Canadian Oil Sands Extraction and Upgrading: A Synthesis of the Data on Energy Consumption, CO2 Emissions, and Supply Costs

Abstract

As Canadian crude bitumen production from oil sands has increased in recent decades, the nation’s oil and gas industry has become a significant contributor to national greenhouse gas emissions. Canada has developed carbon emission reduction targets to meet its Nationally Determined Contributions and Mid-Century Strategy goals. A detailed profile of energy consumption pathways in the oil sands industry is necessary to identify potential areas of improvement and to monitor progress toward meeting emissions reduction targets. Much of the existing literature for oil sands modeling provides input assumptions with different technological boundaries. For a set of oil sands extraction and upgrading technologies, this study first reviews the literature and then quantifies energy input requirements, CO2 emissions, and operating costs for a set of consistent technological boundaries and energy units. Summary results refer to requirements and costs at the production facility, excluding transportation and blending costs. An energy system diagram of oil sands production that matches these boundaries is provided, which can be used by integrated assessment models, oil sands companies, and government ministries to evaluate the present and future energy consumption and emissions pathways of the oil sands industry.