Tue, 19 Aug 2008|
An expert panel addressed five questions crucial to the oil sands and heavy oil industry. 1. How should capital investment and the distribution of profits be adapted to: a) the need to expend energy to move oil sands or heavy oil out of the subsurface, and b) the transparency requirements of public ...
Automatically Generated Transcript (may not be 100% accurate)
I'm not what I just indicated to you -- -- -- that the question with the you do with the CO2 from generating hydrogen from that cool. Is that you generated where it's acceptable that the people went nuts -- and it can be done willfully. Look at this route to difference in generation on -- -- generation perspective and -- -- -- in a quarter compared to natural gas which I'm much I think it's fairly. Applicable to hydrogen but I'm not exactly sure but. If you -- pet Coke to generate well. They're. That you got your producing twice the amount of CO2. That you do for natural gas. -- -- Everybody in the industry -- -- ultimate fuel. It's cleaning up the emissions as a vacuum that has been the difficulty and yeah and you pay the price -- -- probably a tenth of the price of natural gas so. That's where you have some economic. Benefit to burn it as long as you can take some savings clean up. And now we're talking about it capture CO2 and then what you capture what do you do that. This next challenge. Part of it is is the opportunity cost. Having to collect and transport. The natural gas. If the natural gas is where local -- -- is. And there are convenient and not large enough -- pipelines. To move the gas and parallel with the pitchman. That it would seem to make sense to use the the natural gas to invest. You didn't -- to make liquid products which is what. He is so effective. The reason we Israel is you can put so much energy into the tank of your car and drive around safely with. And get where you want to go with a minimum amount of risk. People -- -- electric cars and people talking about hydrogen. All of those things involve either lower energy densities or higher risk and a movie. Question. Oh yeah. -- I think I'm. I'm here and the question we tell I don't know I'm actually an automatic Alabama geologist so I'm not brilliant engineer. But what I've -- volunteered as. Have you looked at integrating gas and -- business innocence let. In future so what I've -- you know -- a few years and then the CBS well hidden in its peak they're talking about enhanced -- I'm by virtue -- that they're putting in that humidity in August you'll look inside the blue police and trying to get extract below more. -- -- Now. This back and is is it gonna be revisited when we get when we get the excess fuel pool from. From the our -- we can put it into schools and get gas topic. So how does -- have anybody talked. Schools also -- people who integrated gas and mining industry. -- -- -- -- you lose something everybody view of -- -- will need any help will be accompanied. Big group of people living through looking fall so obvious as well -- would do need it. And didn't let a little political movements every -- indicate that although you -- with -- pop up. And I'm the -- to look opportunity. At the -- you know I think this is where it all right you know at the end of -- and call -- all the project and hope you know woke up. And he's always the case I ask people might be -- -- we we looked ready all the time most well. My question okay we've got a dvd we now because most of the lessons it was -- products. I'm taking the -- rather that the school's identity and then every -- they do them this so called web distribution site because. The Bloomberg Alessio -- is they look so that you if you had the opportunity to do CBS. -- -- ways and means that's over the east then all bidding process to have some type Baalbek. And then didn't -- -- and then there are being decided that there's a little bit better that day seven days that -- called -- -- scale. So don't -- this very issue that you have to conceal before you basically have good people like him off. -- -- -- -- -- -- -- I doesn't have the case -- been so we -- also call our very being and hands either copy by antenna. You know they intend -- votes include all of us and we'll get their message -- -- have -- bit closer was your -- that they could use for the what a clever way of -- said that they did would affect the peace then. You can have a reason be better to better form. Optical. So this up and build a cup -- -- you be put in place that you lose that. And to be -- -- the company did you see what it is but they did try to back. When -- what. What -- -- being the biggest issue in the next thirty years environment and greenhouse -- or energy security teams -- supplies. What's gonna when. Until we. Advertiser and right and it's. Even -- -- -- -- -- -- will have to biskupic tell all the better for every beat them they tell me about this visit. But yet -- -- doing this again the good bad and the G you know you don't remember people who complain loudest that these -- -- would does that -- -- me. -- -- -- -- -- This is very -- you. Look -- -- with Helio your welfare approved before anything else. And there have been necessary I would be very they would -- how -- -- about anything back so -- the big debate then you can basically say okay. I can have that realized all right I didn't Andy's idea behind it. -- that's my take on it. Further -- -- -- is always the driver we've seen the last three years economy's very strong. Environment as the number one issue for all Canadians when -- poll. Now they call is not very strong and that gas prices are -- the number one concern is high fuel costs. And violence -- -- number one concern. So I think people like to. Everybody wants to save the environment everybody wants to the right thing but there's only certain amount of certain price people willing to pay I think there was asserted that master. What is that -- -- -- to pay extra to beat by something great you know 20% 30% 5%. 