Policy Insights to Accelerate Cleaner Steam-Assisted Gravity Drainage Operations

Marwa Hannouf, Getachew Assefa and Ian Gates
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Marwa Hannouf: School of Architecture, Planning and Landscape, University of Calgary, 2500 University Drive NW, Calgary, AB T2N 1N4, Canada
Getachew Assefa: School of Architecture, Planning and Landscape, University of Calgary, 2500 University Drive NW, Calgary, AB T2N 1N4, Canada
Ian Gates: Department of Chemical and Petroleum Engineering, University of Calgary, 2500 University Drive NW, Calgary, AB T2N 1N4, Canada

Energies, 2021, vol. 15, issue 1, 1-16

Abstract: The literature is replete with concerns on the environmental impact of steam-assisted gravity drainage (SAGD), but rigorous analysis of its improved environmental performance over the past 20 years remains unresolved, as well as the underlying technological reasons for this improvement. Here, we present an analysis of historical and future greenhouse gas (GHG) performance of SAGD operations in Alberta, Canada, considering for the first-time factors that affected technology deployment. Depending on the case, the results show a reduction of 1.4–24% of SAGD GHG intensity over the past 12 years. Improvements mainly arise from incremental changes adopted based on technical, environmental, socio-economic, and policy drivers. Considering these factors, we propose policy interventions to accelerate further reductions of GHG emissions. However, if similar behaviour from industry continues, anticipated GHG intensity reduction will range between 6.5–40% by 2030, leading to an intensity between 58 and 68 kgCO 2 e/bbl. It still remains unclear if in situ oil sands bitumen extraction will reach current conventional oil emission intensities. Thus, we suggest that the SAGD industry drastically accelerate its deployment of cleaner oil sands extraction technologies considering the policy insights proposed.

Keywords: steam-assisted gravity drainage; bitumen; emission intensity; environmental performance; policy interventions; technology deployment (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2021
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