The Lloydminster Heavy Oil Value Chain includes thermal and non-thermal upstream heavy oil production, including cold heavy oil production with sand (CHOPS), enhanced oil recovery (EOR) assets and the Tucker Thermal Project, and the Lloydminster Upgrader and Asphalt Refinery.


Lloyd Thermal Projects

The majority of Husky's heavy oil assets are located in the Lloydminster region of Saskatchewan and Alberta.

The Company uses repeatable, modular construction templates to build its Lloyd thermal projects. Eleven projects are now producing, including the Dee Valley development which came online in 2019, adding 10,000 bbls/day of production.

Commissioning is under way at the 10,000 barrel-per-day Spruce Lake Central thermal bitumen project.

Cold Heavy Oil Production

The Company uses cold heavy oil production with sand (CHOPS) methods in its heavy oil operations.

Tucker Thermal Project

Tucker is located about 30 kilometres northwest of Cold Lake, Alberta. It achieved production of 30,000 bbls/day in October 2018.

Lloydminster Upgrader

Located in Lloydminster, Saskatchewan, the Upgrader converts heavy oil to a high-quality, low-sulphur synthetic oil. It also produces diesel fuel.

Feedstock for the Upgrader includes heavy oil from Saskatchewan and northeastern Alberta, including from Husky's Lloyd thermal projects and the Tucker Thermal Project. The synthetic crude is used in the production of gasoline and diesel fuels in refineries in Canada and the U.S.

Byproduct sulphur is sold and used to produce fertilizer and various chemicals, including sulphuric acid. Byproduct petroleum coke is sold for use in fuel boilers or cement kilns, as well as into the calcining market for use in the aluminum industry.

Asphalt Refinery

The Husky Lloydminster Refinery is located in Lloydminster, Alberta and produces more than 30 different types and grades of road asphalt from heavy oil. These range from road oils used for dust abatement to highway-grade asphalt.

It also produces a condensate that is blended with heavy oil production, a kerosene distillate and gas oil which is processed at the Upgrader into low-sulphur diesel and Husky synthetic blend.