalties ... imagin-ewhatwecoulddo.com.” Again, CUPE is at the bot-tom.

It’s painfully obvious CUPE is supporting the NDP’s strengthening position on tackling resource royalties in the upcoming election. Th e question is, what is a public sector union like CUPE, who, to my knowledge, does not have members in the potash or oil and gas industry, doing saying we should raise roy-

alties? What business is it of theirs, except for being on the receiving end of taxes paid to the govern-ment by way of salaries?

More to the point, if Saskatchewan did jack up resource royalties, as Alberta did, how many CUPE members would lose their jobs in short order? Probably none. So it’s easy for them to off er this little missive into the political landscape.

Let’s perform a thought experiment and follow CUPE’s advice for a minute. Saskatchewan jacks up royalties. Investment in Saskatchewan re-sources drops like a stone, like Alberta did in 2008-2010. Th e provincial budget goes into defi cit, and cutbacks require across the board job cuts. CUPE members lose their jobs along with all the rig hands, frackers and pipeliners.

Does CUPE really want what they are asking for?

What CUPE, and by extension, the NDP for whom they are clearly speaking, seem to forget is that the current Saskatchewan Party government did not bring in the current royalty structure. Th ey left it alone. No, it was NDP Premier Lorne Calvert’s government that brought in the royalty regime that has seen a huge amount of investment in this province, and allowed us to weather one of the worst economic storms in recent memory relatively unscathed. Th e Sask. Party ministers, and premier, give credit to the previous NDP ad-

ministration for this, so why can’t CUPE and the current NDP?

Here are some of the blog posting headlines on imaginewhatwecoulddo.com: “If we raised the royalty rates, we could make poverty history.”

“Imagine if we invested in seniors and long-term care.”

“Where has Alberta’s resource revenue gone?”Let’s see here, jobs could shrivel up, long-term

care funding could be cut, and our revenues could bottom out just like Alberta’s did when they raised resource royalties.

I have a suggestion for the next series of bill-boards. Entitled, “We raised royalties, and look at what happened,” it can feature photos of men in the Nomex coveralls kicking their lunch pails down the road, out of work.

That’s what I imagine we could do, if we raised resource royalties.

Brian Zinchuk is editor of Pipeline News. He can be reached at [email protected].

Imagine what we could do – perhaps go bankrupt?

This billboard was found in Yorkton.

Page 6: Pipeline News August 2011

A6 PIPELINE NEWS August 2011

◄ Page A2Th at contract has been extended to Sept. 1 with

discussions ongoing about a permanent helicopter air ambulance service in Manitoba.

STARS currently bases one of its helicopters at Winnipeg International Airport to support fl ood re-lief.

“Initially, we will start out with one of our exist-ing BK117s because they can service that southern Manitoba area quite nicely,” said Knapp.

“It will be a trial and a pilot project and we will see how that aircraft is serving the area. It could very well be that we will move to the larger machine at a later date.”

Meanwhile donations to STARS from oil and gas companies that do business in Saskatchewan continue in the lead-up to provincial service in 2012.

Husky Energy donated $250,000 to the es-tablishment of STARS in the province on June 27, bringing their total commitment to over $1 million.

Other recent noteworthy donations include $5 million from Crescent Point and a long-term plan by PotashCorp to support the construction of a heli-copter base in Saskatoon estimated at a $27 million value.

Some of the money raised to date will go toward the purchase of the long range AW139 helicopter for Saskatoon following the recent purchase of the two AW139s headed for Alberta.

“Th e oil industry has been fabulous,” said Knapp. “Th e industry is the reason we are able to buy these beautiful new next-generation helicopters.

“Th ey cost $12.5 million before you install a medical interior which is another $3 million. Most of that money was raised from the oil and gas in-dustry.”

Th e fi rst completed AW139 will be on show at the Air Medical Transport Conference in St. Louis this fall before it’s deployed to Edmonton.

Th e new generation AW139 has a three hour fl ight range of approximately 500 miles at speeds up to 173 mph.

“Th is will give us a tremendous range,” said Knapp.

“With the new helicopter in Saskatoon, we can cover border to border both east and west. Fuel is re-ally a key consideration when you are talking about carrying critical patients.

“Ideally you don’t want to have to stop for gas. Th at golden fi rst hour is so important when you are dealing with time sensitive injuries.

“Our CEO Dr. Greg Powell phrased it so beau-tifully recently when he said ‘I don’t see borders, I see patients.’ Th is is what this is all about.”

In the meantime, STARS is working hard to convince oil and gas companies in Saskatchewan to register their worksites for faster air ambulance re-sponse.

“We are responding to more and more oilfi eld injuries all the time,” said Knapp referring to an increasing number of worksites registered with the STARS Emergency Link Centre.

“We register about 60,000 sites a year for the oil industry,” said Knapp. “On a given day, we would probably have an average of 3,500 registered. Th at number goes up to about 4,500 in peak drilling sea-son.”

With the increase in the price of oil, the industry has undertaken more development and production, which has translated into increasing the number of registered sites with STARS in 2011.

“Th is has made a huge diff erence in being able to respond quickly,” said Knapp. “If you register in advance, we know where you are, what your co-or-dinates are – details on that particular site we can respond very quickly.

“We would respond to about 100 medical emer-gencies a year just for the oil and gas industry,” he said in conclusion.

Dan Knapp, left, discusses the services of STARS air ambulance with visitors to his booth at the Bonnyville & District Oil and Gas Show.

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Page 7: Pipeline News August 2011

PIPELINE NEWS August 2011 A7

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Strength In Our Resources

◄ Page A3Lampman and area sprung into action, building a clay dike on the north

side. Hundreds of sandbaggers worked tirelessly, fi lling thousands upon thou-sands of sandbags for days. A never-ending series of trucks brought in sand. At the other end of the sand pile, a sandbag machine fed four chutes at a time. Workers would fi ll the bags, pass them off to another person to tie it, and then it would be placed on a pallet.

Lampman and Benson are both oilpatch towns. Indeed, if it were not for the oilpatch, they may not have had either the hardware or the manpower to fi ght these fl oods. Several companies in the region, idled by the wet conditions, told their employees they could go and help.

Th ere was no negative talk allowed around Scott Greening, mayor of Lamp-man, as the town was under siege.

“We’re trying to keep this so that it goes north of Lampman, to the east,” he said on June 24. Plans were fl uid, and if something should fail, backups were planned. He sounded like a general fi ghting a defensive action, with multiple fall-back positions. It was a battle they were defi nitely not going to lose. Th e consequences would have been disastrous fl ooding for the town.

“We’re fortunate that we’re in an oilfi eld and farming community, that we can get big equipment,” he said, sketching out the town’s defences on a map while sitting in the council chambers.

By mid-July, the danger had passed at Benson, but Lampman was still under threat. Th e administrator for both the RM of Browning and Town of Lampman, Greg Wallin, told Pipeline News on July 19 the water was still continuing to rise. “It’s getting deeper, a quarter of an inch to an inch, every day,” he said. “We’re working with engineers, plotting a plan of where it could go. We’ve got to get it moving.

“I’ve talked to guys 95 years old, and they’ve never seen anything like this.” Th e plan at that point was to begin trenching to the southeast for several

and installing culverts across Highway 361. Eventually, the water would reach the Moose Creek, and fl ow towards the Alameda dam. But there’s a lot of un-derground lines in the area any trenching will have to cross.

Wallin noted of the oilpatch companies that have helped, “When we need help, they’re there. When we phone them, as fast as they can get there, they do.”

One of the key delivery points for frac sand in the area is the Sand Source facility, built a few years ago in Lampman. Th ere’s a problem, though. Th e CN Railway tracks were under water just northeast of Lampman.

Sand Source manager Alison Stanley said they had 56 rail cars left there before the water came. CN sent a rail car shuttle for them to move cars. Th e last switch they had was June 7. With sand running low, the other option is to truck it in.

Marcel Boire lives in Lampman. He farmed at Browning, and was born in Benson. His great-grandfather homesteaded there in 1900.

“I’m not an old guy,” he said from the seat of his Ford pickup as he surveyed the water crossing the highway north of Lampman. “I’m only 72. Yeah, we’ve seen water, but not like this,” he said.

An excavator from Carson En-ergy Services is not what you usually see on a golf course, but here it is fording the water to dike off the water hazard on the course, lest it become an inlet for fl oodwaters into the town.

Benson and Lampman saved from fl ooding

Hundreds of people came to sandbag Lampman and Benson.

Page 8: Pipeline News August 2011

A8 PIPELINE NEWS August 2011

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By Brian ZinchukShaunavon – With

a very active drilling program in the Lower Shaunavon play, Cres-cent Point Energy Corp. is constantly building new facilities to keep up.

Pipeline News got to hop in the truck with Crescent Point’s Wayne Kashuba, senior produc-tion/development fore-man for the area, and Tina Osiowy, senior fa-cilities engineer, to take a look at some of those facilities on July 7.

Th e batteries take emulsion two ways – by truck and by pipeline. With the rate of drilling in the area, it’s expected there will be a continual

need for truck delivery while new wells wait to be tied in.

“We have truck-in terminals,” said Osio-wy. “We’ve got custody transfer from the trucks. It’s all automated, and gives them a ticket.”

Kashuba added the system determines the proper volume and oil/water cut. Switching valves in the batteries are used because the oil and water will separate, to an extent, in the truck.

Th eir pipeline strat-egy is a little diff erent than the traditional spi-der-web style. Th e wells are typically in a row along one side of a road. Just off the backside of

the leases run two pipes in a common ditch cor-ridor, parallel to the road. One pipeline, the larger one, is the group line. Th e second is the test line.

Every well has two risers, one for the group line, and one for the test. Individual wells can be switched to run on the test line, otherwise they typically fl ow to the group lines.

You won’t see much in the way of steel pipe. “We run fi breglass ex-clusively,” Kashuba said,

Osiowy said it is re-ally easy to work with, and there are no prob-lems with corrosion. Crescent Point typically runs three, four, six and eight-inch lines.

“We have been, right from the hop, preparing for gas conservation,” Kashuba said while tour-ing the Dollard battery, one of the company’s earlier batteries in the area.

Th ose pipelines all enter the battery through the header building. Th irty lines in total come into it, car-rying an emulsion of oil, water and gas.

Th e company targets 45 days from spud date to production, and fi ve days from completion to production. “Tradition-ally we hit that mark. Every 10 to 12 days, a rig completes a hole. We could have a jack set ev-ery day,” said Osiowy, adding that results in 12 to 13 holes drilling in a month with fi ve rigs working.

From the header building the emulsion goes through a free water knockout, which collects about 95 per cent of the water. Th e next stage is the treater, which scrubs the oil to spec.

Th e free water knockout and treaters are large pressure ves-sels. Growing in leaps and bounds, this facility has already expanded to a larger treater, and they are looking at another free water knock-out.

► Page A9

Batteries built with expansion in mind

Two piledrivers worked on installing the foundations for the new Crescent Point Gardenhead battery, northwest of Shaunavon, on July 7.

Page 9: Pipeline News August 2011

PIPELINE NEWS August 2011 A9

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◄ Page A8Th e entire battery is set up in two “trains,” or

process streams. It allows new vessels to be added easily and quickly.

After the treater, the now-separated water and oil go into the six 1000-bbl. storage tanks before be-ing pipelined to a midstream pipeline for sale.

“We did our own clean oil 13 kilometre, eight-inch line tying into Plains Midstream,” Osiowy said.

Near the header building is the gas compressor, which is not in use yet because they have nowhere to send the gas. Once the new gas plant is in place, that’s where the gas, currently fl ared, will head. “Th is is part of our looking ahead at the future,” Kashuba said.

As it stands right now, the amount fl ared from this one battery “could probably heat Swift Current,” Kashuba said.

Th e storage tanks have a vapour recovery system so they are not venting gas.

“One of the challenges is to plan for size,” Kashuba said. Forty to 50 wells are planned fi ve ki-lometre radius in one area alone.

LightningIf there’s one challenge in the area, it has been

lightning strikes. Th e company had three in south-west Saskatchewan last year. Th ey brought in light-ning experts from the U.S. to look at the issue. “We’ve spent a lot of energy and resources to make sure there’s no vapour,” Osiowy said, addressing one of the areas of concern.

Interestingly enough, Kashuba said, “Our water tanks catch fi re fi rst,” saying it’s from the skim oil and vapours.

“We just recently went over our single well de-sign to handle these conditions so we don’t have a spill,” Osiowy said.

A tornado just missed Shaunavon in June. It did not, however, miss a Crescent Point facility. “We had a single well battery picked up by a tornado a few weeks ago. We got our crews out of the fi eld. We designated it as an emergency,” Osiowy said,

Th e tornado picked up the tank and moved it 10 inches. And yes, there was oil in it. “Th e buildings gone a mile down the road,” Kashuba said.

► Page A10

Lightning strikes a concern

Tina Osiowy and Wayne Kashuba check out the gantry of the Dollard battery tank farm. Newer Crescent Point batteries shy away from having any sort of gantry.

Page 10: Pipeline News August 2011

A10 PIPELINE NEWS August 2011

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◄ Page A9Winter has had its

own challenges. “Last year, if we got fi ve hours of work done a day, that was lots. We had at least three hours of grading just to get in,” Osiowy said.

“We resorted to ATVs and Skidoos last year more than ever,” Kashuba added. “We just purchased six side-by-sides this spring.”

Wet conditions combined with road bans took its toll on production. During May, up to 30 to 40 per cent of production was shut in.

Th e result has been a big push to get pipe-lines into the ground, to minimize the use of roads. Still, there’s lots of drilling to prove up lands, resulting in plen-ty of single well batter-ies.

Driving to the next battery, we pass the farmyard of A&L Ste-venson, one of the long-time businesses in the Shaunavon oilpatch and one of Crescent Point’s main contractors. Th e Stevensons are also one of the largest landown-ers that Crescent Point deals with in the area.

We have to turn back, however, because the road is covered in water. Much of the area has been dealing with water issues. Chest wad-ers were needed to go in and shut down wells.

At the Leitchville battery we fi nd the fu-ture home of the in-coming gas plant. It has six truck unloading sta-tions, and is three times the size of the Dollard battery. Each of the six tanks is 3,000 bbls.

Crescent Point pur-chased the entire quar-ter, giving them plenty of room to expand.

Further to the north, about 20 km northwest of Shaunavon, we fi nd the Gardenhead bat-tery under construc-tion. Two pile drivers are hard at it, putting in the foundation for the pipe racks and build-ings. Plans are in the works to possibly ex-pand it before it’s even completed this fall.

ATVs and snow machines needed

This treater is the second one installed at the Crescent Point Dollard battery, adding additional capacity.

Page 11: Pipeline News August 2011

PIPELINE NEWS August 2011 A11

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New venting and fl aring requirements adopted

Regina – On June 22, Saskatchewan Energy and Resources an-nounced new associated gas emission reduction standards and their implementation.

Th e new venting and fl aring requirements will come into place on July 1, 2012 for new oil wells and facilities. Existing oil wells and facilities will be grandfathered in until July 1, 2015.

Saskatchewan borrowed heavily from Alberta’s requirements in implementing these new requirements, but in many cases, simplifi ed things. All the technical criteria is the same. Whereas Alberta’s regulations are several hundred pages long and are sweeping in nature, Saskatchewan’s are much more focused on local problems and are substantially less in volume.

Th ere are two directives that have been issued. Th e fi rst is Directive S-10, Saskatchewan Upstream Petroleum Industry As-sociated Gas Conservation Directive.

It’s a directive that requires oil companies to minimize as-sociated gas being fl ared and vented to the atmosphere, ac-cording to Todd Han, director of the Petroleum Development Branch for the Ministry of Energy and Resources.

“Venting is what causes us the greatest grief,” Han said, explaining it was the prime focus of S-10. “Th e No. 1 risk being that vented methane going into the atmosphere is 21 times more potent than CO

2 for greenhouse gas eff ect.

Th e directives do not impact venting in cases where it is needed to relieve pressure, as such a requirement would aff ect safety. However, it does require installation of vapour recovery units on tanks, and for them to be tied into a col-lection system. If fl ared, it has to be burnt at a high rate of effi ciency.

A company’s requirement to implement these new re-quirements hinges on being economically feasible. Th e vol-ume of gas captured has to justify the expense. Directive S-10 has a threshold of more than 900 cubic metres of gas a day before collection needs to be looked at. If it will cost more than $50,000 net present value per well or facility, then collection is not required. Th at number is the same as Alberta’s, and is based on an estimate of what the producer may have to pay if carbon credits were implemented.

Th e company is expected to make money on sales of gas collected as well.

“Some wells in southeast Saskatchewan don’t have a lot of gas with the well, but some do,” Han said.

He pointed out that the early stages of horizontal multi-stage frac wells can have associated gas produced, but then that trails off rapidly in these wells. Th ese types of problems will pose challenges in collecting the associ-ated gas. Directive S-10 provides the fl exibility to allow the operator to apply a common sense approach in deter-mining when associated gas should be conserved rather than burned or vented.

Th e second is Directive S-20, Saskatchewan Upstream Flaring and Incineration Requirements.

Directive S-20 is essentially the engineering standards for combustion performance, setting a high standard when gases are burned off in a fl are stack or incinerators. It is specifi c to fl are stacks and incinerators, and does not in-clude items like burners in treaters or tanks.

“Th e burn effi ciency is quite a bit higher, in the 90 per cent range for fl ares,” Han said.

Th at’s substantially higher than what’s seen today. While in ideal conditions those numbers might be met, on a windy day, the burn effi ciency could drop to 70 per cent, or the fl ame could go out altogether. Th e new regu-lations require wind guards, an auto-ignite system and an alarm system. Th ere are also safety standards for height and knockouts to take out liquids.

Incinerators have even higher burning effi ciencies, in the 95 to 99 per cent range.

Th ese regulations have been a long time in coming, and were adopted several years after similar legisla-tion in Alberta. Th e ministry put out a draft version in recent years, got two rounds of feedback, and implemented it into the requirements. ► Page A12

Page 12: Pipeline News August 2011

A12 PIPELINE NEWS August 2011

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◄ Page A11“We did get substantial commentary. We were able to incorporate the spirit of all

the comments, most of them word-for-word,” Han said.Even so, it will be another four years before it is fully implemented for all proj-

ects, once the three-year grandfathering clause expires. “We recognize this can’t be instantaneous,” Han said. “It will cost more to the

industry and will require time to retrofi t their existing facilities and develop gas gathering systems.” he said.

FalloutAt the Saskatchewan Oil and Gas Show in Weyburn, one company had an

incinerator on display, used to burn gas cleanly. “Th at’s the kind of technology S-20 is aiming at,” Han said. “In a fl are stack, the fl ame portion is open to the air. Th e fl ame will be aff ected

by environmental conditions. In an incinerator, it is contained in the stack, or combustion chamber,” he said, noting it is much more effi cient in burning.

He likened a fl are stack and an incinerator to a fi replace and a high-effi cien-cy furnace in your home. In situations where the gas is wet and high in sulphur, he noted, “We are pushing companies to use incineration.”

Currently, the technology is not used a lot in Saskatchewan. “It’s an expen-sive application, usually reserved for larger facilities,” he said, adding it is more frequently seen in heavy oil areas.

In the end, Han noted, “We’ve improved air quality due to cleaner burning, in consultation with key industry players.

“A lot have expanded their gas plants. We will likely see more gas plants, and the installation of more fl owlines.”

One company now compresses and liquefi es gas on site, and then delivers it by truck, Han pointed out as one of the innovations in response to this.

Power production is another off shoot. “Right now, in terms of venting and fl aring and based on 2006 base levels, if all the gas fl ared and vented were captured, we can heat 211,000 homes in Saskatchewan,” Han said.

On the revenue side, the province will eventually generate more revenues as more gas is captured and sold.

On the Web: Th e new regulations can be found at http://bit.ly/k05sTU

Incineration preferred by government Kisbey – In November 2007, ATCO Midstream

Ltd., and Bayhurst Energy Services Corporation (a subsidiary of SaskEnergy Inc.) purchased through a joint venture, an existing gas plant at Kisbey, owned and operated by Grimes Energy Ltd.

ATCO Midstream, on behalf of the joint venture, is currently the operator of the facility. By March 2010, the companies completed an expansion which tripled the capacity of the plant to fi ve million cubic feet of gas per day. An expansion of the pipeline gathering network was also part of the $44 million project.

ATCO Midstream area superintendent Terry Timoruski explained, “We feel the plant is located in a strategic location. Th e expansion of the Kisbey plant and gathering system provides a higher level of service to our customers, while giving us the opportunity to grow our business in the Kisbey area.”

Th e purchase of the Kisbey facility in 2007 was the second expansion of ATCO Midstream into Sas-katchewan. Th rough the purchase of Wolcott Gas Processing Ltd., in May 2001, ATCO Midstream acquired an interest in the Nottingham Gas Plant and Wolstitmor Gas Gathering System, and has since expanded the gathering system in southeastern Sas-katchewan and Manitoba. ► Page A13

ATCO Midstream well-positioned

Looking north, you can see, from left, the fraction-ation skids, with the fractionation towers above them, the refrigeration skid, with the large con-denser coolers, and the compressor building.

Page 13: Pipeline News August 2011

PIPELINE NEWS August 2011 A13

◄ Page A12At its new capacity, the Kisbey Gas Plant is capable of removing as much

as 115,000 tonnes of greenhouse gases from the atmosphere each year. Th at’s equivalent to the emissions produced by more than 17,000 homes.

Th e Kisbey project is well positioned at a time when the provincial gov-ernment is implementing more stringent regulations, known as Directives S10 and S20, designed to minimize venting and fl aring. “It’s a very positive impact that allows producers who would normally vent or fl are their gas to conserve and upgrade a non-renewable energy source,” Timoruski said.

By conserving gas that would otherwise be vented or fl ared, there is a reduction of greenhouse gas emissions, and a reduction of odour in the re-gion.

Pipeline News had an opportunity to tour the facility in July to see just what makes it tick.

Located just a few miles west of Kisbey, the plant’s location puts it in a hotbed of activity. Drilling rigs can be seen nearby along Highway 13.

Gas comes to the plant from as far as six miles to the north and 20 miles to the south.

Th e raw gas enters the plant at two locations, on the northeast corner and east side. Th ere are currently three gathering pipelines coming into the plant, a six inch, an eight inch and a 10 inch and there is provision for fourth pipeline. At these inlet headers, pig receivers can be found. (“Pigs” are devices that are run through a pipeline for cleaning or inspection purposes.) Regular pigging is an important part of pipeline maintenance.

From this point on, all piping is above ground, primarily on overhead pipe racks.

Raw gas is routed from the inlet header into the inlet separator. Th e inlet separator is a pressure vessel with several weirs that separate the product into three streams – gas, water and condensate. Th is vessel also collects slugs of fl uid from pigging operations.

Th e next step is the compressor building, home to a very large 16 cylinder Caterpillar engine fuelled by natural gas. Th e engine powers four cylinders, two on each side. Each is a dual-action piston cylinder, which compresses on each direction of the stroke. Th ree of these cylinders are used to compress the gas entering the plant; the last is used to compress the fi nal sales gas as it leaves the plant.

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Kisbey gas plant tripled in capacity last year

The de-ethanizer can be seen on the left.

Page 14: Pipeline News August 2011

A14 PIPELINE NEWS August 2011

◄ Page A13After the third compressor stage, the gas goes to the amine plant to scrub

out the H2S. As the gas fl ows up through bubble trays, downward-fl owing amine

collects the H2S.

An amine scrubber boils it off and any remaining H

2S is burnt

off on the south side of the facility in a high effi ciency incinerator. In the refrigeration stage, the gas is then cooled substantially to knock out

moisture, because wet gas is not saleable. A dehydration unit further boils off more moisture.

Th ere are two large refrigeration units which cool the gas. It is then sent back to the compressor building, compressed with that fourth compressor stage, and sent out to TransGas as sweet, saleable natural gas.

