Canadian junior eyes first US oil sands project

Cuppa US: US Oil Sands raises $11 million

REUTERS

Luke Johnson

 25 May 2012 19:52 GMT

Toronto-listed US Oil Sands has closed on an $11 million private placement that will help the junior explorer fund development of what would be the first commercial oil sands project in the US.

The PR Spring Commercial Bitumen Mining Project is located in the Uinta basin in eastern Utah.

“These initial funds will allow us to initiate construction on our PR Spring project, the first commercial oil sands extraction project in the US,” chief executive Cameron Todd said in a statement.

US Oil Sands said it expects to begin preparation work this summer, with installation and field construction set to begin in the middle of next year.

The company said it has already issued work orders for fabrication of long-lead equipment.

Production at the first 2000-barrel-per-day phase is expected to start up in the…

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