8 FACTS YOU MUST KNOW – Canada Action on the proposed Teck Frontier Mine

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In an effort to help Albertans and Canadians understand each other and have meaningful conversations about energy, the environment, and the economy, Todayville presents this informative post from Canada Action. We invite you to share your questions, comments and concerns. Please note the first time you comment on a Todayville story you will be asked to register as a user. Once registered you are also invited to contribute your own original posts to Todayville’s front page. Thank you for taking part in these important community conversations.

Diagrams and thumbnail photo from Teck.com

From Canada Action

Teck Frontier Mine: 8 Facts You Must Know

With the federal government’s decision on the Teck Frontier Mine coming soon (in February), there’s some important details about this new oil sands project that need to be brought into the limelight.

Teck’s new oil sands mine in northern Alberta will be one of the most innovative projects of its kind to-date, making use of industry-leading technologies to:

> Reduce greenhouse gas (GHG) emissions intensity

> Minimize water use and protect water quality

> Reclaim land as soon as mining begins

> Ensure safe, secure tailings storage with leading-edge technology

> Prevent or mitigate possible impacts to wildlife

Fact #1: Global Oil Demand is Growing

But before we discuss these further, it’s essential we are all reminded of the paramount fact that global oil demand is projected to grow by nearly 10 million barrels per day between now and 2040, as outlined in the International Energy Agency’s (IEA) most recent World Energy Outlook 2019.

Heck, that’s the whole reason why Teck has proposed this massive new oil sands mine in the first place. If oil sands growth forecasts by the Canadian Energy Regulator (CER)and U.S. Energy Information Administration (EIA) come even close to being true, with production increasing 50% by 2040 and even more so by 2050, the new Teck Frontier Mine is just a small part of the puzzle for Canada’s energy industry going forward.

We know about projected growth for oil and natural gas demand in the foreseeable future, so why would anyone not want Canada to have as much market share as possible? As one of the most transparent, regulated and environmentally responsible petroleum producers on the planet, it only makes sense that Canada should be one of the last producers “out of the pool.”

> Canadian Oil is in the World’s Best Interest: ESG Scorecard

> Canada Ranks 6th on Democracy Index 2018 (ESG Criteria)

> Canada Tops Environmental Performance Index Among Top 10 Oil Exporters

Canada’s record of oil and gas production is exemplified by Teck’s initiatives to make Frontier one of the best-in-class oil sands mines ever built in regards to both the environment and Indigenous support.

Fact #2: Land Reclamation Will Begin as Soon as Mining Starts

> Land reclamation will begin as mining progresses, adhering to strict regulations set forth by the Alberta Energy Regulator (AER)

> The actual footprint of active mining will be smaller than the total project area due to on-going reclamation efforts

> With a size of about 292 square kilometres, the mine’s total surface area is about half the size of Edmonton but this land will not be all disturbed at once

Fact #3: Frontier Will Have a Carbon Intensity Less than 50% of USA Refineries

> GHG emissions intensity of the Frontier project will be about 50% less than the oil sands industry average

> Carbon intensity of the Frontier project will be less than half of the oil currently refined in the United States

> Energy efficient mining processes and cogeneration are among the industry-leading technologies that will help reduce GHG emissions

Fact #4: Extensive Work on Prevention & Mitigation for Wildlife

> Extensive assessments of potential effects on fish, wildlife and their habitat have been conducted to ensure the right steps are taken to prevent and mitigate effects during operations and after the mine is closed

> Any affected wildlife habitat will be fully reclaimed to a “…self-sustaining ecosystem with local vegetation and wildlife.” – AER

Fact #5: Frontier Will Have the Lowest Water Use Intensity

> Teck’s Frontier Mine will have one of the lowest water use intensities in the oil sands

> About 90% of water used to process the bitumen will be recycled, minimizing fresh water withdrawals from the Athabasca river

> Off-stream water storage will help to reduce water withdrawals from the river during low flow periods

> Safeguards will ensure water quality is protected and there are no leaks into the water table

