oil sands

The emissions intensity of upstream Canadian oil sands production will continue to decline in coming years, falling to 30% below 2009 levels by 2030, a new report by business information provider IHS Markit says.

The Canadian and Alberta governments and three energy companies said on 11 May that they will spend CAD 70 million (USD 51.14 million) to develop three new clean technology projects, aimed at cutting costs and carbon emissions in the country’s oil sands.

Oil production from the Canadian oil sands is big, growing, and its future is in doubt. The problem is the cost and time required to develop new production is not competitive now. While some big international oil companies are selling out, others are focused on changing the economics of growth.

Things are so tough in the Canadian oil sands that competitors are considering whether to start sharing some of what they know about producing more and doing it for less. Collaboration should speed progress for everyone, but companies with something to give are looking for something in return.

The deal will transfer nearly 2 billion bbl of reserves to Canadian Natural Resources while bolstering Shell's downstream and carbon-capture role in support of oil sand development.

SPE conferences in Calgary examine the challenges of finding and producing heavy oil and unconventional hydrocarbons at a time when Canadian producers are feeling exceptional price pressures.

In the northeastern desert of Utah, a new type of oil sands extraction technology has been born. The ­company behind it claims the process is the most cost-effective and environmentally sound way to develop oil sands.