Th e sales line leaving the plant is markedly smaller than the four lines that feed the plant. With the natural gas liquids (NGL’s) now stripped and the re-maining gas compressed, the natural gas going to TransGas fi ts into a three inch,

high pressure pipeline.Th e plant uses some sweet gas itself to run the compressor.“It’s a very important part of the revenue stream for our customers and

ATCO Midstream,” Timoruski said of the NGL. Th e liquids that have been stripped off go to a de-ethanizer. Th is is a cold

process, and the gauge shows -28 C. Indeed, throughout the plant, you will fi nd either hot or cold pipes, some of which have ice forming on them on a regular basis.

Th e fractionation building has a de-butanizer and stabilizer. Th e stabilizer further treats the liquids captured by the inlet separators and other processes.

Extending vertically are the two fractionation towers. Th ese towers in some ways are similar to an old-fashioned moonshine still in principle, and can take off diff erent products at diff erent stages. Th ese towers separate condensate from propane and butane.

Th e condensate and butane/propane mix is stored on site and is transported to market via trucks.

“Th e continued expansion of our Kisbey and Wolstitmor Gas Gathering Systems provides a higher level of service to our customers, while at the same

time conserving and up-grading a non-renew-able energy source,” said Timoruski

“Th is speaks to our ongoing commitment to the environment and provides ATCO Mid-stream and Bayhurst Energy Services Cor-poration with the op-portunity to grow our business in southeast Saskatchewan where we continue to operate in a safe and environmental-ly responsible manner,” Timoruski said.www.courageoil eld.com

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The massive 16-cylinder Caterpillar engine, at the back of the photo, powers four compressor stages, in the foreground. Three stages com-press gas coming into the plant, while the fourth stage compresses gas into the TransGas Pipe-line System.

Page 15: Pipeline News August 2011

PIPELINE NEWS August 2011 A15

BERT BAXTER TRANSPORT LTD.

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started mid-July.• Lab 3 and Mechanical room concrete fl oor

have been poured. Th e remaining 1st fl oor concrete was expected to be poured by July31.

• Underground service rough in was completed by mid-July.

• Exterior cladding and cap fl ashing completed by end of July.

• Electrical trades can start in mechanical room and will remain on site now until all electrical work complete.

SETI update

Estevan – With a very wet spring known for having been nothing but water, mud and fl ooding, trying to build a 44,000 sq/ft two story building has been challenging to say the least. Yet the Saskatchewan Energy Training Institute is continuing to come together.

Th e building trades have been kept busy working on the second storey, roof-ing, exterior and the main fl oor underground utilities.

“Th e good news is we are still on track to meet the October 31st substantial completion date,” said Keith Madu, director of SETI. “Here is the ‘break it point’ and what makes July a critical month in the project. Th e main fl oor concrete has to completely poured by the end of July. If the rains come and the site becomes a mud hole again this means the concrete trucks will not get in. No concrete means the October 31 completion will have to be revised.

“Quorex has been working very hard and doing everything possible to keep the building on track,” Madu said of the general contractor. “Th e construction schedule is very condensed now with multiple trades working around each other. As required the crews are working longer hours and weekends to take advantage of the warmer and dry conditions. From now to October there is a continuous hard push on all sub trades to get the job done. With the building roof now sealed and most windows in the interior can handle the minor thunderstorm that passes over. Th ings are staying dry inside and things are moving along well.

“Confi dence is high that the SETI building will meet its deadline. I am looking forward the next couple of months as fi nishing touches begin in the building,” said Madu.

Make it or break it time for SETI Building

The glass is being installed on the south side of the SETI building in Es-tevan.

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Page 16: Pipeline News August 2011

A16 PIPELINE NEWS August 2011

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By Brian ZinchukSteelman – When oil drilling came to southeast Saskatchewan in the 1950s,

so did the need for facilities to deal with the associated natural gas. Th e BP Steelman gas plant was built in 1958 to process solution gas.

Pipeline News toured the facility, one of the oldest in the region, in mid-July.

Th e Steelman gas plant has 19 million cubic feet per day coming in through its inlet headers, which are on the north side of the facility. Th e plant itself is just a little down the road from the Enbridge Steelman terminal.

Over 12 million cubic feet of gas is produced daily. Th e facility produces enough natural gas to heat 52,700 homes in Saskatchewan. It also produces 1,800 bpd of natural gas liquids (NGLs) and 600 bpd of liquid ethane. Conden-sate is produced at 300 bpd and trucked out to the local market.

Th e Glen Ewen plant to the south was built as a complement to the Steel-man facility. It was built in 2002 and processes three million cubic feet of gas per day. Its end product is 2.3 million cubic feet of natural gas, and 235 bpd of an NGL mix that is trucked to Steelman.

Th e control room is home to the digital control system, which was upgraded 10 years ago. Perhaps refl ecting its age, the plant is a mixture of automated and local control.

Th e main part of the plant was built in 1979-80. A small portion of the original 1958 plant is still in operation. ► Page A17

Steelman gas plant one of the fi rst in region

Several storage bullets are needed to allow the fi nal NGL products to be batched into an Enbridge pipeline that goes to Cromer, Man.

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Page 17: Pipeline News August 2011

PIPELINE NEWS August 2011 A17

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◄ Page A16A spider-web of over 1,200 kilometres of pipeline throughout southeast

Saskatchewan and 19 compressor stations feeds the plant. Th e network covers 15,000 square kilometres.

Gas comes in at low, medium, and high pressure, refl ecting its origin. Lo-cal gas is low pressure, coming from battery treaters. Th e medium pressure gas comes from the east, while high pressure gas comes from the west fi eld, includ-ing Midale and Stoughton.

From the inlet headers, the raw gas runs through three-phase separators. Th ere are three separators, refl ecting the three levels of pressure coming into the plant. Th e separators knock out most of the liquids.

Next is the compressor building, which is warm to say the least. Th ere are two compressors in parallel, which allows the plant to continue operating even if one is down for maintenance.

Each compressor has four stages. Th e fi rst three are used to send incoming gas into the plant, the last is to send gas out of the plant, to the sales line. A six-inch natural gas sales line goes to the TransGas system.

Behind the plant is a hot oil heater which burns ethane. It is used to heat the stabilizer, which boils off propane and butane.

Th e propane and butane mix (NGLs) go off to the series of storage bullets on the south side of the compound, from where they are shipped in batches to Enbridge’s Cromer, Manitoba, mainline terminal. Enbridge installed a new, downsized pipeline last year for the plant, allowing the older, underutilized larger line to be used for shipping oil.

Th e liquids are batched out every four days. In the process building, gas is stripped of H

2S using an amine system to

sweeten the gas. Th e amine is regenerated in a continuous cycle. Th e gas is then dehydrated and refrigerated. Two refrigeration systems are

in place. Th e de-methanizer operation cools the gas to -80 degrees C. Chilling the

gas knocks the liquids out. Liquids from the de-methanizer go into a de-ethanizer tower, where ethane

is stripped off the NGL mix and shipped to the Alliance Pipeline via an inter-mediate storage bullet.

Final product goes to TransGas,Alliance andEnbridge pipelines

This is the oldest part of the Steelman gas plant, circa 1958, but it still works over 50 years later.

Page 18: Pipeline News August 2011

A18 PIPELINE NEWS August 2011

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Estevan – Smart Power Systems Corp. may have started as a sideline in 2008, but it has since grown to the point where it is now a full-time, growing con-cern.

“We bought two generators in 2008,” said Trevor Goetz. He and his wife Tammi, along with Terry and Shelly Gunderman, are the partners in the business. Th e Gunder-mans own and operate Red Hawk Well Ser-vicing in Oxbow. Tam-mi does the bookwork, while Trevor heads up the operation.

“We saw the need to do something diff er-ent. We recognized our customers need spill containment and fuel theft deterrence and for fuel savings,” Goetz said.

Some of their gen-erators have transmis-sions in them. “Th ey’ll save 20 to 30 percent on full over a standard generator,” he said.

Goetz worked at

NAL as their produc-tion foreman for Este-van west. “Doing that job gave me the ad-vantage of sitting on the customer side of the desk. I wish I had something like that walk in the door and be presented to me.”

Smart Power’s principle market is sup-plying power to pump-jacks until grid power is available. Many well-heads are powered by skid-mounted genera-tors. Th e Smart Power system is substantially diff erent.

First of all, it’s built on a heavy-duty, pintle hitch trailer, manu-factured by Norbert’s Manufacturing. Inside it is an engine package and a large 500 gallon tank. Th e doors have a 9-inch deep sill, mean-ing the inside of the trailer acts as a perma-nent, portable second-ary containment with a capacity of 750 gal-lons. Th ose doors have mechanisms to make it diffi cult to smash

off a padlock. All units are equipped with the Acutec Messenger sat-ellite communication system.

“If the amps draw down on the pump-jack, i.e. the belt slips, the bottom hole pump sticks, the rods part, or if the generator stops, it sends a text message to the operator. He can re-act quicker to issues.”

Th ere’s a ventila-tion system that draws air through the steel trailer. By being fully enclosed, it suppresses the sound.

Th e units are assem-bled at the Red Hawk shop. Generator skids come from Edmon-ton, the tanks originate from Drinkwater, Sask., and are mated with the Glenboro, Man. manu-factured trailers.

It’s kept the Red Hawk shop very busy. Th ey assembled 24 units in 2001 by the end of July 2011.

In December, 2010, it was decision time. “Terry and I sat down and talked about it. We either had to get in, or get out. We surveyed the market and put to-gether a business plan. We decided to get in.

“I put in my notice in January and left in April.

► Page A19

The Goetz family, who live a few miles north of Estevan, can be seen with one of Smart Power Systems Corp.’s new generators for oilpatch use. From left are Trevor, Owen, Colesey, Tami and Gage Goetz.

Gen-set provider fl ourishing

Page 19: Pipeline News August 2011

PIPELINE NEWS August 2011 A19

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◄ Page A18“We’re working now in Manitoba, Saskatch-

ewan and North Dakota. We have 34 generators and 4 light towers,” Goetz said.

Th e North Dakota unit is their fi rst across the border. “It’s not easy – a day and a half of brokering to get across the border,” he said.

Th ey are their because of the opportunity. “Th ere’s a lot of drilling activity and a lot of need for generator rentals,” according to Goetz.

Th eir units comply with EPA and California emissions standards. Th at made the diff erence.

“Most generators are diesel-fi red. We also have natural gas and propane units.”

Th e natural gas units run on wellhead solution gas, the raw gas from the well. “If it ’s relatively sweet and it ’ll burn, it ’ll run the motors.

The natural gas engines meet Directive S10 and S20 regulations, and can be used to reduce flaring. “I could never understand why people would flare gas and burn diesel to run the jack.

“SaskPower has a green options program,

and we’re definitely planning to pursue cogen-eration,” he said.

The units generate 50, 60, 100 or 125 kilo-watts of power.

“We’re going to see how this first wave goes over, then we’re planning our next order.”

The Weyburn Oil Show was their first, and they had good exposure. One order came through, and there were several inquiries.

They are currently renting to a drilling rig right now to power the shack.

The business closely follows drilling, and with a very wet spring and early summer, one would expect that could be a problem. Not so, according to Goetz. “It was a great year to start. During the slow time we were able to take the time to build our equipment completely and properly. No that things are picking up, we are ready to go to work.

“It ’s going to be busy, no doubt about it. Based on that optimism, we’re thinking of plac-ing our next order soon.”

Already planning nextwave of generators

Page 20: Pipeline News August 2011

A20 PIPELINE NEWS August 2011

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I was driving late in the afternoon one day last fall coming back from a delivery north of Sinclair Man. I was nearly at Redvers Sask. when I realized it. I had become a member of the Sandwich Generation. Unlike other organiza-tions that I had joined over the years, there were no forms to fi ll out, no payment to make, nor

welcoming ceremony once accepted. I was in, no questions asked.

I had just taken a call from my son, who still in Grade 12 at the time, was asking if he could hang out with friends after school. We talked about some prob-lems he was having and then hung up.

Th irty minutes earli-er, I had answered a long distance call. It was my sister. We had discussed the follow up care of my father, just released from hospital. He had been very ill, and had been hospitalized for 5 weeks. I had made two trips to BC in September during his illness. Th e last trip was for 10 days while I assisted my mom, and acted as patient advo-cate for my father.

Most people know of the Baby Boomer Generation and Gen-eration X and Y. Th ere is now Generation Z (or the Net or Inter-net Generation), the name given the group of young people born from 1991 to 2010. I was part of the Pepsi Genera-tion, preferring Pepsi to Coke.

I was also now a part of the Sandwich Gen-eration, a generation of people who are caring for their own aging par-ents while raising and supporting their own

children. Th e term was offi cially added to the Mirriam-Webster dic-tionary in 2006. In 2007, 2.7 million Canadians provided unpaid care to people 65 and over with some form of long-term health problem and the numbers are rising.

Th at day, as I refl ect-ed on the two calls I had just taken, I realized that my life going forward had changed. More-over, as I considered my new membership in the Sandwich Generation, I realized that the only two foods I had eaten that day had been sand-wiches! And I don’t like sandwiches!

I had eaten a break-fast sandwich that morn-ing that I had purchased from the Stoughton Esso. Going through Alida to a lease near lunch time, I had called Maggie’s Diner. I had ordered a roast beef sandwich for pickup on my return through Alida before continuing on to Sinclair. Both sandwich-es had been delicious.

Even so, I don’t like sandwiches!

Yet, sandwiches had become important to me since I had “shifted gears” and had become a hotshot driver. I had fought it but not for long. A hotshot driver needs one hand on the wheel, one eye on the

load and one eye on the road, and has no time to stop. A sand-wich held in one hand is the ideal food to eat while driving.

I hadn’t always dis-liked sandwiches. It had happened sometime in my youth, during the years I took sandwiches to junior high and high school. Blame tuna, Miracle Whip and Kraft Sandwich Spread. After that, I never ate them, at least not willingly.

In light of my cur-rent work, I have had to re-examine my stance. Th e solution for me is sandwiches ordered in advance for pickup at one of the restaurants in the area I am driving through. Th at ensures the sandwich is fresh and is made with my choice of bread, fi lling and condiments.

I recently called my parents. My two young adult children and grandbaby were visit-ing them. Th ey were all going to see my sister’s family and would meet halfway between their two cities for a picnic. Sandwiches were be-ing made when I called. It was apropos- sand-wiches for the genera-tions I was sandwiched between!

Nadine lives in Este-van, SK with her husband and family, and works as a hot shot driver in the oil patch regularly deliver-ing goods in and around Estevan and Shaunavon, Sask., and Sinclair and Waskada, Man. Her mis-sion, beyond delivering the goods quickly, is to have every interaction be a positive one. She can be reached at [email protected]

One Woman’s Perspective on Life, Liberty and the Pursuit of

Land Locations By Nadine Elson

Shifting Shifting GearsGears

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Page 21: Pipeline News August 2011

PIPELINE NEWS August 2011 A21

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Al Schreiner was in-ducted into the Saskatch-ewan Petroleum Industry Hall of Fame on June 1 during the Saskatchewan Oil and Gas Show in Weyburn. Here is his biog-raphy, as presented during the induction ceremony:

Al Schreiner in many ways has the clas-sic Saskatchewan life-story. He grew up in a small mixed farm in the Humboldt area where he attended a one room country school. On the recommendation of his teachers, he enrolled in engineering at the Uni-versity of Saskatchewan, graduating with a bach-elor of science in me-chanical engineering in 1963.

Straight out of school he went to work for British American Oil in the Estevan area which, then as now, was a hub of activity. It was while working in Es-tevan that he met his wife, Gisele Lemieux, a school teacher whom he married in 1966.

Th at same year Schreiner joined Do-minion Oilfi elds Supply (later known as Dofasco) in Calgary. He remained with the company until 1995, eventually rising to the position of president and overseeing a period of rapid growth and suc-cess for the company.

In 1995, Schreiner joined Stream-Flo In-dustries as president and chief operating offi cer. Stream-Flo is a manu-facturer of wellhead, pro-

duction gate valve and check valve equipment. Th e company has world-wide sales, a workforce of approximately 850 employees and sales of approximately $250 mil-lion a year.

Since 2009, Schrein-er claims that he’s been retired but has stayed very busy with director-ships in on now fewer than seven companies.

Schreiner has been active in industry related and other groups, chair-ing and serving on com-mittees such as the Cal-gary Parks Foundation, the SEEDS Foundation, the Petroleum Services Association of Canada and the Calgary Petro-leum Club. He has been

part of the Oilmen’s Ex-ecutive Association for many years - as governor, director, and as chairman of the 46th Oilmen’s in 1996 and has dedicated many hours as an alumni volunteer for the Uni-versity of Saskatchewan.

Schreiner has spent many volunteer hours with non-profi t orga-nizations such as Street Kids, Fort Calgary, Kids Cancer Camps, and the Parkinson’s Society to name but a few. Mr. Schreiner was the 2005 C.J. Mackenzie Distin-guished Graduate Lec-turer.

Al and Gisele Schreiner have two sons who also live in Calgary. Th ey enjoy spending

their alleged retirement time travelling, and re-cently returned from a winter trip that included Bali, Australia and New Zealand.

Former president of Dofasco and Stream-Flo honoured

Awards co-chair Bonnie DuPont, left, Premier Brad Wall, Al Schreiner, and Murray Popp line up for Schreiner’s induction into the Saskatchewan Petroleum Industry Hall of Fame.

Page 22: Pipeline News August 2011

A22 PIPELINE NEWS August 2011

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Calgary – Oilsands Quest Inc. may soon have enough financial wiggle room to get back on track explor-ing and developing its oil sands permits and licences in Saskatch-ewan and Alberta after finding itself between a rock and a hard place last summer.

The company has assessed the results of its formal strategic al-ternative process initi-ated last August and

determined it needs to raise money now to proceed on three op-erational fronts to sat-isfy a potential buyer or partner.

The substantial capital cost to proceed both at Axe Lake SK and at Wallace Creek in Alberta led the com-pany to seek invest-ment alternatives.

Money will be raised through a rights offering to sharehold-ers to allow the compa-

ny to advance its steam assisted gravity drain-age (SAGD) project at Axe Lake and further define the bitumen resources at Wallace Creek. On July 19 it launched a $60 million rights offering.

“We have always planned to partner with a larger entity at some point, because building a commercial oil sands project is beyond the financial or operational capability of a company

our size,” said Oilsands Quest chief executive officer Garth Wong in a news release.

“We have heard from potential partners and purchasers that they would like to see us advance and con-firm our understand-ing of our reservoirs in three principal areas prior to entering into a transaction.

“Specifically, at Axe Lake we need to operate our planned pilot project and fur-ther delineate the gla-cial till cap.

The pilot project is touted as the first step toward plans to de-velop a 30,000 barrel-per-day commercial oil sands project at the site.

“At Wallace Creek, we believe we would enhance value by fur-ther delineating the bitumen resource,” said Wong.

“While we will continue to pursue op-portunities to partner or sell assets, we have concluded that we must drive ahead to raise the funds to com-plete these activities.”

The proceeds from a successful rights of-fering will lead to the startup of the pilot project at Axe Lake to demonstrate the Axe Lake reservoir can be produced using proven (SAGD) technology.

The company will also conduct additional overburden testing at Axe Lake to further refine the aerial extent of the glacial till that overlies the reservoir and demonstrate its extent and integrity as a cap for SAGD pro-duction.

Operational funds will also be use to ad-vance the Wallace Creek project through additional delineation programs.

The decision by Oilsands Quest to in-vest more money into its exploration and development program was based on feedback from parties in the re-view process calling for a reduction of the remaining areas of un-certainty for a buyer or investment partner.

“In proceeding to the rights offering, we want to remind inves-

tors of the opportunity we have available with this company,” said Wong.

“Our three 100 per cent-owned oil sands project opportunities together have ultimate production potential of 100,000 barrels of bi-tumen per day.

“We were pioneers at Oilsands Quest in exploring the eastern edge of the oil sands basin, and today the activity in the basin is moving toward us as exploration activity in-creases on lands close or adjacent to ours by companies such as Imperial Oil Limited, Cenovus Energy Inc., SilverBirch Energy Corporation and Griz-zly Oil Sands Inc.

“With interest and development growing in our area of the basin, we remain confident that once we prove the viability of the Axe Lake reservoir through pilot and overburden testing, and further de-lineate Wallace Creek, we will achieve the val-ue recognition that our long-term investors have been seeking.”

Oilsands Quest to prove SAGD for investors

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Page 23: Pipeline News August 2011

PIPELINE NEWS August 2011 A23

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Calgary – South-ern Pacifi c Resource Corp. will continue to produce black gold from its Senlac thermal project east of Macklin, Sask., in the coming months following a re-cord quarter production and gross revenue.

Th e company’s to-tal production aver-aged 4,915 barrels of oil equivalent per day for their corporate fi s-cal year end June 30, 2011, compared to 3,663 boepd in its third quarter.

Production gen-erated petroleum and natural gas revenue be-fore royalties of $30.7 million for the quar-ter compared to $18.8 million in the previous quarter.

Revenue from Sen-lac will be used to help fund Phase 1 of South-ern Pacifi c’s Mackay thermal project 45 ki-lometers northwest of Fort McMurray.

Two steam as-sisted gravity drain-age (SAGD) well pairs brought on-stream at Senlac in April have performed as expected.

Southern Pacifi c is preparing to drill the next three SAGD well pairs this fall. Th ese wells will be set up and placed on standby, ready to be activated as required once capacity in the plant becomes available.

Th e company’s de-velopment plan is to maintain Senlac pro-duction at between 4,000 and 5,000 bpd day for the next 10 to 14 years.

Field construction

is well underway at the Mckay thermal project with $355 million of $450 million budgeted to construct the fi rst phase of the SAGD project.

Th e project is de-signed to process 12,000 bpd of bitumen. Incurred costs to June 30 totaled approxi-mately $212 million.

Th e company has completed a 29 km all-season access road and four permanent bridges at Mckay and complet-ed the central plant site and well pad civil work.

Southern Pacifi c has also constructed of a 14 km natural gas pipeline that will de-liver natural gas for fuel from the TransCanada Corporation pipeline system to the plant.

Other construction milestones completed at Mckay include:

Completed water source wells and pipe-lines

Drilled the fi rst pad of six SAGD well pairs with the second pad about 50 per cent com-pleted. Th e results from drilling the horizontal wells have been ex-tremely positive to date, both from a reservoir quality and a drilling effi ciency perspective

Procured all major equipment. Modules are now in various stages of fabrication in shops mainly in Alberta.

Site construction is currently focused on pile driving (30 per cent complete) and build-ing nine site-fabricat-ed 10,000-bbl storage tanks used to store fl u-ids such as boiler feed-

water, produced water, diluent, and the diluted bitumen (dilbit) sales product.

There are also 12 shop-fabricated tanks for which bases are be-ing constructed

Site construction is currently focused on pile driving (30 per cent complete) and building nine site-fab-ricated 10,000 bbl stor-age tanks used to store fluids such as boiler feedwater, produced water, diluent, and the dilbit sales product.

There are also 12 shop-fabricated tanks for which bases are be-ing constructed.

Southern Pacific has also elected to in-crease the dilbit prod-uct storage capacity of the project by adding an additional 40,000 bbl tank to the site.

The additional storage will provide a buffer to ensure pro-duction operations are maintained in the event of a downstream upset.

This $6.5 million capital cost addition is expected to be off-set with cost savings realized from the ini-tial stages of the proj-ect and will allow the forecast capital cost to remain within the original $450 million

budget.The company ex-

pects to be steaming the first SAGD well pairs within the sec-ond quarter of calendar 2012.

This will place first oil production ap-proximately one year from now, from which a ramp up of six to 12 months will be required to bring the plant to capacity.

Planning and ap-plication preparation for the second phase of McKay continues to advance, with an ap-plication for a 24,000 barrel-per-day expan-

sion expected to be filed later this fall.

In June, South-ern Pacific also started steaming wellbores at its Red Earth thermal project in the Peace River oil sands.

This pilot project will be tested through-out the remaining summer and fall, after which the test informa-tion will be interpreted and future plans will be prepared.

