Japan's second largest upstream company said subsidiary Japan Canada Oil Sands Ltd (JACOS), which owns a 75% stake in the project, plans to export the increased production to refineries in the US which have the capability to process the heavy crude created from mixing Alberta's bitumen with ultra-light crude oil and condensate. Partner Nexen Inc, which holds the remaining 25%, is due to make a decision on its C$300-million share of the investment by the first quarter of 2013. The Calgary-based firm, which has just been acquired by China's CNOOC Ltd in a massive C$15 billion deal, is expected to greenlight the project as it has just approved the design and execution plan for Hangingstone's expansion. It is believed that Japex had previously been unable to implement the project as cash-strapped Nexen did not have the funds to go along with the proposed expansion.