On March 15, 2005 a valve failure at the Scotford Upgrader resulted in the shutdown of Train 1. The valve was quickly replaced and the upgrader returned to full operation. However, over the weekend an unacceptable temperature variance in the exterior wall of one of the residue hydro-crackers (RHC’s) in Train 1 necessitated another shutdown of the train. To ensure the integrity of the RHC, the unit will need to be flushed out and then slowly brought back up to operating temperature. This process is expected to take approximately 10 days. The second train at the upgrader and both trains at Muskeg River Mine continue in full service. As a result of this outage, Shell expects production of synthetic crude oil in March will be reduced by approximately 25 per cent. The Muskeg River Mine is located about 75 kilometres north of Fort McMurray, Alberta. The Scotford Upgrader is located in Fort Saskatchewan, northeast of Edmonton. Together, these facilities make up the Athabasca Oil Sands Project, a joint venture of Shell Canada Limited (60 per cent), Chevron Canada Limited (20 per cent) and Western Oil Sands L.P. (20 per cent). Media Inquiries:
Janet Annesley
Public Affairs, Oil Sands
(403) 691-2023 Investor Inquiries:
Jim Fahner
Manager, Investor Relations
(403) 691-2175 This document contains “forward-looking statements” based upon current expectations, estimates and projections of future production, project startup and future capital spending. Forward-looking statements include, but are not limited to, references to future capital and other expenditures, drilling plans, construction activities, the submission of regulatory applications, refining margins, oil and gas production levels, references to resources and reserves estimates. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements involve numerous risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Corporation. These risks and uncertainties include, but are not limited to, the risks of the oil and gas industry (including operating conditions and costs), demand for oil, gas and related products, disruptions in supply, project schedules, the uncertainties involving geology of oil and gas deposits, the uncertainty of reserves estimates, fluctuations in oil and gas prices and foreign currency exchange rates, general economic conditions, commercial negotiations, changes in law or government policy, and other factors, many of which are beyond the control of the Corporation.
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