Robin Johnstone, general manager for Teck Resources Ltd., updated the municipality on the Frontier Oil Sands Project.
The project has an estimated construction cost of $20.6 billion with an annual expenditure of $220 million and would generate approximately $3.6 billion in annual property tax payments to the Regional Municipality of Wood Buffalo (RMWB).
First oil is expected in 2026 and produce an estimated 260,000 barrels of bitumen per day.
“In terms of socio-economics, we would anticipated up to 7,000 construction jobs and 2,500 jobs in operations,” said Johnstone.
The location is 110 kilometers outside of Fort McMurray on the West side of the Athabasca River and would be accessible through Highway 63 and a new bridge.
“It would be a fly in and fly out operation due to it’s distance from Fort McMurray and a commitment we have made to the community of Fort Chipewyan,” said Johnstone.
Mayor Melissa Blake put pressure on Johnstone about the company’s plans to transport workers saying “the fly in and fly out situation is something that raises the hackles on peoples necks.”
She would like the company to utilize the city’s airport, help support the local economy and employ local workers, as would Councillors Germain, Meagher and Stroud.
Johnstone assured that the company’s primary goal is to support the community and that there are plans in place to possibly have two week shift rotations for local workers via busing.
They have also been working on building relationships with local Indigenous communities and are developing participation agreements on environmentalism and employment.
The project is set to have a 40 year life span.
