Nuclear Energy and Oil Sands Ashley Finan Massachusetts

Nuclear Energy and Oil Sands? Ashley Finan Massachusetts Institute of Technology Department of Nuclear Science & Engineering Life Cycle Assesment Kickoff November 3 rd, 2006, 8: 30 am-1: 30 pm University of Calgary 1

Canada’s Oil Sands Industry • Goal: To maximize returns in a way that is socially and environmentally responsible • Threats – Volatility of natural gas prices – Increasing natural gas demand – Labor and materials shortage – Mounting GHG emissions – Other environmental damage 2

Research Proposal • “Integration of Nuclear Power with Oil Sands Extraction Projects in Canada” • A cooperative effort between MIT and the University of Calgary Life Cycle Assessment Group. • Time Frame: November 2006 – May 2007 • Goal: Assess the feasibility, economics, and life cycle costs and benefits of nuclear power use in bitumen extraction and processing. 3

Focus Points • Natural gas savings • Greenhouse gas emissions reductions • Analysis of the nuclear safety issues • Water usage • Practical implementation challenges 4

Objectives • Define a range of commercial applications including steam production for SAGD, power production, and hydrogen production in support of bitumen upgrading facilities. • Define the nuclear safety issues and regulatory requirements that must be resolved to support project implementation for each reactor technology. • Establish the basis for public discussion and public policy formation for key issues related to the application of nuclear technology in the oil sands business. 5

Summary & Questions • Nuclear energy addresses some of the issues that the oil sands industry is facing, but introduces its own as well. • To evaluate the costs and benefits of the introduction of nuclear, a study should be done that considers oil industry requirements and conditions, as well as the current readiness of the nuclear industry. • Should the options look promising, the white paper will serve as a starting point for discussions with the public and the regulator. • Should the nuclear option look dreadful, attentions will focus elsewhere. 6