7%. That the services they're willing to pay extra. And include those things that people -- well we're talking 304050%. Increases. -- -- As -- -- that people ought to feed family and and drug like -- I think that -- so. Push comes to show. There are things -- there was going to be a big thing here as well -- -- from the Denver in the -- it. -- -- to date on it. What's the situation going to be thirty years from now. Now you can start doing something. Going forward in the future. -- undefined thirty years from now. Look out big oil because you'll be on the way down and and whether you like it or not and you heard just a little bit of a front end of it at this meeting. You're all going to be using nuclear -- electricity. It's the final -- -- In all of your lifetime so it's clean. Right -- got to the beginning it's a part of the song. That we finally know how to bring down on earth and generate electricity never forget. That the hydrocarbon we're talking -- -- -- three days here that's energy that originally was in the song. It just -- 500 movie in years to get into a form where we can use it safely. And now we know how to do it we've known for the last seventy years. But we knew that you could burn coal and oil seventy much more than seventy years -- -- takes time for these things to what did -- thirty years from now. We'll still be using -- -- color. But that won't be the big thing the big energy source will be nuclear and will be popular front door as electricity. In the cars will be driven and you'll be heated and all the other good things will be done without formal name. Of course needless to -- that won't be. It's good for these days. One thing. When -- given that you messed now. It is nothing I ever. -- quantities. Found around the world. And no one's mentioned that's -- -- Yeah. -- the Bermuda Triangle that's what -- Please download 25 or thirty years ago all the methane hydrate you know in the -- Bermuda Triangle -- just this once in awhile. Right that we always -- -- -- that sequestered underground mother nature's eventually lunacy I'm not let them coal waddle and cool. You know and you put all that Selig to block out into the atmosphere. But of methane hydrate is. Probably probably would not quite you what the extent of it is but. The last thing US -- who is 3000 years of methane -- for the world on the bottom of the Atlantic Ocean between Iceland and Scotland's astoundingly. Yes that's a possibility. Under -- they are looking for it. And somebody's. Will develop the technique for growing 150 miles offshore and do you always -- sludge off the bottom of the Atlantic and -- rising you getting that it. We qualifying on the surface LNG tankers and putting it into wherever. So that that is another. Option. But never forget the second -- and it amounts. Every time you change from one form of energy to another. You create guess what. It's called entropy in physics classes but really it's sore -- you can never. A 100% conversion of energy for one point the other. And going all the way down to get that methane hydrate and brilliant up and separating it and dry it and shipping it -- -- done this up. Is very exciting get -- six update 10%. Return at least recovery ability -- -- With fluid to electricity to a water to US -- or whatever. That's minimum number of steps and that's why I believe that electricity is the form of energy going for. And the -- cheapest -- -- created is by nuclear and methane hydrate. It'll stay it'll be be produce a hundred use them. -- I've always said that you can't live underneath an umbrella of neutral site. You have to have material and that means carpet right. So you build your umbrella in your house -- -- have heightened -- will always be a -- chemical industry. Whether we use that petrochemical for energy is question. This is we have more -- and -- -- oilsands I think the government probably would. -- -- -- trying to. Promote the development of that something that the rotary cut. Over the years -- so I don't think. -- going away either. Definitely thought -- part of next. I think the best thing to put up for western -- -- but at least a couple of question before to -- -- unite this country I think we could start off by making discussion and I'll put. One problems then we would hope that all -- -- the coal in Alberta and the uranium is cut. This. It's -- questions from unit. What happens is. CO2 question. But from a different perspective. -- regulatory systems ready to accommodate the increased greenhouse gas emissions from the -- greater expansion needed to get to four million barrels a day. So -- question about a regulatory system. On the road to a set I think Alberta Canada is probably only jurisdiction that exports of all that has -- -- to legislation in place. -- was. I'm not. Not sure hope what exactly what the question is leading to but. -- was not a technology issue. Companies like -- and others are developing technologies that may be ready for commercial operation by 2015. At the earliest. On -- regulatory basis. Is. -- the Alberta government say we're not gonna do that because it creates greenhouse gas when Canada produces 2%. And also -- for that 20% of the 2%. Do you say we don't want our. It's good question I don't know are you. In isolation you know this has become -- everything. We could shut down -- tomorrow and I guess China would make up that difference in six months. From the -- to perspective so how much do you want to sacrifice your economy. I think it's the balancing act to read -- -- always looks looks at what's for the the benefit of people who live here and they look at economic and social. Those things so. I think there was one challenge to -- crew -- mining project that hold up. The -- Because it didn't look at greenhouse gases and direct reports said -- what they're producing isn't significant. Compared to what -- is being done around the world. -- But I think this situation is not -- be pleased to. Until 2010 but they've -- as a framework in Canada and in Alberta so I think that's still in development. -- -- -- -- You're gonna -- Are these I think. Just responses to things of that have been. Stated before. So well get them out and human response time now move around -- let him about a minute apiece for these. In order to produce to seal from -- what you need to guess -- I have not that I -- I guess if I get underground conditions. Well I think we're playing around with the words here. I mean got supplying Coke. By making into carbon monoxide you do it but the physical process she used -- you burn it. And you control the amount of oxygen so that it doesn't goal from carbon all the way to see to it only goes to -- on -- And another question that was kind of -- Kind of a response. Sustainability does not mean. -- the amount of oil available about the royal for -- it is converted into the desert through this process. Not one mother nature be just as a function in all the oil under Algeria in the Sahara Desert. You know is is also that -- -- -- us it was -- school. On the surface so -- Decimation of the -- For whatever reason is only -- mother nature has been doing for the last 1500 million U. Again that -- all and much of the force after coming down -- is is actually. Will force them through for the -- but having said that I think the footprint on the mining operations which we'll cut it down as represents them to opt percent. Of that 150000 square -- I mentioned earlier so -- Not a large number. Hopefully the using the word for a building homes. That I -- -- I thank you all very much we've we've run out of time. Six Pressler appreciation do -- to the panel for. -- -- -- Thank you -- -- audience as well -- -- apologize to the many questions that we just didn't have time to get too but. -- maybe you can contact. Some of the panelists and neck and extend this this conversation. This concludes the the second and oil sands and -- -- technology conference and exhibition. I think it was better than the first and I think the one next year will be better than the second -- -- -- to see you back then thank you very much.