Senlac black gold for Southern Pacifi c

Page 24: Pipeline News August 2011

A24 PIPELINE NEWS August 2011

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Lampman – Ship-ping containers, often called sea cans, can be found everywhere in the oilpatch. Inexpen-sive, rugged, vermin-proof and transportable, they make great storage units. However, much of the equipment to move them around resides in ports and rail facilities. While they can and are moved by large picker trucks, it’s not always the easiest solution, and can be limited by weight.

Th at’s had Ken Se-bastian thinking for a while, ever since he saw a man from Calgary on TV’s Prairie Farm Re-port. He had semi-trail-

ers which had two inte-grated hydraulic lifting units that could reach over to the side of the trailer, pick up a fully-loaded sea can, and hoist it onto the truck. Th e trailer can then transport it and unload it, all with-out a crane. Sebastian’s been working on getting a similar unit for over a year, and acquired one in June.

Sebastian and his partner Connie Byers own and operate Ex-treeeme Limousine and Extreeeme Transport, based in Lampman. Th e limousine service is self-explanatory, while the transport operation does crew transport and deliveries. Now they are upsizing, adding sea can transport.

Called a sidelifter, the trailer is made by Steelbro. It’s a tridem-axel trailer with its own Kubota Engine power

pack to run the hydrau-lics.

Pipeline News was able to see it in action as Extreeeme was called out to reposition a 40-foot sea can on a farm north of Estevan.

First, the truck is po-sitioned with the sea can to the right of the trailer. Th e operator wears a wireless belt-mounted control pack, allowing him to move around the machine. Using this pack, he deploys the large outriggers, which put down large pads at both ends of the sea can.

Next the hoisting cranes are stretched out. Th ey are very similar in concept to a knuckle-boom picker, but with-out the ability to rotate. Heavy duty chains are attached to each of the bottom corners, using plugs that fi t into the hoisting slots of the sea can. ► Page A25

Extreeeme Tranpsort’s new sidelifter can pick up a fully-loaded sea can on its own, move it, and unload it. Ken Sebastian operates it from a belt-pack remote control.

Sideloading sea cans in the southeast

Page 25: Pipeline News August 2011

PIPELINE NEWS August 2011 A25

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◄ Page A24Th e arms then hoist

the sea can up and over, onto the studs of the trailer, where the load is secured with simple, standardized twistlock latches.

Unloading happens in reverse. Each move-ment took about 10 to 15 minutes once the truck was in position.

Since the trailer has its own power pack, no PTO power is required and any semi can pull it. Extreeeme acquired their own truck in July.

Both cranes can move forward and back on the truck. It is also capable of lifting two 20-foot containers to-gether, using linking mechanisms to join the containers together.

Th e sideloader is ca-pable of loading and un-loading rail cars, and can

double stack sea cans. Sebastian hopes to fi nd some rail use with it.

“I’m capable of lift-ing 80,000 pounds,” he said, but added that while the machine can lift a fully loaded sea can, the weight is overweight for highways regulations.

“We can lift that much, but we can’t haul that much on the road.”

Standard eight-foot tall sea cans fi t within le-gal highways height re-quirements, but taller sea cans require a permit.

Th e trailer is equipped with numerous sensors, and will beep if there is an issue. Th ose sensors will measure the weight of the lift. “Th at one was eight tonnes,” Sebastian explained of the move done on the farm.

“We’re in the pro-cess of getting a fl atbed

skid,” Sebastian said. It can be used for lifting things like cars or small pieces of equipment.

“I knew there were no machines around here like that, and sea cans are in every yard. No one could unload them besides the railroads,” Sebastian said. He used to work on the railroads with similar machines.

“Some companies rent sea cans in the oil patch for storage of materials and tools,” he added.

He’s already hauled around a 3Twenty So-lutions demonstration model of its sea can based living accommo-dations several times, in-cluding to and from the

Weyburn Oil Show and to the client who ended up purchasing it.

“We’ve been talking to other companies that make things in sea cans – offi ce, washrooms,” Byers said.

Moving cans without a picker

This sidelifter can pic up a sea can and have it secured in just a few minutes

Page 26: Pipeline News August 2011

A26 PIPELINE NEWS August 2011

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Regina - Th e Petro-leum Technology Re-search Centre (PTRC) announced July 12 that it has reached a memo-randum of understand-ing (MOU) with IN-CAS3 – a not-for-profi t independent research institute based in the Netherlands that special-izes in advancing sensor technologies, leading to improvements in moni-toring and modeling across a wide spectrum of industries.

INCAS3’s work and expertise could have signifi cant implications for the characterizing of

oil reservoirs and other geological formations of critical importance to Saskatchewan’s, and Canada’s, oil and gas in-dustry, according to the PTRC in a release.

Both the PTRC and INCAS3 – as not for profi t organizations fo-cused on research, devel-opment and deployment of new technologies – are pleased to have found common ground for advancing science and innovation. With over 13 years managing and conducting research into better enhanced oil re-covery (EOR) methods,

the PTRC has a track record of identifying and fostering the devel-opment of technologies that could help improve recovery rates.

Networking with INCAS3 off ers unique synergies for the PTRC – through the applica-tion of sensor systems to help model and measure the structures of Cana-da’s oil reservoirs – that may help identify where problems exist within those reservoirs and how best to optimize exist-ing recovery methods such as cold heavy oil production with sand

(CHOPS). CHOPS is widely used in the Lloy-dminster region.

“Recovery from ex-isting heavy oil fi elds in Saskatchewan averages only about 5-8 per cent,” noted Malcolm Wilson, PhD, the CEO of the PTRC. “If we can bet-ter characterize these reservoirs, and pinpoint where problems are oc-curring within them, then we can tailor exist-ing recovery methods to push that rate up to 15 or 20 per cent, ideally. Th at means a lot more money into the economy, and possibly more energy ef-fi cient processes for get-ting hydrocarbons out of the ground.”

One of the biggest obstacles in heavy oil production, particularly in the fi elds that exist along the Alberta-Sas-katchewan border, is the production of sand that comes up with the oil, leading to the creation of what are referred to in the industry as “wormholes.” Th ese spaces within the reservoir aff ect produc-tion rates, often interfer-ing with the fl ow of oil

out of the reservoir, and are particularly problem-atic because it is almost impossible to identify their location and shape. Technologies to help identify and overcome wormholes could signif-icantly increase the rate of return from heavy oil reservoirs – from a cur-rent average of 8 per cent to as high as 20 per cent – resulting in billions of dollars in additional rev-enues for governments.

“We believe that IN-CAS3 has the cognitive sensor systems, and is developing sensor nodes and advanced controls that could be extreme-ly useful in helping to identify wormholes. Be-ing a world leader in the development of these sorts of sensors may

make INCAS3’s exten-sive network of scientists an important resource for our own researchers.”

John Van Pol, man-aging director of IN-CAS3, noted that bring-ing together the PTRC’s EOR and INCAS3 re-searchers at a workshop to determine a roadmap for solving “wormhole” challenges will be an im-portant fi rst step.

“We plan to help organize a workshop on the measurement and structure of western Canada’s oil reservoirs. Th e goal will be to out-line a possible roadmap for solving the appear-ance and monitoring of wormholes during cold heavy oil produc-tion with sand, and then initiate the execution of that roadmap.”

Both the PTRC and INCAS3 hope the net-working opportunities developed through this MOU – and the work-shop being planned this November 3 & 4 in the Netherlands – will con-tribute towards a worm-hole research component within the PTRC’s Sus-tainable Technologies for Energy Production Systems (or STEPS) en-hanced oil recovery re-search program. STEPS is a Business Led Net-work of Centres of Ex-cellence established in 2009 with funding from the Governments of Canada and Saskatch-ewan, with additional sponsorship from the private sector, to help advance oil recovery in Canada.

Malcolm Wilson, PhD, CEO of the Petroleum Technology Research Centre in Regina, was one of the speakers at the Williston Basin Petroleum Conference in Regina in May. The PTRC has re-cently signed an MOU with a Dutch research in-stitute and will be working together on heavy oil production research.

PTRC and INCAS³ signmemorandum of understanding

Page 27: Pipeline News August 2011

PIPELINE NEWS August 2011 A27

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Estevan – With hard work comes a desire for hearty food, something a new restaurant in Este-van hopes to provide.

Baba’s Bistro opened June 15. It’s owned by Deedee Chomyk, or “Baba.”

“I am the Baba,” she said, referring to the Ukrainian word for grandmother. She carries with her the traditions of Ukrainian grandmoth-ers, particularly when it comes to cooking.

Chomyk has spent three decades in Prince Albert before coming to Estevan. She used to run a day spa for 27 years, and also did sales for the Yellow Pages. Th at’s how she met Ray Juneau, owner of Energy City Overhead Door, her “other half.”

Juneau’s company needed a larger building, so when it was built last year along the tracks in downtown Estevan, the east end of the building was constructed to ac-commodate a restaurant for Chomyk.

“She decided to quit her high-paying job to do this,” Juneau said with a smile.

Just a few weeks in, Chomyk noted there are long hours. “But I love it. Cooking is my passion. After 33 years in the day spa industry, I’m in the food industry.”

She has no formal training as a cook, “just a passion,” she said, and a Ukrainian background.

“We slow cook ev-erything. We cook every-thing from scratch. For ribs, we make our own barbecue sauce.

“We have no deep fryer. When we say we serve cream, it’s cream. All our meat is bought locally and brought in daily, with the exception of sausage, which comes from the Ukrainian Co-op (in Regina).”

She had considered setting up a restaurant in Prince Albert, but Chomyk felt there were more opportunities with the oilfi eld and seniors in Estevan.

She did bring some-

thing of P.A. with her, though, as the west wall is adorned with slices of logs.

“Designing the inte-rior was just a blast,” she said.

Th e restaurant seats 50.

“I wish my mom, Marian, could see this, that we carried on the tradition,” Chomyk said. Her daughter Dara came from Prince Albert to manage the restaurant over the summer.

Just a few weeks in, the restaurant was al-ready having lineups out the door at lunch time. “Th ere’s a lot of Ukrai-nians and Russians here. Th ey’re coming in like crazy. We’ve been so well received, and people are killing us with kindness.”

Th e oilpatch primar-ily works in the fi eld, however, which is why an integral part of her busi-ness is the bag lunches. Th ey have two full-sized sandwiches, a piece of fruit and a dessert like

puff ed wheat cake. “We make them as

they’re ordered,” she said. Orders come in the night before or in the morning. Th ey are typically picked up as the men go out in the morning.

Chomyk recognized it was critical to be open early in the morning if she were to service the oilpatch, something Ju-neau stressed. Th ey open at 6 a.m., and have ro-bust breakfasts available.

“Ray told us they’ll be gone by 7 a.m.,” she said.

Th ey also have a “Rigger’s feast” which is a hearty take-out meal. Th ose are ready for 11 a.m. each day.

Oil-sector compa-nies are already asking for large orders, she said.

While labour has been tight for most busi-

nesses in the region, they’ve actually had a waiting list of people interested. Th ey have a lot of fun in the kitchen, she noted. “We have the greatest staff , we really do.”

“We make hundreds of cabbage rolls every day,” she said. Perogies are also made daily.

“Th is is labour-in-tensive work. If you’re going to make perogies and cabbage rolls, you have to love it,” she said.

A deck is planned, and Baba’s Bistro is in the process of acquiring a liquor permit. Th e in-tention is to serve Ukrai-nian beer and European wine.

“Being a baba, my goal is for them to leave here full and pleased,” Chomyk said of her cus-tomers.

Baba’s Bistro brings hearty Ukrainian food to Estevan, and has bag lunches for the oilpatch. Deedee Chomyk is “Baba.”

Bag lunches for the oilpatch

Page 28: Pipeline News August 2011

A28 PIPELINE NEWS August 2011

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Regina - SaskPow-er has chosen Stantec to provide engineering consulting services dur-ing the design and con-struction of the Bound-ary Dam Integrated Carbon Capture and Storage Demonstration Project.

Stantec will serve as SaskPower’s prima-ry consulting engineer

on the $1.24 billion project, which will be among the fi rst com-mercial-scale carbon capture and storage facilities in the world when it begins opera-tions in 2014.

Working closely with SaskPower engi-neers, the company will complete a signifi cant amount of design work as well as ensuring work done by others is completed in accor-dance with engineer-ing, construction and procurement contracts. Stantec’s contract with SaskPower is worth ap-proximately $30 mil-lion.

“We are proud to have one of the world’s leading engineering fi rms involved in a project that will help build a greener fu-ture for Saskatchewan, Canada and the world,” said Rob Norris, minis-ter responsible for Sas-kPower.

“Th is is an impor-tant example of the public and private sec-tors working together to move Saskatchewan’s innovation agenda for-ward.”

“Stantec has the skill, experience and expertise to help ensure the Boundary Dam

Integrated Carbon Capture and Storage Demonstration Project is completed on time, on budget and within specifi cations,” said Robert Watson, Sas-kPower president and chief executive offi cer.

“We believe that sustainability is a key part of everyone’s fu-ture,” said Bob Gomes, Stantec president and chief executive offi cer. “We have a long stand-ing relationship with SaskPower and we look forward to working closely with the Sas-kPower team on this exciting project which will produce the world’s fi rst commercial clean coal plant. We are also very pleased to an-nounce today that we are establishing Regina as our global centre of excellence for clean coal.”

Stantec, which provides consulting services in engineer-ing, planning, environ-mental sciences and a number of other areas, has worked with Sas-kPower on clean coal technology since 2006. Th e company has es-tablished a Clean Coal Centre of Excellence in Regina, where it em-ploys 70 people.

Stantec is one of several major fi rms in-volved in the Bound-ary Dam project, which will see Unit

3 at Boundary Dam Power Station rebuilt and equipped with a fully-integrated carbon capture system that will reduce greenhouse gas emissions by one mil-lion tonnes per year – the equivalent of taking more than 250,000 ve-hicles off Saskatchewan roads each year.

SaskPower ap-proved the Boundary Dam project earlier this year and construc-tion began in April. Th e new generating unit at Boundary Dam will have the capacity to produce 110 megawatts (MW) of electricity. Carbon dioxide (CO

2)

captured at Boundary Dam will be sold for enhanced oil recovery operations. Sulfur di-oxide (SO

2) will also

be captured and sold to manufacturers of sulfu-ric acid.

Boundary Dam Power Station is Sask-Power’s largest gener-ating facility, with six units and a combined generating capacity of 824 MW. Th e com-pany’s three coal-fi red power plants account for approximately 50 per cent of its generat-ing capacity of 3,513 MW. SaskPower has a total available generat-ing capacity of 3,982 MW when the produc-tion of independent power producers is tak-en into account.

Engineering fi rm to play key role in development of Boundary Dam project

SaskPower awards $30 million contract to Stantec

Engineering fi rm Stantec will be pro-viding the consult-ing services for the Boundary Dam proj-ect.

File photo

Page 29: Pipeline News August 2011

PIPELINE NEWS August 2011 A29

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Estevan – Just four years ago, Metra Equip-ment Inc. had two people, its partners Lyle Grube and Burt Blondeau. Now it’s in a new shop and has 20 employees.

Metra specializes in wellheads, the key part of an oil well that con-nects the pipes running into the ground to both the pumpjack and all the surface connections.

“We started out in the spring of 2007 in a 4,000 square-foot shop on 6th Street,” Grube said. “We ran out of room and then leased a 6,000 square-foot shop on Imperial, and had both for a year while this was being built.”

Th e new facility, at 11,200 square-feet, is located in the RM of Estevan east of the city, just off Shand Road on Supreme Street. It has two wellhead test sta-tions and a valve test station as well as a fi ve-ton overhead crane that services most of the shop area.

Metra moved in at the end of 2010.

“We do wellhead and valve sales and ser-vice,” Grube said. “Rent-als are also a big part of our business. We do a lot of frac trees, valves and adapter (changeover) spools.”

A frac tree is the system of valves that at-taches to the top of the wellhead which allows the various units in a frac crew to tie into the well. It will also include parts that allow for ball launching or for coils tubing to pass through, depending on the style of frac being undertaken.

Th e main business, however, is wellheads. Not only do they sell them, but Metra also in-stalls and services them. Roughly half of their staff are fi eld technicians who operate two- and three-tonne trucks with knuckle-boom pick-ers. Each is equipped with hydraulic impact wrenches and grinders. Th e company has some specialty tools as well i.e. a wellhead lubricator and a hydraulic torque tool.

Metra supplies ev-erything from the sur-face casing bowl (which is attached to the pipe, or casing, that goes un-derground) up to the stuffi ng box, where the

Wellhead supplier grows substantially

Nick Neurater, left, and Kelan Grube load a con-ventional pump wellhead onto a brand new three-ton Peterbilt at Metra Equipment Ltd.

polished rod allows the pumpjack to move the rods up and down. On wells that do not require pumping, but rather fl ow control, a “Christmas tree” of valves is used.

Th e confi gurations vary from customer to customer, said Blondeau. “Once we’ve installed the tubing head, our physical work is done. Th e service rig’s BOPS (blowout preventer sys-tem) ties onto the top of

the tubing head.”On horizontal wells,

a bridge plug is used to ensure the well doesn’t blowout when the well-head is being installed, after it is drilled, but before the well is com-pleted by a service rig. On vertical wells, the bottom of the well is ce-mented off , allowing the wellhead to be installed before the perforating is done.

► Page A30

Page 30: Pipeline News August 2011

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◄ Page A29“I’ve been doing this

for 22 years. Burt’s been doing this for 18,” Grube said.

Seeking more inde-pendence, they decided to strike out on their own after a discussion over a slice of pizza and a hock-ey game. Th e pair wanted the ability to make their own decisions.

Now the company includes Blondeau’s wife, Melissa, who works as offi ce manager, as well as two of Grube’s children.

Like most service companies in south-east Saskatchewan, the breakup that never seems to end has taken its toll, although things defi -nitely started to pick up in July.

Grube noted, “We had 12 weeks of basically

nothing.”“We have the mind-

set knowing that, al-though it may not dry up, when it freezes, the work is there and every-body is in the same boat,” Blondeau said. “We’ve had enough work in the yard, and in the shop, to keep our guys busy.”

Th e swollen Souris River has made servic-ing the Waskada area, a key market for them, dif-fi cult. With all the road closures and the occa-sional washed out bridge, what should be a two hour jaunt to Waskada now took half the day, one way, in early July.

Asked if they’ve had layoff s, he responded, “No, we beefed up. We’ve been lucky to have people become available.”

Blondeau said

they’ve also been fortu-nate to not yet have to deal with the shortage of housing in the area, as their staff is made up of people who are already set up in that regard. Th ey had, however, con-sidered getting a wellsite shack, if needed.

As for what has driv-en their growth, Grube said, “Th e Bakken play is a big part of it. It’s been good to us, a lot of well-heads, a lot of frac tree rentals.”

Blondeau added, “Customer service has been key. When the cus-tomer calls, you bend over backwards. If a cus-tomer comes up with an emergency, we’ll drop what we’re doing and help them out.”

“We have the most experienced service techs in this area right now for wellheads,” he said, add-ing that several have over ten years experience.

Metra’s senior tech, Kenneth Schreyer, has nearly 40 years experi-ence in the industry, hav-ing started in 1972. He’s worked on service rigs and has over 16 years on wellheads.

Blondeau spoke of the staff ’s dedication, noting, “It’s a lot of their blood, sweat and tears that helped build this company.”

Lyle Grube, left, and Burt Blondeau, are the partners behind Metra Equipment Inc.

Experienced wellhead techs

Page 31: Pipeline News August 2011

PIPELINE NEWS August 2011 A31

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A32 PIPELINE NEWS August 2011

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By Brian ZinchukShaunavon – If there’s any indication about the

pace Crescent Point Energy Corp. is developing its Lower Shaunavon fi eld, it’s this: a new battery, whose pilings were being pounded in early July, may need to be expanded before it even goes into operation.

Pipeline News toured numerous Crescent Point facilities in the Shaunavon area on July 7, guided by Tina Osiowy, senior facilities engineer, and Wayne Kashuba, senior production/development foreman for the area.

Osiowy designed Crescent Point’s southeast Saskatchewan facilities before shifting to southwest Saskatchewan and southern Alberta. “Most of the Bakken development in the southeast, I did. I just recently moved to the southwest,” explained the Cal-gary-based engineer.

Kashuba has been in the industry for 33 years in drilling and plants.

Th e tour was motivated by a point made in a

speech by Scott Saxberg, Crescent Point CEO, at the Saskatchewan Oil and Gas Show in Weyburn in early June. He had noted the company had acquired approximately 90 per cent of the Lower Shaunavon play.

Th e company accomplished that in large part through the acquisition of Wave Energy Ltd. and substantial holdings of Penn West Exploration in the area.

Th at makes it by far the dominant player in the fi eld, although Cenovus Energy Inc. and Wild Stream Exploration Inc. both have very active drill-ing programs as well. According to RigLocator.ca, in the area around Shaunavon as of July 15 there were fi ve rigs drilling for Crescent Point, four for Ceno-vus, three for Wild Stream, one for Husky Energy Inc. and one for Talisman Energy Inc.

Several of these rigs are from contractors that usually stick close to home in the southeast, such as CanElson Drilling Inc. and Partner Drilling Ltd.

Th ere’s a reason why you’re now seeing them in Shaunavon. Until mid-July, it was far too wet to work in much of southeast Saskatchewan, where Crescent Point’s biggest play is. While still wet in some areas, the southwest was substantially drier.

Th e company has thus been deploying sub-stantially to the southwest. “We should be kicking off about four bigger crews and four or fi ve smaller crews,” Kashuba said of their pipelining eff orts. “All summer to the rest of the year, it’s heads down.”

No rest this yearCrescent Point is building two new facilities – a

gas plant adjacent to an existing battery at Leitch-ville, and a new battery at Gardenhead. (See related story page A8)

Indeed, they had joked this year would be a year of rest, one to catch up on infrastructure. Th at has not turned out to be the case. Already there are plans in place to double the capacity of the gas plant, and it hasn’t even started construction yet.

Double them up, ’cause we’re gonna need them

Crescent Point is drilling so many wells around Shaunavon, they are setting as many as a pumpjack a day.

Page 34: Pipeline News August 2011

B2 PIPELINE NEWS August 2011

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◄ Page B1“Our biggest issue is getting enough crews,”

Kashuba said. “Th is year, we’re building our gas plant. We’ll start August 15 and should be commissioning in October.

At the Gardenhead battery, pile driving was tak-ing place in early July. Th ey will be decommissioning a battery the company recently acquired and deploy-ing its equipment to the new site. (It was adjacent to another large battery, leading to an overconcentra-tion in one area.)

Th e new gas plant will be a “full-blown,” gas plant, according to Kashuba, the fi rst one in the area. It comes at a time when the province is moving to substantially curtail venting and fl aring.

“We’re building the fi rst producer-built gas pipe-line for TransGas in several years – 22 kilometres of four-inch people, tying in northeast of Shaunavon,” Osiowy said.

Crescent Point’s core area position in the play runs about 100 kilometres north and south, and 65 kilometres miles east and west. Shaunavon is just a few kilometres to the east of the centre of the play. “We have lands here from Swift Current Creek to the U.S. border,” Kashuba said.

Near the Dollard battery just a few minutes southwest of Shaunavon, Kashuba swept his hand to the horizon. “Basically, all this area is ours,” he said.

One of the benefi ts of working in the southwest is the high concentration of Crown land, about 90 per cent, according to Kashuba.

Th at makes things “way easier,” Osiowy said. When it comes time to unitize the fi eld and look at waterfl oods, as Crescent Point is actively pursuing in the southeast, things will be much less complicated.

“We’ve already started pilots in the southwest. Wave had already done waterfl ood pilots and shown response,” Osiowy said.

Kashuba added, “Wave’s information showed it would be positive. We put theory to practice.”

