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Unconventional Energy Resources

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Unconventional Energy Resources ( unconventional-energy-resources )

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The conference concluded with attendees re- energized to find ways to work with the oil and gas industry to develop geothermal and waste heat in existing fields. Waste heat applications already exist in almost every field across the nation. In the Geothermal Industry it was shown that financing larger projects may be easier, and if that is the case, producing the high fluid volumes shown to exist in the resource assess- ments can get projects to market with much needed clean energy for the local community. As Bud Wein- stein stated, ‘‘Heat is a terrible thing to Waste’’! OIL SANDS Steven Schamel11 Fran Hein12 This commodity commonly consists of bitumen and heavy oil in unlithified sand; however, heavy oil reservoirs can also include porous sandstone and carbonates. Oil sands petroleum is named bitumen, tar, and extra-heavy oil, although these accumula- tions can also contain some lighter hydrocarbons and even gas. Bitumen API gravity is less than 10° and viscosity is generally greater than 10,000 centi- poises (cP) at reservoir temperature and pressure; heavy oil API gravity is between 10° and 25° with viscosity greater than 100 cP (Danyluk et al. 1984; Schenk et al. 2006). Heterogeneity in reservoirs oc- curs at microscopic through reservoir scales, and includes sediments of variable depositional energy and hydrocarbon composition. Viscosity gradients of hydrocarbons in the Athabasca oil sands of Alberta primarily reflect differing levels of biodegradation (Adams 2008; Gates et al. 2008; Larter et al. 2008; Fustic et al. 2013). Heavy and extra-heavy oil deposits occur in more than 70 countries across the world, with the largest accumulations located in Canada and Venezuela (Meyer et al. 2007; Dussea- ult et al. 2008; Hein and Marsh 2008; Hernandez et al. 2008; Marsh and Hein 2008; Villarroel 2008). Resources and Production Almost all of the bitumen being commercially produced in North America is from Alberta, Can- 11GeoX Consulting, Salt Lake City, UT 84105; Chair, EMD Oil Sands Committee. 12Alberta Energy Regulator (former Energy Resources Conser- vation Board), Calgary, AB T2P 0R4, Canada. ada. Canada is an important strategic source of bitumen and of the synthetic crude oil (SCO) ob- tained by upgrading bitumen. Bitumen and heavy oil are also characterized by high concentrations of nitrogen, oxygen, sulfur, and heavy metals, which results in increased costs for extraction, transporta- tion, refining, and marketing compared to conven- tional oil (Meyer and Attanasi 2010). Research and planning are ongoing for transportation alternatives for heavy crude, bitumen, and upgraded bitumen using new and existing infrastructure of pipelines and railways. Such integration has been called a virtual ‘‘pipeline on rails’’ to get the raw and up- graded bitumen to U.S. markets (Perry and Meyer 2009). SCO from bitumen and (or) partially up- graded bitumen is being evaluated for potential long-distance transport to refineries in the Midwest and Gulf states of the USA and to existing or pro- posed terminals on the west coast of North America. Associated concerns include effects on the price of crude oil, and the environmental impacts that are associated with land disturbance, surface reclama- tion, habitat disturbance, and oil spills or leaks with associated potential pollution of surface and ground waters. Excellent sources of information on Alberta oil sands and carbonate-hosted bitumen deposits are the resource assessments and regulatory information by the Alberta Energy Regulator (former Energy Re- sources Conservation Board, ERCB) (http://www. ercb.ca/data-and-publications/statistical-reports/st98). Estimated in-place resources for the Alberta oil sands are 1844 billion barrels (BBLs) (293.1 billion m3) (ERCB 2012, p. 2). Estimated remaining established reserves of in situ and mineable crude bitumen is 169 billion BBLs (26.8 billion m3); only 4.6% of the initial established crude bitumen has been produced since commercial production began in 1967 (Table 4) (ERCB 2012, p. 8). Cumulative bitumen production for Alberta in 2011 was 8.1 billion BBLs (1,294 mil- lion m3). The bitumen that was produced by surface mining was upgraded; in situ bitumen production was marketed as non-upgraded crude bitumen (ERCB 2012). Alberta bitumen production has more than doubled in the last decade, and is expected to increase to greater than 3 million BBLs per day (>0.48 mil- lion m3) over the next decade. Over the last 10 years, the contribution of bitumen to AlbertaÕs total primary energy production has increased steadily. A break- down of production of energy in Alberta from all sources, including renewable sources, is given in Figure 18. American Association of Petroleum Geologists, Energy Minerals Division

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