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The 2013 Outlook contains forward-looking information and users are cautioned that the actual amounts may vary from the estimates disclosed. Please refer to the "Forward-Looking Information Advisory" section of this MD&A for the risks and assumptions underlying this forward-looking information.
Major Projects
The following tables provide cost and schedule estimates for Syncrude's major projects. Regular maintenance capital costs for years after 2013 will be provided on an annual basis when we disclose the budgets for those years, and are currently estimated to average approximately $10 per barrel over the next few years.
Major Projects - Total Project Cost and Schedule Estimates(1)
Estimated % Total Cost Total Cost Complete Target Estimate Estimate at In-Service Accuracy Mar 31, ($ billions) (%) 2013(2) Date----------------------------------------------------------------------------Mildred Lake Mine Train Replacement Syncrude $ 4.2 +15%/-15% 45% Q4 2014 COS share 1.6Aurora North Mine Train Relocation Syncrude $ 1.0 +15%/-15% 60% Q1 2014 COS share 0.4Aurora North Tailings Management Syncrude $ 0.8 +15%/-15% 75% Q4 2013 COS share 0.3Centrifuge Tailings Management Syncrude $ 1.9 +15%/-15% 15% H1 2015 COS share 0.7----------------------------------------------------------------------------
Major Projects - Annual Spending Profile(1)
Spent to($ billions) to Dec 31, 2012 2013 2014 2015 Total----------------------------------------------------------------------------Syncrude $ 2.6 $ 2.4 $ 2.3 $ 0.6 $ 7.9Canadian Oil Sands share $ 1.0 $ 0.9 $ 0.9 $ 0.2 $ 3.0--------------------------------------------------------------------------------------------------------------------------------------------------------(1) Major projects costs include capital expenditures, excluding capitalized interest, and certain development expenses.(2) The estimated percentage complete is based on hours spent as a percentage of total forecasted hours to project completion.
In May, Syncrude will begin the planned relocation of the first mine train at the Aurora North mine. The second mine train is scheduled to be moved in August 2013. Each mine train relocation is anticipated to take about 65 days. Syncrude has enhanced its preventative maintenance program on its mine train fleet in advance of the relocations to support uninterrupted bitumen supply during the relocation periods. Syncrude expects to complete both mine train relocations by the end of the year with close-out and clean-up work continuing into the first quarter of 2014.
Canadian Oil Sands plans to finance the major projects primarily with existing cash balances and cash flow from operations.
The major projects tables contain forward-looking information and users of this information are cautioned that the actual yearly and total major project costs and the actual in-service dates for the major projects may vary from the plans disclosed. The major project cost estimates and major project target in-service dates are based on current spending plans. Please refer to the "Forward-Looking Information Advisory" section of this MD&A for the risks and assumptions underlying this forward-looking information. For a list of additional risk factors that could cause the actual amount of the major project costs and the major project target in-service dates to differ materially, please refer to the Corporation's Annual Information Form dated February 21, 2013 which is available on the Corporation's profile on SEDAR at www.sedar.com and on the Corporation's website at www.cdnoilsands.com.
