kaybob duvernay program overview

Chevron Canada employee looking at a shale gas drilling platform in the Kaybob Duvernay region

Chevron Canada has an industry-leading position in the emerging Duvernay resource play near Fox Creek, Alberta, approximately 260 km northwest of Edmonton. Chevron Canada has a 70 percent owned and operated interest in approximately 330,000 acres in the liquids-rich Duvernay formation. KUFPEC Canada Inc., a wholly owned subsidiary of the Kuwait Foreign Petroleum Exploration Company, holds a 30 percent nonoperated interest in Chevron Canada’s Duvernay leaseholdings.


Acres in the emerging Duvernay resource play


Operated interest held by Chevron Canada


Acres selected for initial development in the East Kaybob area

Chevron Canada commenced an exploration program in the Duvernay in 2011, subsequently drilling 16 horizontal wells and completing 13 wells using multi-stage hydraulic fracturing. In the second half of 2014, Chevron Canada commenced a pad drilling program to evaluate well production rates and reservoir performance. Drilling continued during 2016 on an appraisal and land retention program. A total of 122 wells had been tied into production facilities by early 2019.

developing our asset

In November 2017, Chevron Canada announced it was moving into development on approximately 55,000 net acres of its operated position in the Duvernay play. It is anticipated approximately 250 wells will be drilled and completed in the initial development area known as East Kaybob. The program will utilize long-term infrastructure development and service agreements with Pembina Pipeline Corporation and Keyera Corporation, with service expected to be available during the second half of 2019.

Chevron Canada’s operations in the Fox Creek area include ongoing community consultations, engagement with First Nations and participation in the Fox Creek Operators Group.

"We are taking a staged, scalable approach to developing our Duvernay resource position. This disciplined approach will allow us to continue to grow our production while generating significant positive cashflow and earnings for the corporation."

Alan Dunlop

Vice President, Asset Development, Chevron Canada

profile of our kaybob duvernay program

profile of our kaybob duvernay program

Once inaccessible, shale gas and tight oil have become a major source of global energy. The Duvernay formation is a key focus area for Chevron Canada and is considered one of the most promising shale opportunities on the continent.

For the latest figures, view the 2018 Supplement to the Annual Report.