► Page B3

Peter Desjarlais, labourer with Benoit Oilfi eld Construction, checks the ditch with a shovel, looking for rocks. While fi breglass pipeline is corrosion resistant, it is not so resistant to rocks. The pipeline is for Crescent Point, northwest of Shaunavon.

Availability of services is alimiting factor

Page 35: Pipeline News August 2011

PIPELINE NEWS August 2011 B3

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◄ Page B2Typical well

It takes about 10 to 12 days to drill a typically Lower Shaunavon well, which runs about 1,400 metres deep vertically and has a 1,400 m lateral section.

Some areas are developed with double and tri-ple pads. “We will get more into that (pad drilling) where it makes sense,” said Kashuba.

Osiowy said, “We do use local contractors and vendors as much as we can, but the southwest is not as set-up yet. Here, getting contractors has been diffi cult.”

SaskPower, for instance, is trying to keep up with the growth. Yet you will see wells running on generators that are literally a stone’s throw from an overhead power line.

While Swift Current is the nearest centre, he added it would be nice to have closer services, espe-cially accommodations. “We run out of space here quickly.”

He personally looked for a “good year and a half,” before fi nding a house he liked. Another per-son has been looking for six months, he said.

Swift Current offi ceCrescent Point opened its regional offi ce in

Swift Current on Jan. 1, 2011, with an initial 5,000 sq.-ft. It was full by May. “We’re doubling up that offi ce by November.”

Th e company has looked at a camp, but doesn’t want to run it itself.

Crescent Point has over 60 people directly em-ployed in southwest Saskatchewan, and hundreds more through various contractors, drilling rigs, ser-vices rigs and suppliers.

Grimes Sales and Service of Lampman is the major supplier for pumpjacks, with their distinc-tive angled walking arm HG units permeating the countryside. “Th e price is very competitive, and the

quality has come a long way. Th ey use 15 to 20 per cent less horsepower. Th ey’re good quality jacks,” Kashuba said, adding, “Th e service is phenomenal.”

When it comes to frac crews, “We get them from anywhere,” Kashuba said. “If there’s a holdup, that’s our holdup. Th ere’s a shortage of qualifi ed people. You book them; you hope the weather holds out.”

Osiowy agreed. While the fracking concept it the same as

what’s used in the southeast, it’s not cookie-cutter. Crescent Point has found they’ve had to adjust and modify how it is done in the southwest.

While visiting observing a crew setting a jack, Kashuba said, “We push the safety thing hard here. You have to have that culture. Accidents aren’t timed.”

“Crescent Point has a focus, a long term plan,” Kashuba said. He noted there are 10 to 15 years of drilling ahead of them.

Crescent Point Energy Corp. had fi ve drilling rigs working near Shaunavon as of July 15. This one was working near their Dollard battery on July 7.

Swift Current offi ce doubling in size

Page 36: Pipeline News August 2011

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By Brian ZinchukWeyburn - Crescent

Point Energy Corp. has grown to become the second largest producer in the province, with nearly all of its 75,000 boepd production in Saskatchewan. Crescent Point CEO Scott Sax-berg spoke to reporters after his keynote speech to the Saskatchewan Oil and Gas show in Wey-burn on June 2, provid-ing further detail on the company’s plans.

“Th is is a great show,” Saxberg said. “It brings everyone together in industry and high-lights what people are doing out there. I think it’s great networking and it brings the community together as well. We look forward to it every year.

Regarding Alberta’s resurgence, Saxberg said, “Saskatchewan has had a bit of a luxury over the last three or four years.

Lower gas prices meant more capital pushed to oil projects. Saskatche-wan is an oil province, so ... companies that have operations both in Sas-katchewan and Alberta moved more of their capital into Saskatch-ewan because of that.

“Now with the re-surgence of oil explora-tion in Alberta and the change in royalties, some capital will be drawn out of the province and into other provinces and areas. Th ere will be a little eff ect of that, across the board, from a lot of companies. Th at doesn’t mean it isn’t hugely at-tractive to be here, it’s just the nature of the way business has evolved.

“I think the pace of growth is still going to be pretty strong here, it’s just there’s going to be more capital drawn away to Alberta and other provinces.”

As for Crescent Point, he said, “I wouldn’t say re-allocating. I would just say our pot is getting bigger. We’ll be spend-ing more dollars here than we ever have.

“We’ll also be spend-ing capital in other juris-dictions,” he said, noting the Alberta Bakken is similar to Saskatchewan, and it will attract capi-tal.

Regarding Sas-katchewan’s attractive-ness, Saxberg said, “It’s a combination of the resource that’s here. It’s very economic. It’s light oil. It’s a needed com-modity, and the business environment here is the best in the country and maybe North America. It’s going to attract in-vestment capital, and it’s going to attract signifi -cant, large projects.”

Asked about Cres-cent Point’s waterfl ood intentions, he said it will cover, “basically all the Bakken area here, and all of the lower Shaunavon. It’s a massive area. I think the Viewfi eld-Bakken is 20 townships.

“Waterfl ooding has been done for 100 years. It’s the next step of de-velopment for any oil-fi eld. It’s cheap, low-risk, and can provide a tre-mendous value and ben-efi t. In Saskatchewan, the way the royalty sys-tem is here, once you get past the royalty holiday, waterfl ooding is where the province will get the most signifi cant revenue. Th e royalty rates go up, and it’s sort of free mon-ey back into the prov-ince. It does have a huge impact on revenue, if we can expand that wa-terfl ood unit,” Saxberg said.

► Page B5

Crescent Point aims to waterfl ood Bakken and Lower Shaunavon

Scott Saxberg, CEO of Crescent Point Energy Corp.

Page 37: Pipeline News August 2011

PIPELINE NEWS August 2011 B5

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◄ Page B4As for whether

Crescent Point is one of the company’s vying for the CO

2 projected to

come from SaskPower’s Boundary Dam Unit 3 project for the pur-poses of enhanced oil recovery, Saxberg said, “No, it’s going to take a tremendous amount of time to get our wa-terfl ood going, and the drilling. CO

2 is sort of

long, way way out there for timeline. Now we have some Midale stuff in Tatagawa and other areas that are longer down the path of wa-terfl ooding that will be useful for CO

2. But

in the Bakken, at this stage, it’s pretty early.

“On primary, we think we’re going to get upwards of 19 per cent recovery in the Bakken. With waterfl ood, we’re looking at over 30 per cent. It’s pretty signifi -cant, and the value lift, we think on that, is 75 per cent.”

In the Lower Shau-

navon, he said, “We own about 90 per cent of that fi eld from our cal-culations. It’s expand-ing and growing, and it’s earlier stages than the Viewield Bakken. Based on our math, we have a pretty signifi cant ownership.

“Most of it is Crown lands and we own the fee title out-right. We potentially could get waterfl ood in sooner, because of our ownership position. We’re moving as fast as we can towards water-fl ooding and the Bak-ken here,” Saxberg said.

Crescent Point was the lead donor for Sas-katchewan’s portion of the STARS (Shock Trauma Air Rescue Society) air ambulance program, fronting $5 million over the next four years. Saxberg said it was important for the company to take the lead on that.

“STARS air ambu-lance, that was huge. We’ve been working on

it for at least four years. We saw four years ago the amount of activ-ity out here is going to grow and be signifi cant. We looked around and said, ‘How can we help out and support the community in the best way we can?’

“What was the best way for our dollars to be spent? We looked around and there was no similar program that was as eff ective as the STARS air ambulance. With the amount of vehicle traffi c, and the lack of hospitals in the area, we felt it was a no-brainer to do that.

“We are full-force pushing that to bring other people in to spon-sor that,” said Saxberg.

He suggested some fee title holders might want to donate to the program. “We’d love to see them participate and put some of their dollars to work with the STARS air ambulance. It will help everyone in the community.”

Potential for early waterfl ood due to Crown ownershop

Trevor Zubrecki, a locator with Big Bore Directional Drilling Ltd., works on changing a drive chuck on a boring machine. Zubrecki was working near Shaunavon, for Crescent Point.

Page 38: Pipeline News August 2011

B6 PIPELINE NEWS August 2011

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Shaunavon – Th e oilpatch has been around Shaunavon for a long, long time, but the verti-cal drilling of the Upper Shaunavon formation is long past its prime, and the local industry had begun to dwindle over time.

Th at’s changed sub-stantially in recent years, with the emergence of multi-stage frac hori-zontal wells in the Low-er Shaunavon forma-tion, and now the town for which the formation takes its name is taking off . Th e town is growing economically and popu-

lation-wise. It’s also got a boost from the oilpatch for its new rink, which opened July 15. It’s ap-propriately named the Crescent Point Wicken-heiser Centre.

Charmaine Bernath is the town administra-tor, while Jay Meyer is training to take over the position upon Bernath’s pending retirement.

“Th ings are picking up right now,” said Mey-er. “Five years ago, we met with Wave Energy. Th ey were looking at a diff erent style of drilling and testing a dozen or so wells. Th ey did their

drilling and were fairly successful.”

Th at’s when the town realized that something was up.

Penn West Ex-ploration joined in, purchased some land, and bought Wave out. Th en Crescent Point bought out most of Penn West’s assets. Now Cenovus Energy Inc. is involved in the play as well, as is Wild Stream.

Th e pair notes there was a bit of a hiccup in 2009, but the town was still busy.

“We saw a lot of ser-vice companies come to town,” Meyer said of re-cent years. TS&M, Apex and CE Franklin have all set up shop within the last two years. EOS Pipeline established it-self in a yard north of town.

Bernath said, “By the end of 2009, we sold all the land in our indus-trial park.”

Carson Energy Ser-vices bought land, but has not set anything up yet. Beacon Oilfi eld Services has established a presence, along with ABC Logistics.

“Of the companies that have moved in over the last two years, I’d say 20 were because of oil,” Meyer said.

Th at’s been largely refl ected in the popula-tion. Th e Ministry of Health numbers said there were 1,989 people in 2009 in Shaunavon, and by 2010, that num-ber had gone to over 2,200 an increase of more than 10 per cent in one year. Th at doesn’t count the activity since then, which has been heating up.

► Page B7

Crescent Point backs rink with $500,000

Crescent Point Energy Corp. and its predecessor companies donated generously to the Crescent Point Wickenheiser Centre in Shaunavon.

Page 39: Pipeline News August 2011

PIPELINE NEWS August 2011 B7

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◄ Page B6Housing is tight

On the residential side, Bernath said, “Th ere were some vacancies, now there’s none.”

Indeed, they had to track down a place for a new nurse to stay, part of a chain reaction. No place, no nurse, meaning the hospital would be short-staff ed. Th ere was nothing available for her until a lady opened up a basement. Otherwise, the remaining option was to get a trailer for her.

Th ere have been a few new houses built, about 12 in the past two years. Finding an appropriate house to buy can take many months, according to several people who had moved to Shaunavon recently.

Right now, only infi ll residential lots are available. “Our plan is to start a new subdivision, 13 lots, with potential for 49,” Meyer

said. It was excavated last fall. Th at’s a big change from previous years. “I bought a house in 2007 for

$23,000,” Meyer said. “Two years ago, you could rent a house for $350 a month. You can’t get a

house for less than a thousand now,” he added.“Housing prices doubled in 2006, and are still going up,” Bernath said. “Most hotels are now rented on a monthly basis,” Meyer said. Indeed, good luck fi nding a hotel room. Pipeline News was informed it was

quite fortunate to fi nd a room for two days in early July. A crew working on the new Co-op had to stay in East End because nothing else was available.

Canalta Hotels, which has built hotels in Weyburn, Moosomin, Humboldt and Tisdale in recent years, has purchased land in Shaunavon, although they have not yet developed it. “We’re working on a servicing agreement with Can-alta. Th ey purchased the property nearly two years ago,” Meyer said.

Discussions have mentioned a fall start date, but next spring is more realistic, according to Meyer.

Another 30-unit motel, being built with modular construction, is being as-sembled. Servicing for it went in last fall, and two units are currently sitting on blocks.

Additionally, a vintage hotel is being renovated into a 70 room hotel. It’s a long term-project, but the restaurant and bar are open. ► Page B8

Town growing by leaps and boundsThe ribbon cutting on July 15 offi cially opened the Crescent Point Wickenheiser Centre in Shaunavon. Photo courtesy the Shaunavon Standard

Page 40: Pipeline News August 2011

B8 PIPELINE NEWS August 2011

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◄ Page B7“We have a camp-

ground expansion and an older campground, and both are full,” Meyer said.

“Another gentleman is looking at a strip mall and Subway,” Meyer said.

Th ere’s an A&W being spoken of as well. A new Co-op convenience store and gas bar is rising along the highway.

“Our industrial park is engineered and ready to go,” Meyer said. Th ere are 34 lots on the west

side of the city, totalling approximately 40 acres. Th e town is speaking with possible developers about developing the in-dustrial area.

Money is the limiting factor. “It is something of a money issue,” said Bernath. “We’ve talked about doing a phase.”

Th e industrial park would have all services except sewer, unless a de-veloper comes along and decides to add that.

Th e industrial park will also be the site of the wind turbine that Sask-Power will be providing as part of a green energy program for community rinks.

New RinkShaunavon opened

the Crescent Point Wickenheiser Centre, on July 15. Th e rink derives its name from the town’s favourite daughter, Ca-nadian women’s hockey star, Hayley Wickenheis-er, who just received the Order of Canada. She has been described as the “best women’s hockey player to ever play the game.”

Th ere was a large check for $350,000 in town hall from Crescent Point Energy Corp., which had made a do-nation of its own along with previous donations from Wave Energy and Penn West Explora-tion, whose assets were purchased by Crescent

Point. Th e total between all three is half a mil-lion dollars, according to Meyer.

It incorporates an NHL-sized ice surface along with four sheets of curling ice. It will seat 800, with standing room bringing that number up to 1,200. Th e lobby is right up to the glass on the boards on the south side, and overlooks both the hockey and curl-ing rinks. Th e second fl oor lounge area does the same, and has room for the planned Hayley Wickenheiser Museum.

Shaunavon hosted Hockey Day in Canada in 2004. “It still gives me goosebumps, seeing all those CBC trucks.”

A seat from Maple Leaf Gardens, donated by Ken Dryden, sits in town hall, destined for the new rink. Th e Zam-boni will have Cenovus written on it. Everything in the rink has been itemized and had its naming rights sold.

Th e oilpatch has stepped up in a major way. Shaunavon Mayor Sharon Dickie went to board tables in Calgary and came back with sub-stantial contributions.

After 12 years of ef-forts, the town has been able to pay for most of the facility outright, with just $3.5 million in debt on a $12 million complex.

Town celebrates new rink opening

Kyle Bennett, a construction consultant with Crescent Point and chair of the Wickenheis-er Launch and Sponsorship Committee, left, discusses strategies for placing advertising in the new rink in Shaunavon.

Page 41: Pipeline News August 2011

PIPELINE NEWS August 2011 B9

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Shaunavon – Paul Illerbrun has truck, will be there.

Forgive the bad allusion to the 1950s west-ern Have Gun – Will Travel, but it seems fitting, given the approach Illerbrun takes to his Shau-navon-based water hauling business.

After 30 years on the rigs, Illerbrun is try-ing his hand at his own service business, P & T Waterhauling.

“I was a rig manager for 20 years for Cham-pion Drilling,” Illerbrun said. “I was in Alberta 99 per cent of the time, from Fort Mac to Milk River.

“In 2008, when everything slowed down, the last area I worked in was Yorkton-Melville, spending one year drilling for potash.

“That’s all coring work, looking for the pe-rimeter for where they can put a mine. It ’s good work – lots of tripping.”

When the oilpatch was grinding to a near-halt in early 2009, Illerbrun bought a water truck.

His son had been working on a drilling rig in the Estevan area. He built a bathroom on a trailer. Illerbrun asked if he put a light tower on it, would the frac crew rent it? They said yes.

Illerbrun has since added three more conven-tional light towers.

A catwalk for service rigs is also in the works. “It ’s not out yet, but hopefully one of these days,” he said.

“This winter was really good. It was a slow spring, but it ’s picking up.”

The day before sitting down with Pipeline News, Illerbrun got a call at 2 a.m. for water. Out the door he went.

He’s a one-man show in the field, but his

wife and business partner Teresa handles the ad-min. “Bookwork is more work than driving the truck,” he said.

Illerbrun supplies water for boring machines and pipeliners.

“That’s been pretty good,” he said. In the winter, it ’s hauling water to service rig boilers. “Now I’m doing dust control and cement jobs.”

Born and raised on a farm southwest of Shaunavon, he now gets to work at home. “I’ve finally been at home for the first time in my life. It ’s good to be home for a while, to have a normal life,” Illerbrun said, adding it ’s good to sleep in his own bed.

“You don’t know how much you miss when you’re gone all the time. It ’s awesome. Most of the work is within 30 miles, 20 miles even.”

He’s considering buying more equipment. “Shaunavon needs stuff. We’ve got everything from out of town, and there’s no reason why lo-cals can’t get in on this,” he said. “If you don’t have the equipment, you can’t rent it.”

Local getting in on Shaunavon action

Paul Illerbrun of Shaunavon is providing a diverse array of oilfi eld services, from light towers like this one, to a water truck and soon a catwalk.

Page 42: Pipeline News August 2011

B10 PIPELINE NEWS August 2011

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Shaunavon – Th e Matyka family has jumped in head-fi rst into the burgeoning southwest Saskatch-ewan oilpatch, providing a service no one else was providing locally.

Matyka Oilfi eld Service is owned by Audrey Matyka. It will soon include her son Justin, who

works with the company, in the ownership.Th e company does mechanical insulation, i.e. pipe

insulating, for facilities, utilidor boxes and buildings. Th ey build pre-fab metal buildings and self-framing metal buildings, as well as provide maintenance.

Th ey also have a Bobcat service for prepping

pads for buildings and fi xing holes on leases.Th e wet spring has aff ected the company, since

they can’t work in the rain, lest the insulation become wet. “If it rains too much, you can’t get on the lease,” Audrey said. “One hundred mile per hour winds can cause things to start fl ying.”

Most of their work is for Crescent Point Energy Corp., which has the majority of the Lower Shau-navon play. Th ey also work for Wild Stream Explo-ration and Cenovus Energy Inc.

► Page B11

Insulating the southwest

Matyka Oilfi eld Service had done the insulation work on the facility behind them. From left are Audrey Matyka, Darci Wirtz, Mike Tait, Shelby Dufva and Justin Matyka. Missing are Martin Envik, Dielle Thienes, Frank Poch and Elsa Poch.

Page 43: Pipeline News August 2011

PIPELINE NEWS August 2011 B11

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OXBOWOXBOWIndustrial Lots for SaleIndustrial Lots for Sale

The Town of Oxbow has some industrial lots that are ready for your business.

Lots are 150 x 250 ft.The lots have been dramatically reduced

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Some conditions do apply.Call the Town Of ce for more details.

306-483-2300 or email: [email protected]

This is a fi nal insulation project done but Matyka Oilfi eld Services.

Photo submitted

The Matyka Oilfi eld Service crew can be seen at work, insulating above-ground pipes.

Photo submitted

◄ Page B10Th e company has been doing this work for al-

most fi ve years now. It was started under Audrey’s husband, John. He was a journeyman carpenter.

Justin, 21, said, “I started as a pipeline labourer.”He ended up hiring his mother and father to

work with him for a small oilfi eld company. John passed away two years ago.“When I was pipelining, I paid attention to what

the guy who was doing the insulating was doing,” Audrey said. “I thought, ‘I could do that. No one lo-cal was doing it.’

“I started looking on the Internet for suppliers. I was told I would never get any work.”

“And look at you now,” said Darci Wirtz, who, along with Shelby Dufva, hired on as summer help.

“I had to make a lot of phone calls and go to batteries and look at the labels on the boxes,” Au-drey continued. “I wasn’t sure what the material was called.”

Th e material in question is an aluminum-foam-aluminum sandwich board, usually 1.5 inches thick, but it can be thicker, depending on the require-ments.

In addition to the sandwich board, pipe insu-lation of varying diameters and thicknesses is the other key ingredient to the business.

“It’s very tedious,” said Justin. “Each valve takes about an hour. Piping is fast. Valves are not.”

Audrey anticipates a busy summer. “We’ve got lots of work right now,” she said.

Th ere’s a big push to get facilities insulated be-fore it freezes.

“Th ey pipeline all winter, so we will be busy through summer and winter now,” Audrey said.

While there is a competitor based in Swift Cur-rent, there is no one else providing the service locally, she said.

Th ey usually work with two people per crew, sometimes doubling up to four for larger jobs.

“I could use more people, too,” she added. Housing is a big issue in the area, she noted, with

several people who work in the patch staying at her ranch. “I have a couple campers in my yard now.”

Th at ranch, 15 miles south on Highway 37, is being downsized. Th ey used to have 245 head of cat-tle, but sold off 200 in December. Th e growth in the insulating business meant something had to give. “It was too hard, by myself. Too much,” she said. “I have the farming custom-done now.”

A week after a tornado gave Shaunavon a close call, another twister hit the Matyka ranch, taking out a shed.

A lot of the Matykas’ neighbours are slowly getting involved in the growing local oilpatch, be it pushing snow or pumping water. Indeed, the com-pany also handles cattle guard fencing which is made locally, and pumps a little water. Th e fencing is a nat-ural extension of their business.

Other suppliers are Bigfoot Metals out of Brooks, Alta., and Nu-West Construction Products Inc. from Regina.

“We’d like to expand,” Justin said, pointing to small skid construction and header buildings. “Th ose are currently coming in from Alberta.”

Seeing an opportunity to be a local service provider

Page 44: Pipeline News August 2011

B12 PIPELINE NEWS August 2011

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Shaunavon – “Most of our engineering staff is from Saskatchewan,” said Tina Osiowy, senior fa-cilities engineer for Crescent Point Energy Corp while visiting the company’s facilities around Shaunavon. “I grew up in Craven and went to the University of Regina for industrial systems (me-chanical engineering).

Osiowy graduated from university in 1995. She did high tech work for Nortel for a few years before getting into the oilpatch. Osiowy has been working almost 10 years in the patch, having started with engineering companies.

First there was CH2M HILL, then IMV Proj-ects, which is now owned by the Wood Group.

She is now has professional engineer certifi ca-tion for Alberta and Saskatchewan.

Osiowy said she and her boss were the fi rst two initial facility engineers for Crescent Point. She was the engineer for seven batteries in south-east Saskatchewan, has done four in southwest Saskatchewan, and will soon have completed a fi fth.

She gave up looking after southeast Saskatch-ewan facilities to take care of the southwest, as well as southern Alberta. Now, with the company recently having picked up about a million acres in southern Alberta, things are heating up there, too.

“My husband is an engineer as well. He worked with SED in Saskatoon, and Nortel, and is now with General Dynamics in Calgary, doing communications for the military.”

“Th is is the most dynamic company I’ve worked for,” Osiowy said. “We are actively in-volved as engineering teams. We meet with the CEO monthly. When oil is $30, we work. We’re one of the few that will.”

Engineer from Craven designs Crescent Point facilities

Tina Osiowy was one of the fi rst two facilities engineers hired by Crescent Point Energy Corp. Af-ter designing the company’s southeast Saskatchewan facilities for years, she is now looking after southwest Saskatchewan and southern Alberta, both very active plays.

Page 45: Pipeline News August 2011

PIPELINE NEWS August 2011 B13

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Shaunavon – Wayne Kashuba, Crescent Point’s senior production/development foreman for the Shaunavon area, said he hopes this is the company he fi nishes his career with.

Kashuba is originally from northern Alberta, where he says he was “born around a lot of trees.”

He worked for a year in Manitoba, and another year in North Dakota, drilling early Bakken vertical wells.

“For the most part, working with Crescent Point is quite unique. For most people, you’re lucky to be in one big play in your career,” Kashuba said, adding the company is involved with three – southeast Sas-katchewan, southwest Saskatchewan, and southern Alberta.

“It’s not boring. Th ere’s not one dull day,” he said.

Both of his sons work as contract operators in the oilpatch.

“I’ve been in the oil industry for 33 years, in drill-ing and plants. What I see is horizontal drilling and technology has refreshed old areas,” Kashuba said.

