To the Environment
To offset the industry's impacts on air, water and land, companies invest millions of dollars in programs and technologies that help reduce their environmental footprint. Statistics Canada reports that the upstream oil and gas industry spent about $1.1 billion on environmental protection in 2002.
Air
New technologies such as solar power, carbon dioxide (CO2) storage, oil sands hydrotransport and fugitive emissions detection have allowed industry operators to reduce their emissions and fuel use. These improvements are not only good news for the environment, but also have a positive impact on the bottom line.
Solar-powered pumps have been installed on rigs and well heads to reduce greenhouse gas emissions. In CO2 capture and storage, companies send this greenhouse gas back underground - keeping it safely out of the air. In oil sands operations, using hydrotransport instead of trucks to get the bitumen to the upgrading facility significantly reduces the fuel used in this process. Fugitive emissions (small natural gas leaks from processing facilities) are being detected and tested, and the emissions sources are being repaired quickly and efficiently.
Water
Water plays an important role in the oil and gas industry, primarily in the recovery of bitumen from oil sands and to help improve the production of conventional wells. The industry's water usage has been monitored, licensed and regulated for decades. Large users of water must apply for a license to divert either surface or groundwater. In Alberta, Canada's busiest petroleum province, petroleum companies are allocated only 7.2% of the water that is licensed for diversion each year. And comprehensive monitoring shows that industry uses less than half of that allocation.
Petroleum companies are always seeking new ways to reduce their use of fresh water, and to use - and reuse - water more efficiently. Approximately 90% of the water used in major oil and gas projects is continually recycled and reused. Groundwater testing is commonplace, particularly in natural gas from coal (coalbed methane) areas.
Land
By law, companies starting new projects employ biologists and environmental specialists to assess any risks and prevent damage. In addition, before any work is started, archaeologists check leased areas of activity for signs of past inhabitation that must be protected. In some locations, field employees are even asked to keep an eye out for dinosaur tracks!
The seismic sector uses low impact seismic techniques to reduce land disruption. Helicopters are used instead of trucks to transport people and equipment. Seismic lines are cut as narrow as possible, often by hand. Lines are cut unevenly to avoid trees and ensure predators have no clear line of site to their prey. Trees and brush are mulched to become fertilizer for new growth.
Companies make use of refined equipment and mining techniques, share roads with the logging industry and use new technology such as directional drilling, so they need to clear less land in the first place. Minimizing disruption at the outset of a project allows an area to return to its natural state much more quickly.
Companies are responsible for reclaiming any land that was disturbed by wells, access roads, pipelines or other related activities. Reclamation activities include replacing saved topsoil and replanting trees and local vegetation. Some companies even create interpretive trails through reclaimed areas.
From the planning through reclamation stages of a project, companies also strive to minimize their effect on wildlife. Some projects have included protecting caribou habitat and migration paths, reintroducing animals (such as the wood buffalo) to an area, creating habitats for fish, birds and animals, and altering project plans to minimize risk to native animal populations (like the grizzly bear). Other companies have also funded scientific research projects, bird and mammal surveys and species at risk listings and maps.
Additional Resources
Canadian Association of Petroleum Producers: This section of the CAPP website discusses environmental stewardship efforts in the petroleum industry. This initiative also works to help companies set goals for employees and track their performance.
Canadian Centre for Energy Information - Environment: This section of the Centre for Energy's site describes the environmental sustainability of the oil and gas industry.
The Orphan Well Association: This non-profit association manages the abandonment and reclamation of upstream oil and gas orphan wells, pipelines, facilities and other sites.
The Clean Air Strategic Alliance: This partnership recommends strategies to assess and improve air quality in Alberta.
Water for Life: This site, created by the government of Alberta, is about their commitment to a healthy and sustainable water supply. It outlines specific strategies and actions to address the province's water issues.
