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Long-life resource
Proved plus probable reserves of 1.8 billion barrels of Syncrude Sweet Blend would allow us to produce for more than 35 years at productive capacity of about 47 million barrels annually, while 3 billion barrels of estimated recoverable resources would extend that life to about 50 years at expanded productive capacity of 67 million barrels annually. |
Production growth
Through Syncrude's future growth plans, our annual productive capacity is expected to increase from 47 million barrels, or an average 129,000 barrels per day, to 67 million barrels, or 184,000 barrels per day, late in the next decade. |
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High-quality, light crude oil
Canadian Oil Sands Trust provides direct exposure to crude oil prices as all of our production is unhedged and of a light, sweet quality, which receives a price that historically has approximated West Texas Intermediate at the plant gate. Syncrude expects to improve the quality of its entire production to Syncrude Sweet Premium in 2008. |
Cash distributions
Canadian Oil Sands Trust intends to move to fuller payout of free cash flow (operating cash flow less capital expenditures and reclamation contributions), unless capital investment growth opportunities exist that offer Unitholders better value. Production growth and a long reserve life support strong generation of free cash flow and long-term sustainability of distributions. |