“Now is the time for Saskatchewan to open up and let other industries settle, such as maintenance crews, leas builders, tech people and surveyors,” he said, noting there are 10 to 15 years of growth ahead. “Th ere are all kinds of opportunities for growth.”

More than one big play

Wayne Kashuba, Crescent Point’s produc-tion/development foreman for the Shuanavon area, hopes this company is the last one he works for.

Page 46: Pipeline News August 2011

B14 PIPELINE NEWS August 2011

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Brian ZinchukShaunavon – If you see an excavator swinging in

the Shaunavon area, there’s a good chance you might fi nd Ernie Maser on it.

Hailing from Irvine, Alberta, just across the border near Medicine Hat, Maser has worked in Saskatchewan for the last fi ve years. One and a half years were in Stoughton area, the rest have been at Shaunavon, with a series of contractors.

Most recently, he’s found himself working with one of three Benoit Oilfi eld Construction crews, working on a Crescent Point pipeline project.

At 57-years-old, Maser has been running exca-vators, also known as hoes, for 37 years. Th at’s long enough that when he fi rst started, it was on cable-hoes, the precursor to fully hydraulic hoes. A pipe-liner all his life, he did a little water and sewer work in his early days.

At one point he had his own machine, a 220 Hitachi excavator, but it was gone as soon as a job dried up. He prefers working for someone else. “No headaches now,” he said.

“When it shuts down, it shuts down. It’s done, and it can happen overnight,” he said.

Working in Shaunavon, Maser said, “It’s good. A nice place, minus the rain. People are nice.”

“A lot of my inlaws live in this country, and they don’t remember this much water. Th ere’s places I dug three years ago that were dry now then now have three feet of water.”

“Th e biggest thing around here is fi ning accom-modations. Everything’s full.”

Maser, like most pipeline lifers, stays in his own 33-foot travel trailer.

Asked if he’s looking to retire, Maser said, “I’d love to, but that’s all dictated by what happens in the next few years. I won’t be sitting on a hoe, but I still enjoy running equipment. I can still get up and off and there’s no headache in running a hoe – you’ve simply got to dig ditch.”

And a nice ditch he digs indeed, with nicely sloped side, regular ramps and an even bottom. Th e ramps are because labourers check the entire ditch with shovels for rocks, lest they damage the fi bre-glass pipe.

LifetimeLifetimepipeliner enjoys pipeliner enjoys working close working close to hometo home

Ernie Maser has been an excavator operator for 37 years. Two fi breglass pipelines will go in the ditch once it is completed.

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Page 47: Pipeline News August 2011

PIPELINE NEWS August 2011 B15

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Shaunavon – At 28, Conrad Pearce is already the lead pipe-line consultant and facility con-struction supervisor for Crescent Point Energy Corp. in the Shau-navon area.

Pearce grew up in Porcupine Plain, and now lives in Shau-navon.

“Th is is all I’ve done,” he said, standing near a Benoit Oilfi eld

Construction crew as the work with Big Bore on a road crossing. “I walked out of school and went to Alberta.

“I started with this company right here, Benoit Oilfi eld.”

Th e Riders’ season ticket holder came back to Saskatch-ewan three years ago. He’s also worked for several years in the Estevan area.

Coming back to Saskatch-ewan he said he had been able to get work and family to worth to-gether. He was married last year. Pearce’s wife is a schoolteacher.

“Moving here, doing what we do, has been the best bet,” he said.

Pearce plays hockey, and gets to know people outside of work. Th at makes a diff erence, he said.

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Conrad Pearce is Crescent Point’s lead pipeline consultant and facility construction supervisor. Back in Saskatchewan, he now has Rider season tickets.

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Page 48: Pipeline News August 2011

B16 PIPELINE NEWS August 2011

Since it was established in late 2008, CanElson Drilling Inc. has grown quickly to become one of Canada`s premier drilling contractors. In addition to building its own drilling rigs, the company is expanding its eet of drilling andservice rigs throughacquisition. CanElson now operates a eet of 32 rigs (29 net)With operations inWestern Canada, West Texas, North Dakota, and Mexico, Can Elson Drilling Inc. is setting newstandards for rig utilization.With right-sized,purpose-built rigs built for horizontal and resource play drilling andexperienced well-trained crews, the company is achieving new records for cost-effective, ef cientdrilling operations.

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Page 49: Pipeline News August 2011

PIPELINE NEWS August 2011 B17

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Page 50: Pipeline News August 2011

B18 PIPELINE NEWS August 2011

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Target is taking aim at Bonnyville safety market

Lloydminster –Target Safety Services is moving into a new and larger offi ce in Bonnyville in August as the demand for the company’s services continues to grow there and at its Lloydminster and Red Deer locations.

Th e purchase of a new building follows Target’s successful safety services turnarounds at Cenovus’ Foster Creek and Christina Lake heavy oil operations in the Bonnyville area this past spring.

“Th ere is a lot of potential. Th e market is strong,” said Clint McKinlay, gen-eral manager.

“We have several clients that we have established a very good relationship with. It’s a defi nitely a good area to be in.”

Target also had a booth at the recent Bonnyville & District Oil and Gas Show that McKinlay said was well attended.

“We were happy with the amount of potential clients and existing clients we got to interact with,” he said.

McKinlay says the company’s move is prompted by a “need for more room to house more equipment and more staff , and now is the right time to do it.”

Target has been sharing space with Astec Safety Inc. in Bonnyville since 2008 in a close working relationship, but both companies are getting busier by the month and need their own room to grow.

Target has purchased a two storey offi ce with 6,000 sq.-ft. of space with three bays in a new building on 55th Avenue in the northeast industrial section of Bonnyville.

An operations coordinator has been hired and interviews are underway for new offi ce staff as the offi cial move in date of August 15 moves closer.

Target will provide safety training classes in Bonnyville along with its cor-porate practice of maintaining a complete inventory of safety equipment for on-site safety service or rentals and providing safety management expertise in high angle rescues, confi ned space entry rescues and medical teams.

“We have clients who come to us and rent just safety equipment and we are glad to help them out,” said McKinlay.

“We also have some clients who want only personnel, and some who say they want the whole full meal deal with our people and equipment.

“We are happy to do either. Obviously, we prefer the jobs where we have our manpower and equipment.

“Some other clients will ask to come in and do safety audits for them and some safety management skill training.”

Last fall, Target successfully completed a large onsite safety turnaround at the Lloydminster Husky Upgrader in a contract that involved approximately 200 safety personnel and equipment.

Target will perform the same services for Husky this fall during a smaller routine maintenance turnaround at the upgrader.

“We extended our contract this spring, so we are setting pretty good there right now,” said McKinlay. “It was a very challenging job.

“To my knowledge that was probably the biggest safety requirements of any job in Western Canada to this point in terms of shutdowns.

“To get the contract and be able to extend it after a project of that magni-tude is defi nitely a goal that we wanted and goal that we achieved. We are pretty happy with that.”

McKinlay says Lloydminster and Bonnyville are two of their strongest mar-kets with a lot of potential for growth as heavy oil companies continue to invest in new projects and developments requiring safety support. ► Page B19

Page 51: Pipeline News August 2011

PIPELINE NEWS August 2011 B19

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◄ Page B18“Th ey are both strong markets, and we have good client bases established,”

said McKinlay. “Th e sky is the limit as far as the industry goes, and all indica-tions are it is going to be busy for the next number of years for the entire heavy

August is a big month for Target Safety Services when it offi cially opens its new and larger offi ce in Bonnyville and opens its 40-ft. high emergency response training tower in Red Deer. Target is also gearing up for another safety services turnaround this September at the Lloydminster Husky Up-grader.

Photo submitted

Indications of busy years aheadoil and gas sector.

“We are very happy to be working for companies like Husky and Cenovus on their turnarounds so we take them very seriously, and want to make sure they get 100 per cent service from us.

“A lot of companies in Bonnyville have very aggressive capital budgets that they will need support for. Even in Red Deer, there are some projects going on there.”

Target added an additional 2,000 square feet of building space to their Red Deer complex last year to support their comprehensive quality assurance and control program on their safety equipment and to stock more rental safety equipment.

Th e company maintains a specialize inventory of breathing apparatus, aux-iliary equipment, gas detection equipment and wireless air quality monitoring equipment in Red Deer along with other equipment for onsite safety or rental purposes.

Th e Red Deer location now off ers oilfi eld training courses and will open a new 40-ft. tall emergency response training tower in August that is Enform-certifi ed for rig worker fall protection and rescue training.

Meanwhile, plans are in the works for a grand opening of the Bonnyville offi ce in September.

Page 52: Pipeline News August 2011

B20 PIPELINE NEWS August 2011

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Bonnyville, Alta. – GFI Systems Inc. started off as a paper mapping company in Regina in 1992 and has morphed into a major web-based provider of real-time fl eet management systems for the oil and gas sector in Western Canada.

Th e system also has applications for municipal governments, transport companies and construc-tion fi rms seeking to maximize the effi ciency of their fl eets and reduce costs.

GFI Systems, now based in Red Deer, uses GPS, cellular and satellite equipment with soft-ware to provide companies with real-time location and status monitoring of their vehicles on digital maps.

Th e company hooked up a digital map of the Stoughton area at the Bonnyville and District Oil and Gas Show for general manger Jadon Rempel to demonstrate the system features and benefi ts.

“Our system is one of the industry’s only real-time fl eet management system that integrates an active dispatch model so companies can more effi ciently operate their fl eets in the fi eld,” said Rempel, who was manning the company’s exhibit booth.

“Th e real time activity that you see onscreen allows dispatchers to literally guide drivers to lo-cations when theoretically they can’t fi nd places or have the ability to see in front of them.”

GFI receives data from most mobile assets on average every fi ve to nine seconds or second by second where required, and displays it on a dis-patch map with constant and rapid visual updat-ing.

Th is allows a dispatcher to literally guide driv-ers to locations mile by mile, turn by turn.

► Page B21

ROI helps sell GFI to fl eetsROI helps sell GFI to fl eets

Jadon Rempel general manager of GFI Systems Inc. demonstrated the capabilities of the company’s fl eet management software and hardware on a digital map of the Stoughton, Saskatchewan, area during the Bonnyville and District Oil and Show June 22-23.

Page 53: Pipeline News August 2011

PIPELINE NEWS August 2011 B21

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Th e GFI system goes beyond simple in-vehicle LSD locating by generating real time data to integrate with speed policy enforce-ment, maintenance management, employ-ee management, work alone monitoring, elec-tronic logs, reports, and asset tracking.

“We provide a soft-ware solution that is more integrated into a back offi ce environment so that there is full transparency as opposed to simple in-vehicle so-lutions,” said Rempel.

“Th e product is aimed at fl eet opera-tors or any companies that want to adequately manage their fi eld op-erations.

“We have clients that are small as two trucks up to 1,000 trucks. We provide an incredible return on in-vestment for companies of any size,” he said.

Return on invest-ment is realized by fuel savings from speed con-trol measures, mainte-nance alerts and better fl eet utilization know-ing where and when equipment is working and to what degree.

“Also with the de-gree of data that we are capable of acquir-ing from the in-vehicle hardware that is in-stalled, it gives a very high degree of accuracy for things like fuel tax reporting,” said Rem-pel.

“It also links in with billing and payroll and pretty much everything

that a company needs to operate their fl eets more effi ciently.

“We do a lot of business in pickup trucks and everything to heavy equipment utilizations to ensure your graders and doz-ers are operating when they are supposed to be.

“Some specialized things we do with the transport industry help them not only manage what the vehicle is do-ing but provides them with services from real time tank level gaug-ing to various vehicle telemetry solutions,” Rempel said.

GFI developed the first LSD digital maps of Saskatchewan dur-ing its early years in Saskatchewan when its system was geared to

topography and ground water mapping along with property tax as-sessment and pipeline planning applications.

“In the ’90s we did a lot of business with a municipal government in Saskatchewan,” said Rempel.

“When we went into fleet management, the oil and gas indus-try really gravitated toward our product. At the time most of that business resided in Al-berta, so it caused us to have to gravitate west.

“We will never lose sight of our roots and many of our primary clients reside in Sas-katchewan so we spend equal amounts of time in both provinces to adequately service both provinces.

“What we are ca-

pable of doing with real time management is an absolute asset to the oil and gas industry today in Western Canada.

“We have several thousand trucks rang-ing from northern B.C. down through south-ern Manitoba. Rough-

ly 50 per cent of our gross revenue resides in Saskatchewan and we continue to expand in our marketplace.”

Going beyond simple LSD locatingGoing beyond simple LSD locating

Page 54: Pipeline News August 2011

B22 PIPELINE NEWS August 2011

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Bonnyville, Alta – Cabay’s Dirtworks Ltd. relied on bright orange T-shirts to make an impression at the Bonnyville & District Oil and Gas Show on June 22-23 with no available heavy oilfi eld construction equipment to exhibit.

Th eir entire fl eet of graders, track hoes, dozers, compaction equipment, heavy equipment movers, bobcats, rock trucks, motor scrapers, loaders and gravel trucks was out working on a variety of projects in the Bonnyville area.

Brad Cabay, who owns and operates the Bonnyville business with his wife Denise, made do by outfi tting available staff in the orange corporate shirts that had many visitors asking who they were and what they did.

Cabay’s Dirtworks also sponsored a drink ticket at the banquet where Cabay was eager to talk about his company and the orange shirts sporting their “We can DIG it!” slogan.

Th e slogan draws attention to the lease and road construction, lease recla-mation and remediation and oilfi eld construction and civil construction services provided from their 60 by 80 ft. shop in Bonnyville.

“Mostly we do anything to do with dirt,” said Cabay. “We do lease reclama-tion, lease construction, pipeline right-of-way cleanups – anything to do with

dirt – road construction.“We specialize in

reclamation and pipeline right-of-way clean-ups and preparations and stuff like that. We do some road construction.”

Cabay started the company in Bonnyville in 1999 with just one track-hoe operated by himself and has grown into one of the largest oilfi eld con-struction companies in the area with more than 35 employees and no shortage of work.

“Th ere is lots of growth potential. It’s a busy market,” said Cabay. “It’s very demanding but you try to do the best you can with what you’ve got.

“Right now, our main activity is reclamation of leases and construction.”Reclamation work ranges from excavating, piling and hauling contaminated

soils to landfi ll sites and hauling in clean fi ll to replace soils, including packing and bringing the site back to grade.

“We have heavy equipment – anywhere from dozers, graders, rock trucks, graders, trackhoes, hydraulic excavators and smaller stuff , too like Bobcats and a couple of small gravel trucks to support the rest of it,” said Cabay.

Cabay’s Dirtworks’ equipment is put to use building many types of roads in the area ranging from oilfi eld roads and well sites access to access to cold pro-duction sites.

Th ey also build private and commercial approaches and driveways – all meeting municipal regulations.

In the winter months, Cabay’s Dirtworks focuses on building leases, includ-ing engineered, cold production and gas well leases.

Th e company also does a lot of oilfi eld construction from plant site work to active pad sites – including grader work, drainage issues, pad repair, maintenance work, compaction, road repairs and cleanups.

“You can’t just do one thing,” said Cabay in defense of his diversifi ed strategy. “You can’t just specialize in one thing.

“Th e reclamation for example – it’s all seasonal – it’s summer work. Th en when you get into winter, it’s lease construction and some cleanup.”

Turning to the subject of the oil show, Cabay says he couldn’t pass up the op-portunity to participate in the event as a locally-owned company despite having no available equipment to show.

“It’s just mostly for exposure and it’s in our hometown so we want to make sure we have a presence out here and let everyone know who we are and what we do,” said Cabay, who dressed for the occasion in his orange shirt.

“Th e orange shirts are pretty popular. I know a lot of people. I have lived here my whole life. I used to be an operator for 17 years. I worked for BP, Amoco and a little bit for CNRL.”

Cabay says he has established a good base in Bonnyville with little need to venture outside the area for work.

“We are very busy right now. Th e market is getting busier and busier,” he said. “A lot of the oil companies are starting to open up. Th ere are new oil companies

in the area so it’s good to keep busy with those guys.“Th is is a very happening area. If you look at some of the maps that are out here,

there are several companies that are coming to town now.“Osum (Oil Sands) is coming to town. Devon is picking up a new plant. Koch

Exploration is coming to town. Imperial is expanding, CNRL is expanding, and Cenovus is expanding.

“Th ere is actually a lot of work in this area more than people realize. When you look at the map people can’t believe how much work is going on here,” Cabay said.

Cabay’s Dirtworks unearths showy T-shirts

Cabay’s Dirtworks’ excavators remove grav-el from a CNRL lease road in preparation for lease and road reclamation on pad southeast of Bonnyville. Photo submitted

Page 55: Pipeline News August 2011

PIPELINE NEWS August 2011 B23

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Bonnyville, Alta. – A new strategy by Cenovus Energy Inc. to step up development of its Foster Creek oilsands project in the Cold Lake Air Weap-ons Range is good news for Seven Lakes Oilfi eld Services.

Seven Lakes is owned by Saddle Lake, Goodfi sh Lake, Kehewin, Frog Lake, Beaver Lake, Heart Lake and Cold Lake First Nations with approximately 37 employees working at the Foster Creek steam as-sisted gravity drainage (SAGD) project.

Seven Lakes also rents its scaff olding equipment valued at approximately $1 million to Imperial Oil’s Cold Lake operations where Seven Lakes also pro-vides the company with gas testing services and la-bour.

Meanwhile, Cenovus expects to boost total production at Foster Creek to between 270,000 and 290,000 barrels of oil per day through increased ca-pacity at phases F, G, generating new employment opportunities for Seven Lakes.

“Th ere are doing a SAGD operation and we providing support with the infrastructure division,” said Alfred Janvier, onsite manager for Seven Lakes at Foster Creek.”

“We help with the stuff that’s left undone be-tween construction and operations. We do the middle stuff , and we help provide support in that capacity.

“We’ve got trades people, plumbers and car-penters, there. We have high-speed sanding trucks

and heavy equipment like trackhoes, dump trucks, gravel trucks, loaders, skid steer – we have a variety of equipment there as well as a street sweeper and water for roads – and the whole nine yards.”

Th e next three phases of Foster Creek will have a production capacity of 35,000 bpd which is 5,000 bpd more than Cenovus originally anticipated in each phase.

Cenovus recently announced they are moving up their timelines for fi rst heavy oil production from phases G and H and future expansion.

Th e fast tracking could lead to mean more em-ployment and trades development opportunities for Seven Lakes and some third party companies under their wing.

“Cenovus is now in a phase of building a whole

new plant so that means more opportunities in terms of getting more employees on board – pro-viding more support in that capacity, and also con-struction,” said Janvier at the Seven Lakes booth at the Bonnyville & District Oil and Gas Show held June 22-23.

“Th eses projects provide employment not only for First Nations, but they create non-aboriginal opportunities as well, by having qualifi ed non-ab-original tradespeople on hand along with aborigi-nal journeymen to show us the trades.

“We also tap non aboriginals for cross-training purposes and cross-cultural purposes. It’s a two way street. It’s a win-win situation. It’s two-way cross-training.

► Page B25

Cold Lake oil fuels jobs for First Nations

Page 56: Pipeline News August 2011

B24 PIPELINE NEWS August 2011

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Page 57: Pipeline News August 2011

PIPELINE NEWS August 2011 B25

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Alfred Janvier, onsite manager for Seven Lakes Oilfi eld Services at the Cenovus Energy Foster Creek SAGD project in the Cold Lake area, is eager to forge new employment and skills train-ing partnerships for First Nation workers with oil and gas companies in the area. Seven Lakes set up a booth at the Bonnyville oil and gas show to showcase their construction scaffolding busi-ness section. Seven Lakes is owned by seven First Nations in northeastern Alberta.

◄ Page B23“We couldn’t ask for

anything better for em-ployment purposes and for training – training in terms of being skilled in-stead of being unskilled.

“Th at’s what we want to provide to the oil and gas industry – to provide skilled opportu-nity workers.”

Seven Lakes is a subsidiary of the Primco Dene Ltd. and Pimee Well Servicing Ltd. with more than 100 employees working in waste management, gen-eral labour, scaff olding, wellhead cleanup, spill

cleanup, and site security for the oil patch.

Th e diversifi ed oil-fi eld company also pro-vides lease sanding and snow removal, gas testing and laser sampling, dirt works, road maintenance and minor pipeline con-struction services.

“We are also looking at expanding our oppor-tunities with scaff olding in Foster Creek as well so we can develop more skilled workers,” said Janvier.

Seven Lakes pro-vides personnel from fi rst year apprentices to journeymen to erect the scaff olding.

Seven Lakes is a member company of the Primco Dene Group of Companies, wholly-owned by Cold Lake First Nations with a strategy to build em-ployee training partner-ships and networks.

Rick Janvier, human resources manager for Seven Lakes, described the strategy as “replac-ing a livelihood with a livelihood” that used to be hunting, fi shing and trapping.

“Now it’s creating partnerships and creat-ing careers and long-term meaningful em-ployment.”

Th e economic out-look for Cold Lake First Nation began to bright-en in 2002 when the fed-eral government reached a $25 million settlement with the Dene people for loss of their traditional lands when Canada built the Primrose Lake Air Weapons Range in 1952.

“From 2002 to 2007 based on those strategies creating partnerships with major oil compa-nies and drawing up opportunities with our First Nations – with the gaming (Casino Dene) and that – we have de-creased unemployment from a high of 85 per cent down to 12 to 15 per cent in those fi ve years,” said Janvier.

Th e Primco Dene group operates compa-nies dealing with every-thing from security ser-vices, and EMS response to remote work sites in northeast Alberta to camp catering, courier

services and commercial property management.

Primco group em-ployees also work for Canadian Natural Re-sources and other small-er oil companies in the region.

“Our total divisions have about 440 employ-ees,” said Eliza Raine, Primco’s offi ce and ad-ministrative manager who hopes the oil and

gas show will raise the profi le of their group of companies.

“We are just trying to get more recognized,” she said.

“A lot of companies even though they see our businesses and our trucks up in the air weapons range still don’t know what we do. It gives us good publicity to show-case our company.”

Desire to provide skilled workers

Page 58: Pipeline News August 2011

B26 PIPELINE NEWS August 2011

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Bonnyville, Alta. – Victor Witzke, vice-president of business de-velopment for Techma-tion Electric & Controls Ltd. based in Airdrie, Alberta, shook a lot of hands at the Bonnyville & District Oil and Gas show, just as he intended to do.

It’s Witzke’s job to secure work for Tech-mation’s large workforce of approximately 600 tradesmen and he made headway for the com-pany’s Bonnyville offi ce during the show June 22-23.

“I made several very good contacts,” he said. “I think in order for us to grow, we have to be part of the community and make ourselves visible so we are excited to be here and participate.

“I think it’s a very good show. It’s well put on. I think it’s fairly lightly attended but that will change over time. It’s probably one of the

best managed trade shows I’ve been at in the industry.”

Th e show gave Witzke the opportunity to explain to passersby that Techmation provides a complete range of electrical and instrumentation contracting services to the oil and gas industry in Western Canada.

“Techmation is an electrical and instrumen-tation contractor,” he said. “We do industrial construction and main-tenance for the oil and gas industry.

“We are a service provider so whenever an oil company builds oil and gas facility, we are involved in putting in the power and the me-ters and a lot of the sup-port equipment for the electrical controls.”

Techmation is a pri-vately-owned Canadian company with 23 loca-tions in British Colum-bia, Saskatchewan and

Alberta. Th at includes the Bonnyville outlet that was established three years ago and is getting busier by the day.

“We are trying to ex-pand into the Cold Lake area and participate in some of the area,” said Witzke, who works in Airdrie.

“I think there is signifi cant potential in Cold Lake. Th ere is just nothing but upside for us up here. I think the only limitation would be ac-cess to tradesmen.

“Our company has been in a signifi cant growth mode. Since 1995, we’ve grown from a small group to well over 600 employees.”

