A recent article in Oilsands Review discusses the link between climate action and operational cost reduction for oilsands producers in Alberta.
According to the article, the recently announced climate change goals of the province are concurrent with the economic goals of the oilsands industry. The technologies required to reduce carbon emissions also reduce operations costs for producers, making climate change action a mutually beneficial initiative.
Moreover, producers have already been developing and testing technologies to reduce GHG emissions and operation costs, and many of them are ready for implementation. The article cites several technologies in this category, including Imperial Oil’s SA-SAGD pilot and Cenovus’s SAP pilot. Both solvent-assisted extraction processes improve production rates, reduce steam-to-oil ratios and reduce the carbon footprint of the projects where they are implemented.
Amin Asadollahi of the Pembina Institute says that the image of the oilsands industry can be greatly improved by these initiatives and by the climate change policy, which all contribute to improving producers’ social license to operate.
“Improving the sector’s emissions intensity and improving performance will have significant impacts on how this sector is viewed and accepted in Canada and beyond,” says Asadollahi.
Click here to read the full article from Oilsands Review.