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Given the concern over CO2 emissions and the cost of capture in the Alberta Oil Sands, The Alberta Energy Research Institute (AERI) and Jacobs Consultancy recently completed two studies to evaluate the costs and reduce the environmental foot print of SAGD and upgrading operations. Both studies form part of AERI's on-going investigation of technologically based solutions to energy production from Alberta's oil sands including the Hydrocarbon Upgrading Demonstration Program (HUDP), Alternative Fuels for SAGD steam generation, and various Life Cycle Analyses.
This work builds from the HUDP and evaluates the impact of existing and emerging upgrading technologies and location on the CO2 footprint and overall profitability of SAGD-Upgrading operations.
Studies on increasing efficiency of in situ oil sands operations were undertaken as part of AERI's oil sands technology framework to develop options for greenhouse gas emission reductions.
The key finding is that practical energy efficiency improvements of at least 20% can be achieved from in situ oil sands plants using steam assisted gravity drainage (SAGD). In addition to reducing energy losses and GHG (Greenhouse Gases) emissions through reservoir pressure reduction, it may be possible to also reduce water losses by 30-50%. These are very significant improvements. The findings are based on published data and must now be validated with data from specific operating plants.
The findings are important for both government and industry. Factual information from the study can guide government policy development. It provides industry with practical tools to benchmark performance and improve efficiencies and profitability while at the same time reducing GHG emissions.