Transcript Slide 1
Alberta’s Oil Sands
-STS
331, 4/28/08
-Presented by
-Jeremy Drucker
-Erin Litwin
-Alex Lowe
-Whitney Wadman
The Oil Sands
Estimated 1.7-2.5 trillion barrels
of oil
World’s
largest reserves behind
only Saudi Arabia.
173 billion barrels are estimated
to be recoverable with today’s
technology.
Different from the light, sweet
crude found throughout Texas
and Middle East.
Bitumen;
a heavier, more viscous
and carbon-rich form of oil.
The Extraction Process
Open pit mining
Trucks
are used to clear trees, draining
the top layer of the earth to expose the
ore body
Decimates what were once thriving,
old-growth boreal forests
Steam Assisted Gravity Drainage
(SAGD)
Steam
is injected into the oil sands,
which heats the bitumen, lowering its
viscosity and causing it to rise to the
surface.
Sand is left in place, while oil migrates
towards strategically placed wells.
Big Production
Current Production is around 1 million barrels per day
Projected
to rise to 3 million by 2020 and 5 million by 2050
Investment in oil sands development topped $10
billion in 2005
The Environment: Land
Clear away top soil,
sand, clay, gravel and
muskeg
Alters natural
landscape
Reclamation?
Syncrude Canada Ltd
The Environment: Water
Water use
2 to 4.5 volume units for each
volume unit of synthetic crude
oil
Athabasca River, but also from
Mildred Lake
359 million m³ from the
Athabasca River per year
Recycling
Tailing ponds
Water likely to seep into group
water
The Environment: Energy and Air
Pollution
Burning of fossil fuels
1.0 to 1.25 gigajoules of
energy are needed per
barrel of bitumen
Mainly coal and oil used
Oil sands are responsible for
3% of Canada’s greenhouse
gas emissions
Largest contributor to
growth in Canada’s
greenhouse gas emissions
in coming years
Prevent from reaching
Kyoto targets
Formation of the CEMA
Cumulative Environmental Management Association
Registered not-for-profit, non governmental organization
Established June 2000
Monitors oil sands region
48 members
All levels of government
Industry
Regulatory Bodies
Environmental Groups
Aboriginal Communities
Local Health Authority
Members of CEMA and Goals
Governments and agencies that manage and supervise
oil sands development.
Aboriginal groups ensure that traditional way of life,
culture, and environmental awareness is respected and
upheld.
Industry that is committed to cooperate with
conscientiousness, the responsible development of
resources, and economic growth and opportunity.
Health agencies that are focused on promoting public
wellness and preserving public safety.
Environmental non-government organizations that are
concerned with guarding and promoting environmental
sustainability.
The 2008 Election
Oil sands emerged as a
prominent campaign
issue
Pembina Institute
Conducted allcandidate poll
Political vs. Public
opinion
Public favored
government regulated,
environmentally
conscious
development
Campaign Results
Progressive Conservatives
Alberta highly conservative
Victorious by large margin,
have been in power since
1971
Traditionally focused more on
economic growth than
environmental concerns
Little real action taken so far
“The Government of Alberta should suspend new oil sands
approvals until infrastructure and environmental
management issues are addressed in the oil sands
region.”
Natural Resource Regulation
The Provincial Government is responsible
for regulating the Oil Sands
Reduces
the degree to which citizens of other
provinces may have a say in development
The Federal Government has power over
air quality regulation, which is intimately
tied to the Oil Sand Development
Problems with the Provincial
Government
David Ebner, of the Globe and Mail,
characterizes the ruling Conservative
party as least likely to engage citizens
and take their views into account
when making policy
Talk
about economic factors surrounding
their plurality
The provincial government created a
commission to develop
recommendations and summarily
dismissed their report
2 Approaches to having a say in Oil
Sand Development
Cumulative Environmental Management
Association
Creation
of a report of environmental
regulations that apply to Oil Sand
development
Regulators have been overwhelmed - this guide
was necessary to ensure existing regulations were
enforced
2 Approaches to having a say in Oil
Sand Development
Pembina Institute
Increasing
transparency by creating report cards for
each facility
Allows for an objective comparison between mining
techniques
The hope is that the most efficient and least harmful
practices will be recognized and become most common
Looking Forward
A more participatory model is needed
Albertans as well as Canadians at large should have a direct say
in development
The provincial government, which realistically has a monopoly
on regulation, needs to be more receptive to the views of the
citizens
There need to be increased reporting and transparency
Provincial government recently passed regulation requiring new oil
sands investments, by 2012, to store all carbon emissions
Pembina, independent analysts: Rules fall short
CAPP: Rules are unfair to business
Current regulatory system is inadequate, Alberta risks selling its
future for a large payday today
Works Cited
Canada’s Oil Sands. Deloitte and Touche Report. April 10, 2008.
<http://www.deloitte.com/dtt/leadership/0,1045,sid%253D124506,00.html>
Canadian Association of Petroleum Producers. April 10, 2008. <http://www.capp.ca/def ault.asp?V_DOC_ID=1>
Carroll, Joe. “Oil Group to Press Canada to Postpone Emissions Rules.” Bloomberg.com March 11, 2008.
<http://www.bloomberg.com/apps/news?pid=20601082&sid =aZoFADt sJT4U&ref er=canada>
"CEMA Homepage." Cumulative Environmental Management Association.
<http://www.cemaonline.ca/component/option,com_frontpage/Itemid,1/>.
Davies, Travis. Personal Interview. 17 April 2008.
Government of Alberta. “Alberta issues first-ever oil sands land reclamation certificate.” Alberta news release.
19 March 2008. Government of Alberta. 19 April 2008 <
http://www.alberta.ca/home/NewsFrame.cfm?ReleaseID=/acn/200803/23196C88 80E90-A0E1-9CE01B3799BC38A51E3E.html>.
Griffiths, Mary et al. “Troubled Waters, Troubling Trends.” May 2006, 1st Edition. The
Pembina Institute. <
http://pubs.pembina.org/reports/TroubledW_Full.pdf>.
Oil Sands Discovery. Canadian Institute of Mining, Metallurgy and Petroleum. April 10, 2008. <
http://www.oilsandsdiscovery.com/>
Pals, Fred. “Shell, Exxon Face Higher Costs on Carbon Limits.” Bloomberg.com April 20, 2007.
<http://www.bloomberg.com/apps/news?pid=20601087&sid =aGFnQKjmJ L0s&refer=home>
Suncor Energy. April 10, 2008. <www.suncor.com>
Syncrude Canada Limited. April 10, 2008. www.syncrude.ca
Tar Sands. Sierra Club of Canada Prairie Chapter. Sierra Club Prairie. 16 April 2008
<http://www.sierraclub.ca/prairie/tarnation.htm>.
The Government of Alberta. “Oil Sands Consultation: Multistakeholder Committee
Interim Report.” Oil
Sands Consultations. 30 November 2006. Government of
Alberta. 10 April 2006 <
http://www.oilsandsconsultations.gov.ab.ca/docs/
InterimReport_Appendix_FactSheet.pdf>.