Th e demand for Techmation’s construc-tion services ranges from major facility construc-tion to plant expansions and upgrades.

Th e company pro-vides a full scope of elec-trical and instrumenta-tion services to manage major projects from ini-tial plant construction to commissioning and start-up.

Th ey also off er on-going maintenance and support programs spe-cifi cally tailored to the needs of their commer-cial and heavy industrial customers.

Techmation is able to develop and/or adapt to existing preventative maintenance programs that help reduce costs and improve operating effi ciencies.

All of Techmation’s branch locations off er complete shop services to support their custom-ers’ operations.

Th eir instrument rebuild services include certifi ed PSV repairs, water meter calibrations, and valve and pump re-pairs along with over-the-counter sales of in-strumentation materials.

Techmation is eyeing up growth in the Cold Lake areaVictor Witzke was the face of Techmation Electric & Controls Ltd. at the Bonnyville & District Oil and Gas June 22-23. Witzke who works at the head offi ce in Airdrie Alberta was eager to talk about his company’s growth potential in the Cold Lake area to anyone who visited his booth

Page 59: Pipeline News August 2011

PIPELINE NEWS August 2011 B27

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Regina – Trucking without borders moves a step closer to reality with new uniform regulations for commercial vehicles travelling across the boundaries of Saskatchewan, Alberta and British Columbia in eff ect since July 1.

Th e regulations under the New West Partner-ship Trade Agreement create uniform rules about the sizes and weights of vehicles and other aspects of trucking operations for more effi cient movement between the three provinces.

Th e provinces will continue to work together on future changes so that one set of common rules to apply from the eastern border of Saskatchewan and across Alberta to the coast of British Columbia.

During consultations with the trucking industry over the last year, other opportunities for streamlin-ing the regulations were put forward, and the prov-inces will now work towards achieving these changes by July 2012.

“Export goods produced in Western Canada are

being trucked on the highways between our provinc-es every day,” said Saskatchewan Minister of High-ways and Infrastructure Jim Reiter.

“Th rough the New West Partnership, our three provinces will now have consistent trucking regu-lations to allow for a more seamless fl ow of goods, with less red tape and lower costs for shippers, which ultimately leads to a more attractive investment cli-mate.”

Th e New West Partnership Trade Agreement is a commitment among the provinces of British Co-lumbia, Alberta and Saskatchewan to eliminate bar-riers to trade, labour mobility and investment.

“Diff erent standards, rules and regulations in each of our respective provinces create costly inef-fi ciencies for shippers and, ultimately, their cus-tomers,” said Luke Ouellette, Alberta’s minister of Transportation.

“Harmonizing trucking regulations helps move people and goods more effi ciently and contributes to continued economic growth and prosperity for our three provinces.”

Th e move toward harmonized policies and regu-lations is in recognition that economic activity in one province doesn’t stop at the border with the daily export of goods by commercial vehicles moving between provinces.

“These changes will result in more flexibil-ity, higher productivity and lower costs for the trucking industry while still keeping our roads safe for all travellers,” said British Columbia Transportation and Infrastructure Minister Blair Lekstrom.

“Together, Alberta, Saskatchewan and Brit-ish Columbia are making it easier to do business in the West.”

Uniform rules for interprovincial trucking

Saskatchewan Premier Brad Wall, centre, signed the New West Partnership Agreement in April, 2010. To the left is British Columbia Premier Gordon Campbell while Alberta Premier Ed Stelmach, is on the right. Synchronizing trucking regulations was one of the key areas of the agreement men-tioned at the time.

File photo

Page 60: Pipeline News August 2011

B28 PIPELINE NEWS August 2011

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Page 61: Pipeline News August 2011

PIPELINE NEWS August 2011 B29

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Bonnyville, Alta. – M.A. Stewart & Sons Ltd. stood out at the Bonnyville & District Oil and Gas Show for being a Canadian-owned business since 1955 that continues to expand nationally and into the United States.

Th e company is also well known in industry

circles as a distributor of products that range from dependable utility valves to high performance, precision process con-trols and actuators for every commercial and industrial application.

Th e Bonnyville show June 22-23 was an op-portunity for the com-pany to promote their

products to a growing oil and gas market in West-ern Canada.

“We have a whole array of diff erent types of valves and fi ttings for the oil patch – anything from gate valves, globe valves and check valves to ball valves as well as trunnions,” said Rick Palamaruk, western re-

gional manager for Al-berta, Saskatchewan and Manitoba.

“We also provide automation whether it’s going to be pneumatic or electric.

“Our valves are for oil and gas applications as well as for commer-cial applications for new construction including commercial and institu-tional.”

M.A. Stewart’s strength in the market is based on its partnerships to distribute the top brands from major valve manufacturers such as

Kitz Corporation, Toyo Valve Company Ltd. (Red-White), Bonney Forge, Demco, Mueller Steam Specialties, and WKM.

M. A. Stewart was founded in Surrey, B.C., to meet the growing needs of the Canadian pipe, valve and fi ttings industry and now has four locations across Canada and three loca-tions in the U.S.

Palamaruk works at the Edmonton distribu-tion centre and says the company jumped at the chance to rent a booth

in Bonnyville to show-case their products to the oil and gas market in the region.

“I think there are some great opportuni-ties in the market and we are defi nitely fo-cused on promoting our products out here,” he said.

As for the show it-self, he said, “I think it’s fantastic. Th ere’s a whole depth and breadth of diff erent types of folks that are out here as far as displaying what the needs of this market. It’s a great show.”

M.A. Stewart fl ies fl ag for valves and fi ttings

Rick Palamaruk displays a steel ball valve with a pneumatic operated ac-tuator distributed by M.A. Stewart & Sons Ltd. The Canadian owned com-pany set up a booth at the Bonnyville oil show to tap into the growing demand for valves and fi ttings and actuators in the oil and gas market.

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Page 62: Pipeline News August 2011

B30 PIPELINE NEWS August 2011

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Bonnyville, Alta. – Hazloc Heaters warmed up to the challenge of pitching their industrial unit heaters for hazardous and severe duty locations to all comers at the Bonnyville & District Oil and Gas Show.

Th e Calgary-based heater manufacturer turned heads with exhibits of an explosion proof electric heater and a hydronic high performance (HHP) heater for safe oilfi eld, commercial and industrial applications.

“Th ey are for environments where there are hazardous gases or fumes or dust where you need heat for freeze protection or for comfort,” ex-plained Bob Taylor, account manager.

“If you have people working in an environ-ment where there could be explosive gases but you have to have heat, these heaters are designed so they won’t spark or cause an explosion.”

Hazloc’s explosion-proof electric unit heaters are typically used in the oil and gas industry for safe heating at gas plants, drilling rigs and refi ner-ies and designed to meet U.S. and Canadian certi-fi cation standards.

Th e units are also used for safe heat applica-tions in grain elevators, chemical storage sites and food processing facilities where potentially explo-

sive gases, fumes or dust can be found.All of Hazloc’s heaters including their steam

rig heaters are electric driven with built-in safety features that help sell the products.

“We have actually gone overboard on ours and have incorporated more than our competitor,” said Taylor. “Once they are installed, they will run for ever.

“Th e electric explosion-proof unit is a stand-alone unit. You just bring your wires into it, and everything else is done in the control box by us.”

Th e second unit on display was a HHP steam glycol heater for rugged industrial applications suited to the oilfi eld.

“Th is is used in conjunction with a boiler where you are running steam or glycol as your me-dium and you would run it through these heaters to provide freeze protection or comfort heating in a building,” said Taylor.

Hazloc’s steam rig heaters are designed for steam applications on drilling rigs where boiler neglect can lead to freeze-up conditions.

Th e company also supplies industrial heat-ing products for non-hazardous and severe-duty applications from its busy manufacturing base in Calgary.

Hazloc exhibits explosion proof heaters

Bob Taylor, account manager for Hazloc Heat-ers, pitched the safety benefi ts of his company’s heaters designed for hazardous and severe-du-ty locations at the Bonnyville & District Oil and Gas Show June 22-23. Taylor said he made valu-able contacts at the “reverse trade show” where exhibitors got to pitch their products to a panel of procurement employees from major oil com-panies in a short “elevator-type” speech.

“We are growing. We are only seven and a half years young, but we are growing all the time,” said Taylor.

“We have gone from half a bay to fi ve bays, and are increasing the staff all the time as well.”

Taylor says he jumped at the chance to par-ticipate in the Bonnyville show June 22-23 to tap into the growing oilfi eld and industrial market in the Bonnyville area.

“Th e show has been good,” he said on the opening day. “It’s been well worth coming up.”

Taylor was one of many exhibitors who took part in a “reverse trade show opportunity” to pitch his company’s wares to a panel of procurement leaders from Devon Energy, Cenovus, Imperial Oil, Osum Oil Sands Corp. and Husky Energy.

“Th e ability to talk to the people one on one was a big plus, but also having people coming by who are now seeing our heaters installed their fa-cilities and coming up and saying ‘I’ve seen them’ and asking what’s diff erent about them.

“Th e regular person on the shop fl oor doesn’t understand the diff erences, so being here has given me the opportunity to explain what we have done diff erently from our competitor.”

Hazloc heaters are sold mainly by direct sales with distribution in Saskatchewan by Choice Electrical Supply Ltd.

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Page 63: Pipeline News August 2011

PIPELINE NEWS August 2011 B31

Page 64: Pipeline News August 2011

B32 PIPELINE NEWS August 2011

Page 65: Pipeline News August 2011

PIPELINE NEWSSaskatchewan’s Petroleum Monthly

C-SectionAugust 2011

All smiles at the ribbon cutting are (l-r) Bruce Marriott, mayor of Vermilion; Debbie Hudson, administration manager, Lee Gottschlich, president of LMG and Lloyd Snelgrove, MLA Vermilion-Lloydminster and minister of Finance and Enterprise, Alberta.

Tank maker opens in Vermilion: Tank maker opens in Vermilion: Battleford nextBattleford next

Vermilion, – Balloons, catered food, speeches, handshakes and tours were part of the mix at the grand opening of a new tank fabrication plant by Leading Manufacturing Group Inc. in Vermilion on June 24.

It’s a scene that LMG president Lee Gottschlich expects will be repeated as early as next summer in Battleford where his company has purchased land near G.L.M. Industries that he co-founded with his brother Irv.

“Yes we are going to build another one in Sas-katchewan,” said Gottschlich before a crowd of about 150 well wishers and employees.

“Th e industry is going to move that way. Th e Vermilion plant will be our main plant. We will build satellite plants from Vermilion.”

Tank building is in his blood. He and his older brother, Irv, incorporated G.L.M. Equipment Ser-vices Ltd. in Nisku in 1977 and in Battleford in 1980 before that tank fabricating business was renamed G.L.M. Industries by new owners.

“I love the industry. I love the people and I love working with young people and it helps keeps you young,” said Gottschlich who says he is a hands-on individual.

Gottschlich also owns a sister company in Nisku called Kevtech Fabrication Inc. that makes equip-ment such as pre-fabricated ladders, platforms and fi re tubes for the Vermilion plant.

“We are also looking at – in six months we are going to have another shop in Nisku that is going to be building tanks as well,” he said.

Irv currently works at Sandborn Roofs Inc., an-other LMG Group company in Niksu that manu-factures patented full contact internal fl oating roof systems used in the tanks made at the Vermilion plant.

Asked what he thinks of the new plant, Irv said, “It’s great. It should be good for production and it will really be a benefi t to the industry.

“I hope it draws some new people into the com-munity and it adds to the infrastructure.”

Th e LMG plant in Vermilion is set up to build 100 to 3,000 barrel capacity steel tanks with an es-tablished market demand before the fi rst 1,000 bar-rel tank was produced on April 15.

“In the 1,000 barrel market, if we built this six months sooner, we still would have had a full shop right through the year,” said Mike Phillips, LMG’s Calgary sales and contracts manager.

“Th e demand as we see it right now – we can be at max capacity for the next two years, and that could be all booked by the end of this year.

“Th ere is a huge demand for us to commit to certain clients so that they’ve got guarantees for the next oncoming year so they will have the equipment they need.

“We can build anything up to 3,000 barrels, but our primary focus is 1,000 barrels. Th ere is still a demand for the larger tanks and they are a little tougher to ship.”

LMG uses the services of trucking companies such as B&R Eckels Transport Ltd. in Vermilion to ship FOB (freight on board) to all parts of Western Canada.

“Our target base is everywhere, all the way to Fort McMurray, south all the way to the Crowsnest Pass,” said Phillips.

“As far as east-west goes, we are shipping into northeastern B.C. and we are also shipping to Win-nipeg.”

Gottschlich says he chose to build in Vermil-ion because of its ideal location at the crossroads of Highways 41 and 16 and strong support from Lake-land College and the town. ► Page C2

Page 66: Pipeline News August 2011

C2 PIPELINE NEWS August 2011

◄ Page C1“Th e steel comes from Regina or from Vancou-

ver down Highway 16 so that’s perfect,” he said. “We have the college here. Th e college has a

great welding school pre-employment program and the town is just a friendly town to be in.”

In his grand opening speech, Gottschlich com-mented, “Last September this was a hay fi eld. Th e town has been so great to work with.

“If we were doing this back in a city like Ed-monton or Lloydminster or Nisku, we would still be at the approval stage. We wouldn’t even be in the ground yet.”

LMG purchased a seven acre site from the town last fall and began construction of the 53,000 sq.-ft. building in November in the industrial park at the east end of town.

More than 75 tanks have been produced in the fi rst two months of operations with a workforce of 63 employees that could ramp up to the 100 mark as the plant gears up.

“It’s all a function of manpower,” said Gottschlich. “So many hours goes into a tank and you can’t put 10 guys in a tank at a time – you can only have two or three on a tank. Th at’s why we run a day shift, a night shift and a weekend shift.

“Now we are getting consistency. We are getting people trained. A lot of people haven’t built tanks the way we build them.

“A lot of people build them vertically. We build ours horizontally all laying down until they get fi -nal fi tting then we stand them up, so really nobody works off the ground.

“We have a lot of welders and a lot of labourers. With our process we use a lot of labour and appren-tices at a certain stage.

“We are not robotic. It’s hard to do robotics. You

can do it, but we do very little stick welding – it’s all submerged metal arc – sub arc welding.

“All the shelves and the fl oors and the roofs are all put together by a machine and an opera-tor.”

Tom Lloyd, the own-er of Arrow Welding and Industrial Supplies Ltd. in Edmonton who sup-plies LMG with welding equipment by Lincoln Electric and Miller, was on hand to explain sub arc welding is a process where the arc of the wire is submerged in a fl ux to dissipate the atmospheric gases.

He also took time to say, “I think the plant is fan-tastic. I think it’s a wonderful thing for this area.”

Mayor Bruce Marriott was one of the happiest people at the ribbon cutting ceremony, expressing his thoughts on the economic spinoff s to come from the LMG plant.

“It’s a step forward in the direction the Town of Vermilion wants to have,” said Marriott.

“With Lee Gottschlich here, Leading Manufac-turing is one of the predominant factors that is going to kick it in for us.

“It’s a huge step for the community. Th ey have hired 63 employees, and we can see it by the enrol-ments in the schools, and the pleasantness of busi-ness owners saying that it’s a great deal.”

Marriott says the town has 35 serviced residen-

tial lots for sale in the Brennan subdivision to ac-commodate newcomers but what they badly need is more industrial land.

“We are moving in that direction immediately with highway commercial land which is our prior-ity right now,” he said.

“If things go like this, new business will just come themselves, and I think that will be a huge step.”

Gottschlich says his business philosophy is to purchase everything they can locally, including the use of local contractors hired to build the plant.

“It think you’ve already seen a real positive ef-fect from the community in regards to not only the employment opportunities but also from a purchas-ing standpoint,” he said.

“I think it’s huge and that’s something that we’ll see continually because we are always going to need.”

Irv Gottschlich, left, and his younger brother, Lee, shared the head table spotlight at the grand opening of the Leading Manufacturing Group Inc. (LMG) tank fabrication shop in Vermilion on June 24.

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Page 67: Pipeline News August 2011

PIPELINE NEWS August 2011 C3

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Hydrocyclone fi ts BAR’s facility profi le By Geoff Lee

Bonnyville – Th e Bonnyville & District Oil and Gas Show was the perfect opportunity to talk with Neal Noble about the facility en-gineering projects he oversees at BAR Engi-neering in Lloydminster as a principal owner/en-gineer.

Noble was also at the show as president of Center Force Tech-nologies. Ltd., a subsid-iary of BAR formed to market the liquid/liquid separation technology of the CANMET hy-drocyclone technology to heavy oil clients.

Th e hydrocyclone developed by Natural Resources Canada fi ts in well with BAR’s fa-cility work with its abil-ity to remove residual oil from produced water and convert slop oil into a marketable product.

BAR designs hy-drocyclone skids for installation at commer-cial heavy oil treatment operations and acquired a licence to market the technology.

“It’s not booming but we just delivered our fi rst unit up to a cli-ent north of Bonnyville and we are looking at another unit right away here in Lloydminster,”

said Noble.“We just put to-

gether a test skid to do some testing in the fi eld. Th is technology – you have to take it to the fi eld and prove to them that it works.

“We have kind of a single tube mini test skid that we take and hook up and prove the technology works. We have a client in town, and they are just picking a site to let us install it.”

Noble says the tech-nology has a lot of po-tential, but BAR’s busi-ness specialty is facility engineering and design for small to medium size projects.

“In the Lloyd area where we have a lot of focus, the thermal proj-ects – the pads – the SAGD pads and the cy-clic steam pads are in big demand as well as water transfer projects – ways of reducing operating costs,” said Noble.

“Th ere are a number of projects like that are in demand as well – wa-ter transfer and fuel gas and fl owlining projects.

“SAGD is obvious-ly a popular technology for the heavy oil sector. We’ve done a number of SAGD pads and a num-ber of upgrades within

SAGD facilities. “SAGD is certain-

ly a popular recovery method these days.”

BAR has completed facilities projects rang-ing from light and heavy oil batteries, thermal well sites, pipelines and gathering systems to produced water disposal systems and natural gas compression systems.

“When a client gives us a work request to start a project, we sit down and put an engi-neering cost estimate together and a project cost estimate together,” explained Noble.

“Once we get that approved, then we pro-ceed with the actual en-gineering design.

“We create an engi-neering design, issue it for construction, and we support the construc-tion on these facilities helping the guys in the fi eld.”

Noble says the de-mand for facilities en-gineering is increasing with the strong price for oil.

“Everybody’s look-ing to increase their production volumes, and with increased pro-duction volumes comes more facilities,” he said.

► Page C4

Neal Noble one of the principal owners and engineers of BAR Engineer-ing in Lloydminster answered questions about facilities engineering at the company’s booth at the Bonnyille & District Oil and Gas Show June 22-23. Noble was also there as president of Center Force Technologies Ltd. a subsidiary to market the CANMET hydrocyclone technology to heavy oil companies to treat produced water.

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Page 68: Pipeline News August 2011

C4 PIPELINE NEWS August 2011

◄ Page C3BAR’s facility work is focused in the Lloydminster area, but the company

also does facility engineering for a client in the Seal Lake area near Peace River where heavy oil has a similar viscosity.

“Basically, we are working for a client up there. We built the original battery and we are adding satellites and fl owline systems into that battery,” said Noble.

“It’s a very similar style project to what we are doing here in Lloyd.”BAR is full service engineering company with buildings, municipal, utili-

ties, rigs and cranes, and oil and gas divisions all backed by the latest design and drafting hardware and software.

About 20-22 engineers and draftsmen work in the busy oil and gas division with a total staff of about 65 employees at BAR’s offi ce in the Glenn E. Neilson Industrial Park.

“Our oil and gas side is the busiest,” said Noble. “Our municipal side is ex-tremely busy as well, but our oil and gas has been our bread and butter over the years and continues to be that way.

“We are always looking for opportunities to grow. We will continue to grow and diversify and look for new clients and new areas. We are heavily focused on growth and want to continue growing.”

BAR will celebrate its 30th anniversary this September with a party that is in the planning stages.

“Th e fi rst 10 years, we did a lot of consulting and fi eld supervision and a bit of design, “said Noble. “Th e last 20 years, we’ve been focusing on the facility design business.”

BAR’s oil and gas division also off ers a wide range of mechanical and process services, plus a menu of electrical and instrumentation design services and civil engineering and structural engineering expertise for projects such as pipe racks and building skids and tank bases made from structural steel.

“Mainly our focus has been on the small to medium projects,” said Noble. “We can’t compete with the large EPC (engineering procurement, construc-

tion) fi rms on these large projects. We just don’t have the manpower to do that.“We feel we are very competitive and we have a niche in the small to me-

dium projects.“We do a lot of pad work – header and piping design for the SAGD pads.

Th at’s a very typical one. “We also do small MOC management of change – such as changing a valve–

very small work as well. We have quite a range of projects. “We do small upgrades like making changes to existing headers and every-

thing from adding a valve to a full blown battery. We get quite involved with a wide range of size of projects.”

Noble says no matter what project he is working on he always fi nds it chal-lenging.

“If you are doing a good engineering design each facility is a little diff erent. Th e challenge is trying to do it for as cheaply as possible but still be operationally eff ective,” he said.

BAR Engineering does a lot of facility engineering for thermal operations like this one in northern Alberta.

Photo submitted

Focus on small to medium projects

Page 69: Pipeline News August 2011

PIPELINE NEWS August 2011 C5

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Lloydminster – Ridgeline Energy Services Inc. expects to complete its soil remediation facility in Lloydminster in August. Th e facility will use a process to transform contaminated oilfi eld soil into safe land fi ll cover for the city’s municipal landfi ll site.

Th e new facility being built by the company’s soil remediation subsidiary Ridgeline Greenfi ll Inc., is the fi rst of its kind for Saskatchewan fol-lowing the construction and operation of a similar plant at Drumheller, Alberta.

A second Greenfi ll soil treatment facility is slated for construction this fall in southwest Sas-katchewan.

Th e new Greenfi ll soil treatment facility will be used to transform contaminated soil into safe land-fi ll cover using Ridgeline’s proprietary technology that utilizes bacteria and microorganisms to break down hydrocarbons into CO

2 and water.

Once treated, these soils meet unconditional land usage criteria.

Ridgeline partners with municipalities and pays them a tipping fee for each load of non-hazardous oilfi eld waste in a revenue sharing arrangement.

“Th e residents of Lloydminster fully support initiatives that observe environmental best prac-tices,” said Jeff Mulligan, mayor of Lloydminster, following the issuing of an amended permit for the facility from the Saskatchewan Ministry of Envi-ronment.

“Th e recycle and reuse principles employed by Ridgeline will dovetail nicely with the city’s envi-ronmental philosophy while providing a revenue stream and cover material for our operations.”

Ridgeline’s technology is touted as being good for the environment since it treats the soil for reuse as opposed to storing the contamination indefi nite-ly in oilfi eld landfi ll sites.

“Th e municipalities we serve will realize a new source of revenue and the treated soil will meet an ongoing demand for landfi ll cover and capping or decommissioning material, said Tony Ker, chief ex-ecutive offi cer of Ridgeline.

“Producers benefi t from lower transportation costs and reduced liability.

“Conversely, conventional methods involve storing contaminated soils at approved Class 2 landfi lls which involve expensive trucking and dis-posal costs, and retention of liability by the pro-ducer of the wastes.”

Th e approval for the Lloydminster plant from the Ministry of Environment opens the door for additional soil treatment facilities in the province.

Ridgeline has agreements with four other municipalities in Alberta to build and construct GreenFill facilities within the footprint of a mu-nicipal landfi ll.

Ridgeline Energy Services Inc. is a Calgary-based environmental technology and consulting company focused on waste management in the oil and gas industry.

Its other subsidiaries are Ridgeline Water Inc. and Ridgeline Environment Inc.

At Ridgeline Water, the company is developing proprietary technology capable of effi ciently treat-ing large volumes of contaminated water generated by oil and gas producers.