Fact #6: Leading-Edge Tailings Management & Technology

> Teck’s Frontier Mine project will use state-of-the-art practices to create a safe and secure placement for tailings

> Centrifuges will de-water tailings fluid before placement mined-out pits, eliminating the need for dams after operations cease and providing increased levels of security for tailings containment in the process

Fact #7: All 14 Indigenous Communities Support the Project

> All 14 Indigenous groups in the region where the Teck Frontier Mine is proposed support the project. They include:

Athabasca Chipewyan First Nation
MikisewCree First Nation
Fort McKayFirst Nation
Fort Chipewyan Métis
Fort McKayMétis
Fort Mc Murray Métis1935
Fort McMurrayFirst Nation #468
MétisNation of Alberta- Region One and it’s member locals
Athabasca Landing Local # 2010
Buffalo Lake Local # 2002
ConklinLocal # 193
Lac La BicheLocal # 1909
Owl River Local # 1949
Willow Lake Local # 780

Fact #8: Teck Frontier Mine a Much-Needed Boon for the Energy Sector

> Frontier will employ up to 7,000 people during peak construction

> An additional 2,500 people will be employed throughout operations over a project life of 41 years

> 75,000 person-years of employment generated by the construction of Frontier

> $55 billion generated in provincial taxes and royalties

> $12 billion generated in federate corporate income and capital taxes

> $3.6 billion generated in municipal property taxes

Teck’s investment of $20.6 billion in northern Alberta comes at a time where a lack of new pipeline capacity and strangulating regulations have been choking the life out of one of Canada’s most valuable industries.

Frontier will create thousands of new employment opportunities, tens of billions in government revenues and provide a much-needed boost to an industry that has seen countless jobs and investor cash flee in droves to more competitive oil and gas producing jurisdictions over the past five years.

Much like the Trans Mountain Pipeline expansion, an approval of Teck’s Frontier Mine would help to restore investor confidence in Canada’s energy sector.

With the Trans Mountain Expansion, Keystone XL and Line 3 Replacement set to add more than a million barrels of additional pipeline capacity for Canada in the near future, it only makes sense that this project – with its low carbon intensity and leading-edge environmental initiatives – should provide some of the oil necessary to fill those pipes.

Learn more – Pipelines in Canada: What You Should Know

we should be proud canada action

Canada Action is an entirely volunteer created grassroots movement encouraging Canadians to take action and work together in support of our vital natural resources sector. We believe it’s critical to educate Canadians about the social and economic benefits provided by the resource sector and industry’s commitment to world-class environmental stewardship. We’re strong supporters of Canada’s oil sands and the resource sector generally because we know how important these industries are to Canada’s present and future prosperity.

We’re committed to engaging Canadians in a more informed conversation about resource development, about how important it is to our society and about how we’re doing it well today and improving our practices for the future. We believe that by educating Canadians on the importance of the country’s resource sector – they’ll act on that information, stand up and make their voices count.

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Alberta

‘Existing oil sands projects deliver some of the lowest-breakeven oil in North America’

Published on May 2, 2025

Todayville

From the Canadian Energy Centre

By Will Gibson

Alberta oil sands projects poised to grow on lower costs, strong reserves

As geopolitical uncertainty ripples through global energy markets, a new report says Alberta’s oil sands sector is positioned to grow thanks to its lower costs.

Enverus Intelligence Research’s annual Oil Sands Play Fundamentals forecasts producers will boost output by 400,000 barrels per day (bbls/d) by the end of this decade through expansions of current operations.

“Existing oil sands projects deliver some of the lowest-breakeven oil in North America at WTI prices lower than $50 U.S. dollars,” said Trevor Rix, a director with the Calgary-based research firm, a subsidiary of Enverus which is headquartered in Texas with operations in Europe and Asia.

Alberta’s oil sands currently produce about 3.4 million bbls/d. Individual companies have disclosed combined proven reserves of about 30 billion barrels, or more than 20 years of current production.

A recent sector-wide reserves analysis by McDaniel & Associates found the oil sands holds about 167 billion barrels of reserves, compared to about 20 billion barrels in Texas.

