Husky Energy says it hopes to be in a position next year to decide on whether to go ahead with the West White Rose extension project.
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In the meantime, engineering design and other work continues in order to try and extract more oil "to increase capital efficiency," according to a company news release Tuesday.
The project will be considered for sanction in 2017.
The extension project would prolong the life of the White Rose field, which is located some 350 kilometres offshore.
The expansion had initially called for a concrete gravity structure to be built in Argentia.
But in late 2014, Husky said it was re-evaluating its options for another type of platform.
Earlier this year, Malcolm Maclean, Husky's Atlantic region vice-president, effectively ruled out a decision on sanctioning the project in 2016 due to "a lot of volatility in oil prices."
'Our vitals are strong'
In the update provided Tuesday, Husky said it plans to spend between $2.6 billion and $2.7 billion on capital expenditures next year.
"Our vitals are strong, including a solid balance sheet, a low break-even and a high return portfolio," said CEO Rob Peabody in the media release.
The company predicts it will produce in the range of 320,000 to 335,000 barrels of oil a day next year.