Ridgeline is currently working with energy companies on the application of proprietary tech-nology for eff ective treatment of water for hydraulic

fracturing, oil sands process water (SAGD and tail-ings ponds) and to recycle the water used in these oil and gas industry applications.

Ridgeline to recycle contaminated soil

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Page 70: Pipeline News August 2011

C6 PIPELINE NEWS August 2011

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By Geoff LeeBonnyville, Alta.– An endorsement for the inaugural Bonnyville & District

Oil and Gas Show from Alberta’s Minister of Energy, Ron Liepert, is motivat-ing organizers from the local Chamber of Commerce to make the next show in 2013 an even bigger success.

Liepert generated a loud round of applause at the show banquet for compli-menting organizers for running one of the best organized oil and gas shows that he’s been to in Alberta.

“It was really gratifying to hear that the energy minister thought that we ran a fi rst class show,” said Robyn Ducharme, show chair and vice-president of the Bonnyville & District Chamber of Commerce.

“We are competing with Calgary and Fort McMurray. I think we really proved that we have a high-calibre show. We’ve got high-calibre people and high-calibre facilities to host an event like this.”

Th e organizing committee is now charged with the task of analyzing feed-back surveys from exhibitors and attendees and making improvements to gear up for the next show to be held June 19-20 in 2013.

“To make it better we will expand and tweak,” said Tanya Oliver, executive director of the Chamber on the fi nal day of the show held June 22-23 at the Centennial Centre.

“We are very happy and pleased to see it all come together. We’ve been getting great feedback and some good ideas for 2013 – but a really great fi rst impression from everyone.

“We will continue to focus on getting the right people to the show. We had to prove ourselves to a lot of people and we’ve done that this year. We were completely sold out.

“We will be giving our supporting companies the fi rst chance to come back.”

Organizers estimated total attendance at 1,980 including booth exhibitors as expected with $12,200 raised for Stars Air Rescue (STARS) from paid gate attendance and proceeds from the non-profi t event. ► Page C7

Thumbs up from Liepert for Bonnyville show

Alberta Minister of Energy Ron Liepert was the keynote speaker at the Bonnyville & District Oil and Gas Show banquet. He called it one of the best organized shows he’s attended. The show held June 22-23 featured a highly successful reverse tradeshow, free breakfasts and lunches for ex-hibitors and an opening night barbecue for exhibitors sponsored by Osum Oil Sands Corp. There was also a fun “gangster casino” at the banquet.

Page 71: Pipeline News August 2011

PIPELINE NEWS August 2011 C7

◄ Page C6One of the highlights was a

wildly successful reverse tradeshow in the Oilmen’s Room.

Representatives from oil pro-ducing companies that included Husky Energy, Devon Energy, Im-perial Oil, Osum Oil Sands Corp. and Cenovus were on hand to wel-come and listen to exhibitors pitch their products and services in short face to face meetings.

“We have had nothing but praise for the Oilmen’s Room reverse trade-show,” said Ducharme. “

“We are absolutely planning on expanding the Oilmen’s Room. We will be talking with the oil compa-nies that took part and seeing what they have to say about the room. Th ose surveys are being completed right now.

“Our exhibitors absolutely hands down said that was a great idea. We have fi ve companies in there this year. We are hoping we can double that number in 2013 and add another fi ve producers on board.

“Th e major focus is the exhibitor. We are treating them well. We are giving them breakfast, we are giving them lunch. Th ey are getting treated well, but their primary focus for coming here is to make some business networking contacts.”

Th e opening night barbecue at Moose Lake sponsored by Osum, and the show banquet also worked well to generate opportunities for exhibitors to intro-duce themselves to representatives from other oil and gas companies in relaxed situations.

“What we heard about the barbecue and the banquet was that it was just another great opportunity to network and have fun at the same time,” said Duc-harme.

Th e show also featured two days of educational presentations from represen-

tatives from 4 Wing Cold Lake, Im-perial Oil, Alberta Treasury Board, Petrobank, STARS and Centre Force Technologies Ltd.

Th e show helped to put Bonnyville on the map as a major oil and gas service centre and supplier to oilsand developments taking place throughout the region.

“Th ere is so much opportunity for growth and expansion here,” said Oliver. “Th is is such a good forum for businesses.

“It’s going to spur much more economic growth in the coming months and the years to come. Th is will be a trickle-down eff ect.

“It just proves the support that our community has for one another. It puts Bonnyville on the map.

“We are not just a small town. We are in the middle of the oilsands and we have such a huge concentration of not only producing companies, but service companies.

“Th e majority of companies in our show are in the area, but there is a large chunk of companies that are looking to see what we have to off er.

“Not only is it a great place for your business to thrive, it’s a wonderful place to raise a family. Th ere is so much opportunity here.”

Copy that enthusiasm from Councillor Jim Cheverie, a member of the Chamber’s board of directors and a pro-growth advocate for the region.

“Th is is one of the best things the town has ever done,” he said. “Th is oil show has been going on in Lloydminster and Grande Prairie and a

few other places for the last couple of decades. “We see here that Bonnyville and this region is a major service centre for the

southern oilpatch and we are extremely pleased to have this event this year.“Bonnyville is on the oil map. Th is is going to put a star next to Bonnyville

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Osum Oil Sands Corp. sponsored an opening night barbecue at Moose Lake in Bonnyville. Osum employees were on hand to welcome visitors who were bused to the site.

Successful revers tradeshow

Page 72: Pipeline News August 2011

C8 PIPELINE NEWS August 2011

Bonnyville, Alta. – Osum Oil Sands Corp. would like to start producing oil from its thermal Taiga project near Cold Lake in 2014, but the timeframe depends on when Alberta’s Energy Conservation Resources Board grants regu-latory approval.

Osum’s application submitted in 2009 calls for a commercial 35,000 bpd steam assisted gravity drainage (SAGD) bitumen project developed in phases with a small environmental footprint.

Osum is also considering a future amendment to increase daily production volumes to 45,000 barrels of bitumen.

“If our approval comes through as we expect, it will defi nitely be 2014,” said Stan Bergen, thermal operations superintendent, at the Bonnyville & District Oil and Gas Show on June 22.

“We are still hopeful that we will have approval this year. It’s in front of the board right now. If it does go to a hearing, the way the hearing schedule looks it might not be until March or April of next year. We will have to see what

happens.” ECRB hearings are held when there is an objection from a person who may

be directly and adversely aff ected by a proposed project.Bergen says a delay in approval could result from the ECRB being fl ooded

with project applications as the economy and strong oil prices continue to im-prove.

“Th ere are about 200 projects on the books for the next fi ve years in Al-berta,” said Bergen. “I think it’s very diffi cult for the board to deal with all those applications.

“Th ere are also the usual concerns that local people have that have to be addressed.”

Any delay in regulatory approval will not shorten the priority list of work that Bergen has on his plate in the lead-up to thermal production at Taiga.

“Right now, we are working on the detailed engineering with Jacobs Engi-neering,” he said.

“We also have PSN/Tartan (Production Services Network) working on our gathering lines and our pads to design that part of the project.

“We are also contacting diff erent drilling companies and looking at signing some agreements with diff erent drilling companies to make sure we have rigs lined up and ready to go as soon as soon as we do get approval.

“It’s a lot of work to do, and we need to add a lot of people, and do a lot of work to make sure we have all the engineering and everything ready so as soon as we get approval we can hit the ground running.”

Osum has also fi led a commercial application to expand its ongoing joint venture Saleski pilot in the Grosmont carbonates to a 12,000 bpd commercial project.

Osum is planning an extensive delineation program on its 100 per cent owned and operated Saleski holdings for this coming winter.

Th is program will include core well drilling and 3D seismic with a goal of expanding the resource base and positioning Osum for additional near-term commercial development.

At Taiga, Bergen says the initial production phase will be SAGD with the potential to end up with cyclic steam stimulation in 30 years time or use an-other technology yet to be invented.

“With technology changes, if there is something better that comes out and we get SAGD to work in these thinner pay zones at the outer ly-ing area of our holdings, then we will be using whatever new technol-ogy is available at that time,” Bergen said.

As for his role at Taiga, Bergen says he will be in charge of the entire fi eld operation and coordinate all of the things that are go-ing on in the fi eld.

► Page C9

Osum Oil Sands Corp. caught the atten-tion of visitors to the Bonnyville & District Oil and Gas Show June 22-23 with a catchy dome like booth at the foyer of the Centennial Centre.

Osum preps for pending Taiga approval

T h a n k - Yo u to our Sponsors, Exhibitors and Attendees of to our Sponsors, Exhibitors and Attendees of

the 2011 Bonnyville Oil & Gas Show.the 2011 Bonnyville Oil & Gas Show.

We raised $12,200 for STARS!!We raised $12,200 for STARS!!

Check out www.bonnyvilleoilandgasshow.com for more information on our next show June 19th & 20th, 2013Check out www.bonnyvilleoilandgasshow.com for more information on our next show June 19th & 20th, 2013

Page 73: Pipeline News August 2011

PIPELINE NEWS August 2011 C9

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◄ Page C8“I will be in charge of the plant operation with the drilling team to make

sure the drilling schedule meets our operations schedule and planning schedule and coordinate all those things.

“Right now, what we are working on is our staffi ng planning, hiring plans and writing operating procedures and looking at training procedures and manu-als, and what kind of companies can supply those services for us.”

Bergen says Osum currently has a staff of about 65 employees, 10 to 15 con-sultants at a time and a few contractors hired with more hiring to come based on a number of inquiries the company received at the oil show.

Osum sponsored food, beverages and a barbecue at the show and greeted visitors under a unique dome booth in the foyer of the Centennial Centre.

“We are trying to get our name out in the community,” said Bergen about his company’s exposure at the show.

“We want people to recognize us and understand that we are going to work with the community to help develop local entrepreneurs and local businesses and help them be successful so they can help us be successful.

“It’s nice to see that there is a really strong robust group of entrepreneurs here that can support us.”

Osum also took advantage of its oil show opportunity to promote its green development plans for Taiga and a decision to use evaporator technology to reduce water usage.

“It will allow us to reuse water,” said Bergen. “We will not be using any fresh water on the project. We are going to be using brackish water and using that for feed water for our boilers.”

Other environmental features will include a waste disposal well to reduce truck traffi c and a cogeneration plant to increase energy effi ciency and reduce the carbon footprint.

“Our whole plan in general has been designed to limit the exposure to the environment and people as much as possible. We are doing things that are new technologies,” said Bergen.

“It costs more money to invest in some of these newer technologies, but I think it’s the right way to go for the industry. It allows us to have that smaller footprint.”

Lining up the services

Osum’s thermal operations superintendent, Stan Bergen, right, fi elds questions at the company’s visitor booth at the Bonnyville & District Oil and Gas show.

Page 74: Pipeline News August 2011

C10 PIPELINE NEWS August 2011

A non-destructive testing company in Estevan Saskatchewan & Virden, ManitobaX-ray, Gamma Ray, (pipeline crawlers), Ultrasonic (shear wave and corrosion surveys) Magnetic Particle, Liquid Penetrant,

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Bonnyville, Alta. – Osum Oil Sands Corp. scored a public relations coup at the Bonnyville & District Oil and Gas Show by having employees wear catchy blue let-tered statements on white T-shirts that got people talking.

Th e corporate colour shirts were a hit at the opening night barbecue sponsored by Osum and throughout the show June 22-23 at the company’s unique Blue Lounge in the foyer of the Centennial Centre.

Th e PR campaign was the brainchild of Justin Robinson, Osum’s manager of communication who was asked about the goal of the capital Blue lettering wearing a shirt that asked, “Do you ever wonder why the sky is Blue?”

“We just wanted to create an easy way to spark conversations with people – some-thing that described a bit of the personality of the company in a mysterious, fun way and just make it fun for people to approach us, and have something to talk about,” he said.

“It’s a way to grab attention and be a conversation starter.

“It’s really positive. People have say-ing that’s really diff erent and interesting. We’ve had lots of compliments on the Blue Lounge.

“We wanted it to feel cozy on the in-side and a place to come and sit down and relax.”

Some other notably T-shirt slogans sported by employees at the Blue Lounge were “I’m Blue like a crayon,” “My Blue

suede shoes come CSA approved,” and “Just call me Mr. Bluesky.”

Th e Do you ever wonder why the sky is Blue? T-shirt was also worn by Stan Ber-gen, thermal operations superintendent, who had an answer ready just in case some-one asked and someone did.

“I believe it’s the water vapour that re-fl ects blue light. Th at’s why the sky is blue,” he said, eager to talk about the intent of the PR program at the Blue Lounge.

“Our communication guy, Justin, is defi nitely very creative. He comes up with a lot of things to get people to notice us and pay attention to us,” said Bergen.

“We do want to be diff erent. We do want to be more community orientated.”

Osum is a Calgary-based junior in-situ oilsands explorer that is poised to get regulatory approval this year for its planned 35,000 barrel a day commercial Taiga ther-mal project near Cold Lake with a small environmental footprint.,

Th e company has an ongoing joint venture thermal pilot in the Grosmont carbonate formation at Saleski in northern Alberta.

“We want to be more environmentally friendly – more conscious of what our foot-print is going to be to make sure we limit our impact on the local community and on the environment,” added Bergen.

“We want it to be more of a team type of atmosphere. We want to attract workers as well and show people that we are out here and that we are going to need more staff .”

Osum’s “Blue” PR campaign a hit

Justin Robinson, manager of communications at Osum Oil Sands Corp. is the brainchild of a creative public relations program that had people talking about the company’s thermal oilsands proj-ects at the Bonnyville oil and gas show June 22-23.

Page 75: Pipeline News August 2011

PIPELINE NEWS August 2011 C11

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Lloydminster – Plainsman Manufacturing Inc. based in Edmonton has developed a new generation of downhole accessories that can withstand the high torque loads of PC pump applications in horizontal, slant and deviated heavy oil wells.

Th e new downhole products, designed and man-ufactured by Plainsman, are the PowerTorq tubing drain and the ToughTorq shear coupling, both en-gineered to be more durable and prevent downtime for producers.

Th e new generation of PowerTorq tubing drain has a safety feature that is literally gripping the mar-ket according to Dean Segberg, sales representative for Lloydminster and southern Saskatchewan.

“Rig crews can now use power tongs on surface to run the tubing drain into the string,” he said.

“Th at way they are not having to use pipe wrenches and snipes, which obviously can be very dangerous if not done correctly.”

Th e new, more compact design allows for rapid installation with power tongs and has an improved thread design that allows multiple rebuilds.

Having a recessed bite area for the power tongs to grip also prevents a sleeve failing due to any burr-ing or scarring from tong pressure.

“We have talked to a lot of service rig leaders in heavy oil, and they all agree that they don’t see an issue with that at all,” said Segberg.

“In all their years, they have never seen a sleeve fail. Especially now with having a recessed bite area, we have zero doubts that sleeve won’t blow past a burr.”

► Page C12

Dean Segberg with Plainsman Manufacturing in Lloydminster, holds the company’s newest gen-eration ToughTorq shear coupling engineered specifi cally for PC pump applications.

Plainsman raises the downhole torque bar

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Page 76: Pipeline News August 2011

C12 PIPELINE NEWS August 2011

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◄ Page C11Th e PowerTorq tubing drain allows service rig

crews to reliably drain production tubing prior to pulling out of the hole which prevents pulling wet tubing and oil spills that can result.

“It’s mainly for heavy oil, but we are seeing some applications in southern Saskatchewan,” said Segberg about the product.

“When you get into the Moosomin area, they do have a little bit more sand, so we do have companies that are interested in this.

“Because that southeast Saskatchewan area is re-ally booming now, guys are taking things more seri-ously like environmental and safety issues.

“Rather than have a farmer knocking on the door of an offi ce complaining about an oil spill –something as simple as running a tubing drain so crews aren’t pulling wet tubing strings can help.

“If you keep the farmers happy, you will be off to the races.”

One of the new selling features of Plainsman’s ToughTorq shear coupling is its redesign specifi cally to withstand heavy torque loads in PC pump applica-tions.

Shear couplings are used to reliably separate the rod string from the bottom hole assembly when the pump seizes or the rod gets stuck.

Th is prevents the diffi cult and environmentally messy process of pulling tubing and rods out simul-taneously.

“If your pump is stuck or your rod string is stuck, this is the piece you would shear to ensure you are not pulling everything out at one time – you are pulling out only what you need to pull out,” said Segberg.

“Our old shear coupling worked well, but it wasn’t an optimal shear coupling for PC applications.

“We designed this to get a longer run life, so guys aren’t having to go back to a well in three months time and workover a well just to change a shear cou-pling.

“It gives them more time producing the well and less downtime which is the optimization we want for all of our customers.”

Th e new ToughTorq shear coupling has a number of features that increase resistance to fatigue failures in horizontal and deviated wells to keep oil produc-tion going.

“Th e old style coupling was designed primarily for up and down action,” said Segberg.

“Th is new one, because it is rotating, we have staggered the pins, so that means the torque is also going to be distributed properly.”

Th e ToughTorq shear coupling is ideal for recip-rocating and rotating rod applications and for con-tinuous and conventional sucker rods.

“Some of the features are improved internal torque transmission,” said Segberg.

“We redesigned the key as a hex design instead of a square design, so now there are six shoulders to handle that torque load and transfer the torque more effi ciently than the old four shoulder design.

“It has a shorter overall length. Th at means it is going to be lighter down in the rod string. It’s more fl exible to handle the rotational torque issues.”

Plainsman has sold hundreds of thousands of shear couplings and drain tubes over the years, and Segberg says sales of the new generation products are also strong, especially for the shear coupling.

“We have had a really good reaction to it,” he said. “Plainsman has been an industry leader for over 45 years in shear coupling design and manufacturing and tubing drain manufacturing design.

“Th e fact that we have a new product and we have our name behind it – people take us seriously. We are not introducing a new technology. We are introduc-ing an improvement on an older, proven design.

“People are willing to try it based on our name alone because they know they can trust us.”

Plainsman is a Canadian-owned company that has been manufacturing and distributing a variety of products for oilfi eld production, pipeline mainte-nance, and construction gas and water distribution and other industrial applications since 1966.

One of the keys to Plainsman’s successful new product launch is their sales model to distribute prod-ucts like the PowerTorq tubing drain to PC pump shops in Western Canada who sell it along with a PC pump.

“We support the local pump shops. We don’t sell to end users direct,” said Segberg. “We go through the pump shops, so that way if a company calls on Saturday night wanting a pump, our drain will go out with it because they stock the drains.

“When the drain comes back, that local pump shop gets the revenue from rebuilding the tubing drain. We support the people who support the oil companies.”

Redesigned shear coupling

Page 77: Pipeline News August 2011

PIPELINE NEWS August 2011 C13

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Bonnyville, Alta. – Heavy June rainfall in southeast Saskatch-ewan has generated a fl ood of orders for oil-fi eld access mats made with Aboriginal labour in Lac la Biche Alberta by the Canadian Access Mat Corporation.

“Th e demand has kind of changed in the last two weeks from zero to 180,” said CAMCO business de-velopment representa-tive Naomi Migas, who staff ed a product booth at Bonnyville and Dis-trict Oil and Gas Show June 22-23.

Migas said the phone is also ringing off the hook at her Cal-gary head offi ce from oil companies in Este-van and Weyburn look-ing for available rentals of rig matting.

“Th ey have been re-questing access matting and rig matting because everything is just so wet. Th ey can’t get into their sites,” she said.

“Th ey can’t have anything set up – the drill pads – they can’t

even do that. What is happening down there right now is just wet, wet, wet.”

Th e City of Wey-burn declared a state of emergency when the city was deluged by 100 millimeters of rain in a two day period June 16-17.

“For the safety of the men and the equip-ment they just can’t move the rigs right now so they need the matting to go in,” said Migas.

“We are possibly looking at expanding into Weyburn but we will wait and see what happens fi rst.”

Matting is also in demand by oil com-panies to protect na-tive grasslands in the Lethbridge area and in northern Alberta to provide a safe road bed for heavy trucks over wet or unstable ground.

CAMCO access mats are made from Douglas fi r in 8 by 14 ft sizes that can be built on location with their portable rotating jig

technology.“If a company needs

to have any local labour content within their project, we can move it to them,” said Migas.

CAMCO’s busi-ness model is to focus on maximizing em-ployment and business opportunities for First Nations and Mëtis

workers and local com-munities to build access mats with quality ma-terials that area com-petitively priced.

To build a one ki-lometre, 16-ft. wide roadway requires an or-der for 470 mats placed side by side. A one km two-lane road requires a purchase order of 940

mats.Rental rig mats are

8 by 40 ft. and held to-gether by I-beam steel construction. It takes 164 mats laid side by side to create a one km single lane route. Th e two lane one km rig mat requires an order for 328 mats.

CAMCO mats can also be used for power line construction, ice roads, storage sites for pipe and casing and serve as a camp base substructure or a he-licopter pad – but in-dustry inventory is low due to a wet spring and

early summer.“We have even got

calls f rom the compe-tition looking for mats because there is just nothing out there,” said Migas.

“Anybody needing them for the winter drilling season – they better start ordering it now because there is just no inventory out there right now.”

Delivery arrange-ments are up the customer but Migas suggests customers contact MAC Truck-ing Ltd. in Lac La Biche.

Sask fl oods swamp oilfi eld mat supplier

Naomi Migas, a corporate business develop-ment representative from Canadian Access Mat Corporation based in Calgary, said heavy rains in southeast Saskatchewan and parts of Alberta have spiked demands for rig matting rentals and sales of access matting that is made by Aborigi-nal labour in Lac La Biche. Migas staffed a booth at the Bonnyville Oil Show June 22-23.

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Page 78: Pipeline News August 2011

C14 PIPELINE NEWS August 2011

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Kelro thrives in new manufacturing baseKelro thrives in new manufacturing baseLloydminster – It takes an experienced hand at Kelro Pump & Mechanical

Ltd. to orient visitors to the full scope of valued added surface pump products and services off ered inside their new 15,000 sq. ft. shop.

Th e job of a guided tour fell initially to president Gordon Rohs, then to his son, Brent Rohs, who handles technical inside sales at the new offi ce/shop com-plex located at Kam’s Industrial Park just west of Lloydminster on Highway 16.

Th e move to a larger location last November allows the company to meet the growing demand for sales and service of surface pumps, air and gas compressor systems and process equipment for oilfi eld facilities and batteries.

“It has changed our operation substantially,” Gordon said. “We are more ef-fi cient. At our other shop, we had to move a lot of equipment to get at what we needed to work on.

“We increased our size by about two and half times which has really in-creased our effi ciency and our ability to work.”

Th e new shop includes a parts department, product assembly space, a ma-chine shop, a fabrication shop and an industrial engine reconditioning facility with a four-and-a-half acre yard for storage of used pumps and equipment.

Kelro also has a smaller shop in Provost. Th ere is strong sales and service growth at both locations being driven by an uptick in oilfi eld activity and a strong demand for the company’s value- added service and pump equipment packages.

“We are busy. We are hiring people. We are fl at-out busy here and at our Provost branch,” said Gordon.

“Surface pumps are in demand and getting more in demand every day. As ‘patch production’ increases, everything ramps up at the same speed.

“I don’t think anyone is into the packaging end as intensely as we are.”“We are surface pumps specialists. We do all kinds of fl uid transfer pumps

and pumps for water injection. “We package new pumps. We will put a pump and a motor onto a skid and

package it for an application at a new or an existing facility. “One of our specialties is value-added packages. We can custom design and

build packages to suit any need for almost any application.”Kelro can supply surface pumps in all power ranges, fl ow ranges and pressure

ranges for all types of applications. ► Page C15

Brandon Sergeant, a journeyman mechanic, conducts a laser alignment on a centrifugal pump package mounted on a skid.

Millwright Dennis Greening does a laser alignment on a motor and pump assembly. Kelro specializes in custom pump packages for facilities.

Page 79: Pipeline News August 2011

PIPELINE NEWS August 2011 C15

◄ Page C14Kelro supplies pumps from a wide range of

manufacturers and assembles custom packages in-house.

