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Oilsands | Pembina Institute

 
Alberta's Oilsands Climate Impacts Water Impacts Tailings Reclamation Air Pollution

Alberta’s Oilsands

The oilsands underlie approximately 140,000 square kilometres of Alberta, an area about the size of Florida.1
  • The land area open to oilsands leases covers about 20% of Alberta.2
  • Alberta’s oilsands are primarily found in three deposits: Athabasca, Cold Lake, and Peace River.3
Alberta’s first oilsands mine opened in 1967.4
  • The company that started that mine, Great Canadian Oilsands Company, is now called Suncor Energy.5
  • Industrial interest in the oilsands goes back as far as the early 1700s, when local First Nations fur traders brought oilsands samples to the Hudson’s Bay Fort Churchill post.6
Almost 60% of the total oilsands area has been leased to companies for extraction.
  • As of June 2009, the Alberta government had granted 85,000 square kilometres of oilsands leases.7
  • The government grants oilsands leases without an environmental assessment.
Oilsands operations either surface mine the ore or extract the bitumen using in situ techniques.8
  • Surface mining is used for oilsands deposits that are less than 75 metres underground.
  • Deeper deposits are recovered using techniques that heat and extract the bitumen “in place” (in situ) so it can be pumped to the surface.
The surface mineable area is larger than Greater Vancouver.
  • The surface mineable area covers 4,750 square kilometres in the Athabasca Oilsands Region.9
  • With surface mining, the area is first cleared of trees, then the muskeg is drained of water and removed and then the underlying clay, silt and gravel is removed to expose the oilsands deposit.
  • Large shovels excavate the oilsands and load it in giant trucks that transport it to an extraction plant where heat and water separate the bitumen from the sand.10
By July 2009, mining operations had disturbed more than 686 square kilometres of boreal forest.11
  • The developed mining area is as big as Waterton Lakes National Park.
  • In total, 1,352 square kilometres have been approved for surface mining operations as of January 2009. 12
Oilsands suitable for in situ extraction underlie 135,250 square kilometres — nearly 30 times as large as the surface mineable area.13
  • In situ extraction is performed by drilling several wells into the deposit, using steam to heat and separate the bitumen, and then pumping the bitumen to the surface.14
  • Most in situ oilsands deposits are 350 to 600 metres below the surface.15
  • The two main types of in situ technology are steam assisted gravity drainage (SAGD) and cyclic steam stimulation (CSS).
Alberta’s oilsands are the second largest petroleum reserve in the world, second only to Saudi Arabia’s crude oil reserve.16
  • The Alberta oilsands contain reserves of between 1.7 and 2.5 trillion barrels of crude bitumen.17 Of that, an estimated 171.3 billion barrels can be recovered using current technology.18
  • In comparison, Canada has an estimated 5.4 billion barrels of conventional crude oil reserves, of which 2 billion barrels are in Alberta.19
  • Approximately 18% of the bitumen is surface mineable and 82% is suitable for in situ extraction.20
In 2008, 45% of Canada’s total oil production came from the oilsands,21 and that proportion is growing yearly.
  • In 2010, 55% of Alberta’s oilsands production (or 825,000 barrels per day) was from mining operations, with in situ operations producing the other 45% (or 664,000 million barrels per day).22
  • Currently, less than half of the total oilsands production was exported out of province as non-upgraded bitumen. This proportion of non-upgraded bitumen exports is projected to rise from 42%, or 554,000 barrels per day in 2009 to 52% of total production, or 1,528,000 barrels per day by 2019.23
Canada’s oilsands continue to rapidly recover from the recent recession. A doubling of current industry size has already been approved.24
  • Operating design capacity is currently at 1.90 million barrels per day, with 4.11 million barrels per day already approved by the provincial and federal governments.25
  • In comparison to production capacity, oilsands operations produced 1.5 million barrels of bitumen per day in 2009,26 up from 300,000 barrels per day in 1999.27
  • Industry forecasts suggest production rates will increase to 2.2 million barrels per day by 2015 and to 3.5 (CAPP) million barrels per day by 2025.28
Individual oilsands projects do not operate in isolation. Every new project that is approved adds to the cumulative environmental impacts associated with development in the Fort McMurray region.
  • The Royal Society of Canada notes weak regulatory systems at the provincial and federal level have failed to effectively assess cumulative impacts of oilsands development.29
  • A lack of reliable data makes it difficult to set, monitor and enforce ecosystem capacity limits.30,31

updated March 2011