Oil Sands FACTS. For more information, visit:

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1 Oil Sands FACTS For more information, visit: Janary 2009

2 OVERVIEW Canada s oil reserves are second in the world behind Sadi Arabia Of 179 billion barrels of Canada s oil reserves, the oil sands represent 97 per cent Economic Contribtion INVESTMENTS AND JOBS For each permanent oil sands-related job, nine additional direct, indirect and indced jobs are created in Canada. Crrently 240,000 jobs in Canada are directly or indirectly linked to the oil sands. Between 2000 and 2020, oil sands development has the potential to generate at least $123 billion in royalty and tax revenes for Canada s federal and provincial governments.

3 CONCERNS, CHALLENGES AND RESPONSES ISSUE: AIR EMISSIONS The oil sands crrently accont for less than five per cent of Canada s greenhose gas (GHG) emissions. This is less than 0.1 per cent of total global emissions. Alberta was the first jrisdiction in North America to legislate indstrial GHG emission redctions. So far, companies have made 2.6 million tonnes of redctions the eqivalent of taking 550,000 cars off the road. The province of Alberta has committed $4 billion toward climate change initiatives, inclding $2 billion for pblic transit and $2 billion for carbon captre and storage (CCS). This is the largest CCS investment in the world.

4 ISSUE: AIR ISSUE: LAND AIR QUALITY SURFACE DISTURBANCE Air qality arond oil sands operations is better than all North American cities reviewed by the Alberta Clean Air Strategic Alliance. Oil sands are located below the srface of 140,200 sqare kilometres of land, 4.5 per cent of Canada s total boreal forest. Alberta air qality standards are the most stringent in Canada. Mineable oil sands only exist nder 0.1 per cent of Canada s total boreal forest. Air qality in Fort McMrray is monitored arond the clock. Reslts are available at Air qality has been extensively modeled and demonstrated to remain within Alberta s strict air qality gidelines even with all projected oil sands development in place. While distrbance is occring daily, in more than 40 years oil sands mining has distrbed abot one hndredth of one per cent of the Canadian boreal forest some 500 sqare kilometres. Since 2001, coordinated efforts between government and indstry throgh Integrated Landscape Management (ILM) activities have redced land srface distrbance in the region by 20 per cent.

5 ISSUE: LAND ISSUE: WATER RECLAMATION WATER USE As reqired by law, and inclded in all project approvals, reclamation work is ongoing and continos in the oil sands. All lands distrbed by oil sands will be reclaimed. EXTRACTION Mining is only an option for oil sands that sit less than 75 metres nder the srface. More than 80 per cent of the oil sands will be developed sing in-sit technologies. In-sit projects resemble conventional oil development and do not reqire tailings ponds, or mine pits. In-sit operations create linear distrbance of the srface for wellheads. Bt new technology and processes, inclding lowimpact seismic and directional drilling, are redcing that fooprint. In Alberta, Alberta Environment reglates oil and gas indstry water se nder the Water Act. Oil and gas companies are sbject to the same conditions for se as any other licensed water ser in Alberta. Crrently, the oil sands indstry draws less than half the allocation allowed by Alberta Environment from the Athabasca River. At fll oil sands development only 15 per cent of the Athabasca River flow may be drawn by indstry in low-flow conditions at any time. Water allocations are strictly controlled dring low flow periods. More than 80 per cent of water drawn by indstry from the Athabasca is recycled. Non-potable water which is nsitable for drinking, livestock or irrigation se is sed wherever possible for in-sit prodction.

6 ISSUE: WATER WATER QUALITY TAILINGS PONDS Alberta Environment prohibits the release of any water to the Athabasca River that does not meet water qality reqirements. Tailings contain the water, residal bitmen, sand and clay that is left over when the bitmen is separated from the sand. RAMP, a mlti-stakeholder body, condcts annal monitoring of the river s fish species, fish habitat and water qality. The monitoring has not detected significant changes to the Athabasca River. Bitmen from exposed oil sands along the river banks has seeped natrally into the Athabasca River as it ct its way throgh the landscape. In the ponds, the solids separate from the water so the water may be recycled into the process again. Of the total water sed by oil sands mines, 80 per cent is recycled. Dring and after mining, the tailings ponds are reclaimed. No tailings water is released to the Athabasca River or any other watercorse. The first tailings ponds will be reclaimed in per cent of the oil sands resorce will be developed sing in-sit technology which does not reqire tailings ponds.