A typical pump package would include either an electric motor, hydraulic driver or a gas-driven engine coupled to a pump possibly with some pip-ing and controls.

Th e pump assembly process includes a laser alignment of the pump and motor to lengthen the life of the mechanical seals, bearings and coupler and prevents vibrations.

“Every pump that goes out of here on a skid

has a coupler system on it and gets a laser align-ment,” said Gordon, who stressed doing everything in-house is the key to quality control and meeting the needs of customers.

Gordon just happened to have a fi nished turn-key shack housing a pump and skid package that was custom-made in-house and ready for shipment to prove his point.

“Th at’s what the customer had requested. It’s a complete package with all the instrumentation and all the piping and everything needed to drop it on location and make it work,” he said.

“One of the pumps is a recycle pump for recy-

cling oil and the other is a skim pump to skim oil off the water tank.

“It will hook up to his oil tanks and his water tanks and connect back to a treater or something like that.”

Kelro has a fully tooled manual machine shop where it makes its own parts and refurbishes pump parts that are worn out.

“We will re-sleeve, re-polish and rebuild shafts or whatever is necessary. We can redo bushings for all of our pump rebuilds that require that service,” said Gordon.

► Page C16

Crews tie up loose ends on a Moyno pump package ready for shipping.Photo submitted

Machinist George Gravet mills a boring bar for oilfi eld engine blocks at Kelro’s manual machine shop.

Pumps from a wide range of manufacturersPumps from a wide range of manufacturers

Page 80: Pipeline News August 2011

C16 PIPELINE NEWS August 2011

SEWEURODRIVE

www.kelro.com

◄ Page C15“We also have a

fully tooled engine ma-chine shop where we do all of our boring, honing and rebuilding engines – redoing heads, valves, guides – everything you need to do to rebuild an oilfi eld engine.”

Brent Rohs says business is picking up on all fronts in the new building with more growth to come.

“I think we had three ads in the paper last month that were all new positions that we’ve never had here before,” he said.

“Th at just goes to show how much this company’s growing and how busy we are here. We have grown from 20 employees to 29 in a couple of years.

“We are way more organized here than we were in our old facility. It just makes everything run more effi ciently. We can put a better product out.

“We are doing the same thing we did out of our old shop, but we are way more effi cient and have way more room.

“We package a lot of equipment here, wheth-er it is just a pump and motor on a base or a complete turnkey pack-age. Th ere’s lot of stuff going out of here every week,” said Brent.

“Th ings are getting busy and there’s no end in sight. As long as the

patch stays busy we will be busy.”

Kelro has a total of fi ve service trucks in Lloydminster and an-other fi ve in Provost to service what they sell to oilfi eld customers throughout Western Canada.

“We service what we sell. Th at’s kind of our motto,” said Bent. “Anything that goes out of here – we keep parts in stock. We’ve got ser-vice trucks on the road every day. All of our guys are trained to ser-vice everything.

“We pride ourselves on the service we pro-vide and that goes a long way, I guess.”

Kelro is an OEM (original equipment manufacturer) packager of centrifugal pumps, gear pumps, plunger pumps and progressive cavity pumps.

Th e company is continually expanding its OEM distribution agreements, product lines and service and warranty capabilities.

Kelro is authorized to sell and service Com-pAir air compressor products and assembles all kinds of packages “with dryer systems and fi lters – the whole nine yards” as Brent put it.

“We do all the ser-vice work and dewpoint testing on all the dryer and compressor sys-tems.”

Brent also has a solid

background rebuilding pumps and equipment in the shop that enables him to establish a sales and service rapport with customers.

“I understand how pumps work and I can relate to what the client is trying to do with it in the fi eld,” he said.

“Th at’s a bonus I guess knowing how the equipment works in the fi eld,” Brent concluded.

Welder Wayne Kohlman cuts material on a band saw for a custom pump skid at Kelro’s fabrica-tion shop.

Kelro can put together a variety of pump packages including solids han-dling centrifugal pump packages. Photo submitted

Fully tooled machine shopFully tooled machine shop

Page 81: Pipeline News August 2011

Resources Resources GuideGuidePIPELINE NEWS August 2011 C17

516 Nesbitt Drive, Estevan • 634-2631(Behind Power Dodge)

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Lance WotherspoonRegional Sales Manager

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TERRY DODDS(24 hrs.) (306) 634-7599

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Box 208 Estevan, SK S4A 2A3

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Box 609 Bus: (306) 634-8084Carlyle, SK Cell: (306) 577-8833S0C 0R0 Fax: (306) 453-6075www.truetorq.ca [email protected]

JUSTIN WAPPEL - Division Manager

401 Hwy. #4 S. Biggar, SaskatchewanPO Box 879 S0K 0M0Ph (306) 948-5262 Fax (306) 948-5263Cell (306) 441-4402 Toll Free 1-800-746-6646Email: [email protected]

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Lloyd Lavigne • Kirk ClarksonOwners/Managers

6506 - 50th AvenueLloydminster, AB

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Page 82: Pipeline News August 2011

C18 PIPELINE NEWS August 2011

Career Career OpportunitiesOpportunitiesEmployment and Investment Opportunity

OILFIELD PROFESSIONALA local business is seeking an entrepreneurial-minded, self-moti-vated individual to manage all aspects of the business operations. Company and contacts are well established and has been in busi-ness for 20 years. The company offers a dynamic work environ-ment including a competitive salary with investment opportunities. Bene ts included.

Responsibilities include but are not limited to:- Business growth in the oil patch- Promotion and distribution of oil eld products- Management of a small team of employees

Quali cations of the right individual:- Extensive knowledge and connections in the local area oil patch- Proven business development strategies - Skilled leadership and motivation abilities- Exceptional customer service- Ability to work independently- Has a vision of growth and strategies for implementation - Valid safety tickets including CPR, First Aid, WHIMIS and H2S Alive- Valid driver’s license with a clean driver’s abstract - Reasonable investment under $100,000

Thank you for your interest but only those selected for an inter-view will be contacted. Please mail or fax your resume to:

MANAGER OF OPERATIONSBox 950, Estevan, SK, S4A 2A7

Fax: 306-634-7828

Pipeline & Crew Foremen,

Operators & Labourers Required

Must have all safety tickets & drivers license. We will also require a 3 year drivers abstract as well.

We off er competitive wages and an excellent benefi t package.

Please drop off resume at: 403 Kensington Avenue or contact:

Mike Brasseur at 634-4554 or 461-8111or

Brad Alberts at 634-4554 or 461-8153

Essential Coil & Stimulation Services is a company recognized for safety and excellence within the oil and gas industry. We strive to provide a good working relationship with our customers. Currently we provide services throughout Alberta, Southern Saskatchewan and Manitoba. Essential Coil offers competitive wages, scheduled days off, group bene t plan and employee savings plan. If you are an energetic team player with superb attention to detail and strong communication skills, we invite you to apply for the following posi-tions.

Operations Manager/SalesCoil Tubing OperatorsCoil Tubing Helpers

Class 1 driver’s license is preferred, but all class of drivers are welcome to apply.

Previous oil eld experience & valid tickets are an asset.Email or fax your resume & a current driver’s abstract to:

[email protected]: 403-580-8906

Regina – Th e school year ended for Prince Philip School in Saskatoon the same way it did last year on a winning note.

A work of art by Grade 8 student Ariana Faul was chosen as the fi rst place Saskatchewan winner in the 2011 Energy and the Environment Art Contest on June 27.

In 2010, both fi rst-and second-place winners from Saskatchewan attended Grade 8 at Prince Philip.

Th e national contest is the brainchild of Natural Resources Canada and is co-ordinated in Saskatch-ewan by the Ministry of Energy and Resources.

Th is year, 534 entries were received from Sas-katchewan schools.

Ariana Faul’s award-winning artwork titled

“Drowning in Pollution” will be featured in an up-coming Energy and the Environment Poster being published by Natural Resources Canada and distrib-uted to teachers across Canada.

Ariana’s work will also be featured in the Youth Art Gallery on the Climate Change Saskatchewan website located at www.climatechangesask.ca and in the Kid’s Club Art Gallery on the Natural Re-sources Canada website at www.oee.nrcan.gc.ca/calendarclub.

Zachary Rohel, a Grade 8 student from An-naheim School in Annaheim, Sask., was selected as second-place winner.

His artwork, titled “Green Light” is also avail-able for viewing on the Climate Change Saskatch-ewan website.

“Students have such passion and insight into how they want to see the world they will inherit,” said Energy and Resources Minister Bill Boyd.

“Th e contributions of the students of today will have an impact on our country’s environmental and conservation policies of the future.”

Both students will receive their awards and prize packages, which include laminated copies of their winning artwork, at presentations in their re-spective schools. A $300 donation was also made to the fi rst-place winner’s school resource centre.

Th e Energy and the Environment Art Contest has been running since 1991, encouraging elemen-tary school students to depict wise energy use and conservation through artwork.

Prince Philip reigns in energy art

Ariana Faul, a Grade 8 student from Prince Phillip School in School in Saskatoon is this year’s winner of the Energy and the Environment Art Contest. Her winning design is titled “Drowning in Pollution” that will be featured in an Energy and the Environment Poster published by Natural Resources Canada for distribution to teachers across Canada.

Zachary Rohel, a Grade 8 student from Annaheim School in Annaheim, Sask., was selected the second-place provincial winner. His artwork titled “Green Light” is available for viewing on the Climate Change Saskatch-ewan website along with Faul’s winning entry.

Page 83: Pipeline News August 2011

CareerCareerOpportunities

PIPELINE NEWS August 2011 C19

Cathodic ProtectionCathodic ProtectionTechnician / LabourerTechnician / Labourer

Immediate permanent full time position. Experience an asset but not required.

Must have a valid drivers license. Competitive wages and benefits.

Email: [email protected] those chosen for interview will be contacted.

Mail or drop off resume to: #6, Hwy 39 E PO Box 1338 Estevan, SK S4A 2K9 Fax: 306-634-4476

AlliedAllied Cathodic Cathodic Services Services L.P.L.P.

Get in theGet in thedriver’s seat!driver’s seat!

BILL McCOLMANBILL McCOLMANOILFIELD HAULINGOILFIELD HAULINGis currently looking foris currently looking forfull timefull time

TRUCKTRUCKDRIVERSDRIVERSwith Clean Class 1 license to haul with Clean Class 1 license to haul uid in the Brooks, AB. area. Com- uid in the Brooks, AB. area. Com-petitive wages, scheduled days off, petitive wages, scheduled days off, home every night. Candidates must home every night. Candidates must be able to pass a pre-employment be able to pass a pre-employment drug and alcohol test. Current oil eld drug and alcohol test. Current oil eld safety tickets are an asset.safety tickets are an asset.

Please drop off,fax or send your

resume andabstract to:

Human ResourcesDept.

[email protected], AB.

T1R 1C5 or fax:403-362-7822

is accepting applications for

Experienced Fluid Haulersto work in the Lloydminster area

•7-3/7-4 schedule (some nights)• Competitive wages with premium for nights worked

• Oil eld experience & valid H2S and First Aid tickets requiredFax resume with driver’s abstract to:

780-745-2852 or e-mail [email protected]

is accepting applications for

Lease Operatorsfor oil eld hauling in the Lloydminster area

Fax resume with driver’s abstract to:780-745-2852 or e-mail [email protected]

Offering Competitive wages

Plus Bene ts

Experienced Pipe tters

Call Scott at 306-460-7771

Required atCall Us Oil eld Maintenance

in Alsask, Sask.

Central Alberta trucking company seeking Class 1 drivers

Experienced in transportingdangerous goods.

Super B experience an asset.Bene ts available.

Scheduled days off.Fax resumes to: 403-742-4181

Do you want to work for a progressive company that takes safety seriously and uses today’s newest technologically advanced equipment? If your answer is “yes”, we are interested in talking to you!We are currently seeking to fi ll the following positions in the Provost, Consort and Lloydminster areas.

Well Servicing Division

Slant Rig Crew for Contract WorkVertical Rig: Derrickhands & Floorhands

All applicants must have a valid driver’s license, as well as all of the required industry training for the position they are applying for. We offer higher than industry standard wages, an exceptional employee benefi ts package, several employee incentive programs and unlimited opportunity for advancement.

If you want to grow with a company where you are known by your name and not your employee number, please forward your resume to:

CWC WELL SERVICESBox 1360

3803 52nd AveProvost, AB T0B 3S0

E-mail: [email protected]

Quality people delivering quality service.

Offering Competitive wages

Plus Bene ts

Experienced Pipe tters

Call Scott at 306-460-7771

Required atCall Us Oil eld Maintenance

in Alsask, Sask.

Class 1A, Heavy Duty Tow Truck Drivers for the Lloydminster area. Full time, Permanent Position.

Will Train. Abstract Required.

Call John or Ginette 1-888-875-8111

orSend Resume to

Fax: 780-846-0005Email:

[email protected]

is an industry leader in Safety Services and is currently seeking

Safety Personnelto keep up with increasing customer demands.

If you are interested in becoming part of the TargetTeam and enjoying our growth with us, let us know!

Employment Opportunity

Please forward resume with copies of tickets to:

[email protected] or fax to780-870-5359

Page 84: Pipeline News August 2011

CareerCareerOpportunities

C20 PIPELINE NEWS August 2011

LOCATION LEADER ROLES wwww.howtogotoagsi.com

For Both Our Wainwright & Provost Locations

Andrukow Group Solutions Inc., a progressive Ag solutions company seeks two individu-als to maximize the overall profitability and efficiency of existing Ag facilities in both Provost and Wainwright. Individual will provide leading edge, high quality agronomic

service and support to grain farmers in their respective location. Skills:

Recommend sound agronomic recommendations of crop inputs to clients. Provide leadership and coaching to the sales, administrative and shop & warehouse staff at their location. Provide leadership in building relationships and negotiating with seed and pesticide manufac-turers and distributors. Manage the operational and fiscal activities of the whole location to meet or exceed estab-lished profitability targets. Ensure sufficient levels of seed, fertilizer and chemical inventory are maintained on site and purchased just in time to meet client needs.

Experience

Proven leadership skills with a strong entrepreneurial spirit. Demonstrated understanding of agricultural industry and agronomic practices. Ability to work independently and contribute to building a strong team. Proven organizational and logistic skills. Exceptional communication skills and proven business acumen.

Submit your Resume to [email protected] Only individuals selected for an interview will be contacted.

COME JOIN OUR VIKING TEAM! wwww.howtogotoagsi.com

2 Client Care Positions Required Immediately

Andrukow Group Solutions Inc., a progressive Ag solutions company is seeking two individuals to complete yard work and support sales and customer service activities.

Responsibilities will include maintenance and support for a wide range of agricultural, blending and delivery equipment at our Viking, Alberta location.

Skills: Responsible for equipment repair and maintenance. Follow established procedures for loading and receiving product. Assist with the coordination and record keeping of seed, fertilizer and chemical inventory. Experience in working with and setting up a preventive maintenance program.. Provide outstanding customer service by referring customers to the appropriate Andrukow Group Sales team member, or when possible, solving problems first hand. Differentiates Andrukow Group Solutions from its competitors by continuously developing and implementing higher quality, safety and efficiency actions that results in saving of time or money.

Experience:

Completion of TDG, WHMIS and First Aid. Proven computer skills. Experience in mechanics and agriculture a definite asset. Valid Class # preferred but not required.

Submit your Resume to [email protected] Only individuals selected for an interview will be contacted.

Vac Truck Driver Positions Availablein Saskatoon, Saskatchewan

Class 3A or 1A Required

Why Apply?Envirotec offers very competitive wages, comprehensive benefits package, group RRSP plan, world-class training, and an opportunity for promotion to other positions within the company. Envirotec offers a safe, fun, and family-orientated work environment.

Saskatoon is Canada’s fastest growing city. Take advantage of it’s booming economy, affordable housing, welcoming environment and family friendly atmosphere. Apply today!

To apply please call Human Resources at 1-877-244-9500Resumes may also be submitted via email to [email protected]

or by fax to 306-244-9501

We’re Hiring!Visit envirotec.ca for more career opportunities!

SANJEL IS A 29 YEAR PRIVATELY OWNED COMPANY THAT IS PROUD TO OFFER:

A Work Environment where Safety is our FIRST Priority A Committed Team Culture & Work Ethic Industry Leading Wages PLUS Outstanding Bonus Packages and Benefits Commitment to Employee and Family Care Dedication to Employee Development with Company Paid Training Relocation, Rotation & Seasonal Options Available Referral Bonus Program and Other Rewards

Acidizing Cementing Coiled Tubing Fracturing Nitrogen

Canada USA International

- WE are HIRING in ESTEVAN -

Bring your Resume and Current Abstract to our District Office located at 901 Edward Street, Estevan SK

Talk to us about joining Team Sanjel TODAY!

- Pumping Services Supervisors - Bulk Plant Operators - Pumping Services Operators - Class 1, 3 & 5 Drivers

Labourers Required• Class 5 drivers licensed and safety

tickets preferred.

Tubular Repair Operator• Class 1A drivers a must

• Competitive wages and excellence bene t package available.

Interested individuals can fax resume to (306) 634-8025

Contact your local pipeline sale rep. to get

28,000 Circulation on your career ad!

Page 85: Pipeline News August 2011

Ca

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sPIPELINE NEWS August 2011 C21

HUNTING ENERGY SERVICES (PIPE DIVISION) LTD.

Hunting Energy is currently looking for a dynamic individual to fill the position of

THREAD/CONNECTION SUPERVISORCandidate must work well with people, have good communication skills,

can multi-task in a fast pace environment, 24 hr.–7 day/week. Previous experience with tongs, thread inspection, and thread supervision.

Hunting offers competitive salary, plus day rate, and benefits package.

Fax: 780-955-8764

Email: [email protected]

o o o o o o o

o o o

o o

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OVER 50 YEARS STRONG IN OILFIELD CONSTRUCTIONARNETT & BURGESS Oilfield Construction LimitedOOOOiiiillllffffiiiieeeelllldddd CCCCoooonnnnssssttttrrrruuuuccccttttiiiioooonnnn LLLLiiiimmmmiiiitttteeeeedddddRRNNEETTTT && BBUUURRRGGEEESSSSSSSSSSS OOOOOiillffiieelldd CCCCCCoonnssttrruuccttiioonn LLiimmiittee

NOWNOW Hiring

Contact your local Pipeline News Sales rep. to get you 28,000

Circulation on your career ad!

Specifi c Targeting

WANTED - Part or full time truck drivers needed

must have 3A or 1A licenses. - Part of full time heavy equipment

operators.Experience and tickets an asset but not necessary should the applicant apply.

Please send resumes by fax 306-685-2267

or email: [email protected]

Fax: (780) 872-5239

Page 86: Pipeline News August 2011

Career Career OpportunitiesOpportunities

C22 PIPELINE NEWS August 2011

Calfrac has grown from a small oilfield services company to an international leader in fracturing and coiled tubing well services.

Rotational OpportunitiesWe’re hiring rotational employees for our Western Canada operations.

3-weeks-in, 2-weeks-out field positions:

2-weeks-in, 2-weeks-out maintenance positions:

Call us: Fax us: Apply online:

Lloydminster - Estevan

Apply online today at: www.frontierpeterbilt.com

While Frontier Peterbilt appreciates all applications received, we advise that only candidates under consideration will be contacted. Thank you for your interest for employment with Frontier Peterbilt Sales.

Frontier Peterbilt Sales Ltd. is an enterprising truck dealership with operations in Saskatoon, Regina Lloydminster and Estevan. Our ongoing development and phenomenal growth in the Truck Sales industry are evidence of the company's commitment to offering customers a comprehensive range of products which perform at optimum efficiency and provide valuable benefits.

We have built a high level of customer trust and satisfaction through our new and used truck inventory and parts availability and reliability, strong geographic presence, premium service, and unparalleled value. We have a strong mandate to continue to grow in the marketplace and to provide quality service for sales, repairs, and maintenance.

Frontier Peterbilt Sales Ltd. continually offer opportunities for our employees' career development, we have created an organization and a working environment aimed to attract, empower, reward, and retain the most dedicated, talented, and passionate individuals.

These positions offer a competitive and comprehensive compensation package.

Estevan •Heavy Duty/Truck & Transport

Technician •Used Truck Representative

•Service Manager •New Truck Sales Representative

Lloydminster •Branch Manager

•Heavy Duty Technician •New Truck Sales Representative

•Parts Person

EEmployment Opportunity

Safety Instructors If you have a great deal of experience and training in the oil and gas industry and are looking for a change, the Saskatchewan Energy Training Institute is looking for instructors!

Instructors require good presentation skills, industry experience and willingness to travel in the southeast region to deliver programs both at College campuses and off-site locations. The Saskatchewan Energy Training Institute is currently recruiting instructors in the following areas:

Enform Certified Programs

Fall Protection for Rig Workers and Rig Rescue - 2 years field experience Fatigue Management - 1 year instructing experience General Oilfield Driver Improvement - Class 1A + ice road/muskeg experience Hours of Service for Owners and Carriers - Class 1A + trucking experience Detection & Control of Flammable Substances - Experience with gas detection equipment

Other Certified Programs

Global Ground Disturbance - 2 years field experience of exposing lines Overhead Crane and Rigging - Related field experience with crane units Powered Mobile Equipment - 2 years operating experience St. John Ambulance CPR/First Aid/AED - St. John’s certification an asset Supervisory Skills - 3 years in a supervisory role

Please send resumes to:

Keith Madu, Director Saskatchewan Energy Training Institute Email: [email protected] Fax: (306) 634-8060

Page 87: Pipeline News August 2011

PIPELINE NEWS August 2011 C23

V

BAKKEN DISPOSAL ALTERNATIVE FOR DRILLING AND PRODUCTION WASTE CCS Corporation’s Arcola Disposal Facility is open for business

Deliver your produced water and frac water to the Arcola Disposal Facility, and know it is being handled and disposed safely and responsibly.

Work with a leader in oilfield waste management. CCS sets the standard in safe practices, and environmental stewardship.

New waste oil credit program has provisions that allow for reduced disposal costs, or even a possibility of a return.

Expanded service options are being developed for treatment, recovery and disposal of additional waste streams.

CCS Midstream operates these waste facilities in Saskatchewan:

Location Telephone number Location Telephone number

Arcola Disposal Facility 306.455.2431 Lomond Landfill 306.456.2212

Gull Lake Landfill 306.672.3300 Marshall Water Disposal 306.387.6507

Gull Lake TRD 306.672.3300 Marshall Landfill 306.387.6507

Kindersley Landfill & TRD 306.463.6220 Unity Cavern 306.228.3001

Open 18 hours daily, and right off the highway, the Arcola Disposal facility is convenient and ready for your delivery.

VisionGlobal leader in the environmental and energy service sectors.

MissionFirst choice provider of safe, environmentally responsible services.

PurposeTo safely protect the air we breathe, the water we drink and the ground we walk on.

www.ccscorporation.cawww.ccsmidstreamservices.cominfo@ccsmidstreamservices.com

The right way to dispose of it; right where you need it.

Hours of Operation: 6 a.m. – 12 midnight

Location: 1.7 km east of Arcola, on the north side of Highway 13

Facility Manager: Blaine Potter 306.672.7720

Area Marketer: Brian Potter 306.741.2744

Licensed by Saskatchewan Ministry of Energy and Resources

Waste streams accepted: produced water, frac water

Arcola Disposal Facility Now recruiting operators Arcola Disposal Facility

Arcola Kisbey 13

13

13

605

605 604

Page 88: Pipeline News August 2011

C24 PIPELINE NEWS August 2011

Design - Engineering - Manufacturing

www.metaltekmachining.com

ABSA Registered • Conforming to ISO and API Standards • 24hr Service

780 - 875 - 6535

The Metaltek Team Will Take Your Ideas To The Next Level

Metaltek shares your passion for New Technology, from adapting existing equipment to designing new products. We are committed to Quality Control at the highest levels in the industry. Our State-of-the-Art Facility provides innovative manufacturing capabilities. We continue providing Cost Effective solutions at all levels from stocked parts to prototyping.