While trade tensions and sustained oil price declines may marginally slow oil sands growth in the short term, most projects have already had significant capital invested and can withstand some volatility.

Cenovus Energy’s Christina Lake oil sands project. Photo courtesy Cenovus Energy

“While it takes a large amount of out-of-pocket capital to start an oil sands operation, they are very cost effective after that initial investment,” said veteran S&P Global analyst Kevin Birn.

“Optimization,” where companies tweak existing operations for more efficient output, has dominated oil sands growth for the past eight years, he said. These efforts have also resulted in lower cost structures.

“That’s largely shielded the oil sands from some of the inflationary costs we’ve seen in other upstream production,” Birn said.

Added pipeline capacity through expansion of the Trans Mountain system and Enbridge’s Mainline have added an incentive to expand production, Rix said.

The increased production will also spur growth in regions of western Canada, including the Montney and Duvernay, which Enverus analysts previously highlighted as increasingly crucial to meet rising worldwide energy demand.

“Increased oil sands production will see demand increase for condensate, which is used as diluent to ship bitumen by pipeline, which has positive implications for growth in drilling in liquids-rich regions such as the Montney and Duvernay,” Rix said.

Alberta

It’s On! Alberta Challenging Liberals Unconstitutional and Destructive Net-Zero Legislation

Published on May 1, 2025

Government of Alberta

“If Ottawa had it’s way Albertans would be left to freeze in the dark”

The ineffective federal net-zero electricity regulations will not reduce emissions or benefit Albertans but will increase costs and lead to supply shortages.

The risk of power outages during a hot summer or the depths of harsh winter cold snaps, are not unrealistic outcomes if these regulations are implemented. According to the Alberta Electric System Operator’s analysis, the regulations in question would make Alberta’s electricity system more than 100 times less reliable than the province’s supply adequacy standard. Albertans expect their electricity to remain affordable and reliable, but implementation of these regulations could increase costs by a staggering 35 per cent.

Canada’s constitution is clear. Provinces have exclusive jurisdiction over the development, conservation and management of sites and facilities in the province for the generation and production of electrical energy. That is why Alberta’s government is referring the constitutionality of the federal government’s recent net-zero electricity regulations to the Court of Appeal of Alberta.

“The federal government refused to work collaboratively or listen to Canadians while developing these regulations. The results are ineffective, unachievable and irresponsible, and place Albertans’ livelihoods – and more importantly, lives – at significant risk. Our government will not accept unconstitutional net-zero regulations that leave Albertans vulnerable to blackouts in the middle of summer and winter when they need electricity the most.”

Danielle Smith, Premier

“The introduction of the Clean Electricity Regulations in Alberta by the federal government is another example of dangerous federal overreach. These regulations will create unpredictable power outages in the months when Albertans need reliable energy the most. They will also cause power prices to soar in Alberta, which will hit our vulnerable the hardest.”

Mickey Amery, Minister of Justice and Attorney General

Finalized in December 2024, the federal electricity regulations impose strict carbon limits on fossil fuel power, in an attempt to force a net-zero grid, an unachievable target given current technology and infrastructure. The reliance on unproven technologies makes it almost impossible to operate natural gas plants without costly upgrades, threatening investment, grid reliability, and Alberta’s energy security.

“Ottawa’s electricity regulations will leave Albertans in the dark. They aren’t about reducing emissions – they are unconstitutional, ideological activist policies based on standards that can’t be met and technology that doesn’t exist. It will drive away investment and punish businesses, provinces and families for using natural gas for reliable, dispatchable power. We will not put families at risk from safety and affordability impacts – rationing power during the coldest days of the year – and we will continue to stand up for Albertans.”

Rebecca Schulz, Minister of Environment and Protected Areas

“Albertans depend on electricity to provide for their families, power their businesses and pursue their dreams. The federal government’s Clean Electricity Regulations threaten both the affordability and reliability of our power grid, and we will not stand by as these regulations put the well-being of Albertans at risk.”

Nathan Neudorf, Minister of Affordability and Utilities