Image Issues Could Hurt Canadian Oil Sands Plans

While the United States and the rest of the world struggles with record-setting oil prices Canadian oil sands producers are ramping up production to meet demand for oil while also fighting against a host of negative images. In recent months, the price of oil has skyrocketed. Most of that oil comes from Saudi Arabia. In Alberta, Canada there are unconventional oil reserves that rival those in Saudi Arabia in the vast Canadian oil sands, sometimes called the tar sands. Proponents of the oil sands say that Alberta?s oil sands can be a secure source of oil and energy for the United States for many years to come. With new mining and drilling projects, the industry has said that it could quadruple its production to nearly 4 million bbl/day by 2020. Time magazine once called the oil sands, ?Canada?s greatest buried treasure that could satisfy the world?s demand for petroleum for the next century.? So why hasn?t the United States embraced this close, politically secure source of energy? Because, getting usable fuel from the oil sands can be a dirty business, say opponents. The oil sands are a combination of clay, sand, water and bitumen. It is a heavy, black, thick oil. Oil sands can be mined and processed to extract the oil-rich bitumen, which is then refined into oil. The bitumen cannot be pumped from the ground in its natural state. Instead, tar sand deposits are mined, usually using strip mining or openpit techniques, or the oil is extracted by underground heating with additional upgrading. These methods require a huge amount of energy and water and produce a large amount of carbon emissions. Environmental groups that have long spoken out against the oil sands projects got some political backing in the United States in June when a group of mayors from large U.S. cities spoke out against the oil sands, as did presumptive Democratic candidate for U.S. president Barack Obama?s senior energy advisor. During a convention of large-city mayors in Miami, FL, Alberta?s oil sands were singled out in a nonbinding resolution calling for national guidelines to track the lifecycle impact of different types of fossil fuels. The resolution urges cities not to use unconventional sources of energy with a large carbon footprint, such as liquid coal and oil shale and oil sands.