FOR IMMEDIATE RELEASE
Alberta To Be One Of The Largest Global Oil Producers By 2016
Calgary, Alberta (June 5, 2007) The Alberta Energy and Utilities Board (EUB) has released its annual
report Alberta's Reserves 2006 and Supply/Demand Outlook 2007-2016. This report is an independent
source of information on the state of reserves and the supply and demand for Alberta's diverse energy
resources: bitumen, crude oil, natural gas, natural gas liquids, coal, and sulphur. It includes estimates of
reserves and production volumes for 2006 and a 10-year supply/demand forecast for each resource.
The report notes that:
In 2006, bitumen production surpassed conventional oil production by over 231%. Bitumen
production of 458 million barrels averaged 1.25 million barrels per day (an increase of 18% over
2005), compared to conventional oil production of 198 million barrels, or 543,700 barrels per day (a
decrease of 5% from 2005). Bitumen production in Alberta increased by 88% since the year 2000, or by 214 million barrels. The EUB expects Alberta's annual bitumen production to increase to more than one billion barrels by
2016. Alberta's total remaining established bitumen and conventional oil reserves totaled 174.8 billion
barrels, consisting of bitumen at 173.2 billion barrels and conventional oil at 1.6 billion barrels. Remaining established marketable gas reserves stood at 41 trillion cubic feet. Alberta's remaining established coal reserves are estimated at about 37 billion tons. For the first time, the report features a section on Alberta's electricity outlook. The EUB ensures that the discovery, development, and delivery of Alberta's resources and utility services
take place in a manner that is fair, responsible, and in the public interest.
- 30 Please see backgrounder for more detailed information. Alberta's Reserves 2006 and Supply/Demand
Outlook 2007-2016 is available on the EUB web site at www.eub.ca or from EUB Information Services,
Main Floor, 640 - 5 Avenue SW, Calgary, Alberta T2P 3G4.
For more information, please contact:
Bob Curran, EUB Communications
Phone: 403-297- 3392
Email: [email protected]
NR 2007-21
Backgrounder
Alberta's Reserves 2006 and Supply/Demand Outlook 2007-2016
Fast Facts
Bitumen Reserves and Production
For 2006, estimates of the total bitumen resource in-place have been adjusted upward slightly from
the previous year's 1.694 trillion barrels to the current 1.701 trillion barrels. The remaining established reserve estimate was only slightly changed from the previous year's 174
billion barrels to 173 billion barrels as a result of production. In 2006, Alberta produced 458 million barrels (or 1.25 million barrels per day) of bitumen from the
northern Alberta oil sands. This is an increase of 88% since 2000 when the province produced 244
million barrels. Upgraded bitumen yielded 240 million barrels of synthetic crude oil, or 658,200 barrels per day, a
record to-date. Alberta raw bitumen production is expected to increase to 3.1 million barrels per day by 2016 based
on announced expansions of existing projects and commencement of new projects. Bitumen production will have increased by 460% over the period 2000 to 2016.
Conventional Oil Reserves and Production
Alberta's remaining established reserves of conventional oil are estimated at 1.6 billion barrels (250
million m3 ), a 2% decrease from 2005. In 2006, 122 million barrels (19.4 million m3 ) of conventional oil were added to initial reserves. The EUB estimates the remaining ultimate potential of conventional oil at 4.3 billion barrels (681 million
m3 ). In 2006, Alberta produced 198 million barrels (31.5 million m3 ) of conventional oil, or 543 700 barrels per day.
In 2006, the number of wells placed on crude oil production increased to 1,956 compared with 1,881
in the previous year. The EUB estimates the number of new wells placed on production will increase to 2,000 wells in
2007 and remain at this level over the forecast period.
Total Oil Supply and Demand
In 2006, Alberta produced 1.8 million barrels (289 000 m3 ) per day of conventional oil, crude bitumen,
and pentanes plus. This is 7% higher than in 2005. By 2016, EUB forecasts production of 3.2 million barrels (507 000 m3 ) per day, of which 2.8 million
barrels per day is synthetic crude and bitumen. The ability to increase bitumen production has offset the
continuing decline in conventional crude oil. Alberta's total remaining bitumen and oil reserves includes 1.6 billion barrels of conventional oil and 173
billion barrels of bitumen. This positions Alberta as a net supplier of oil for many decades to come.
Natural Gas Reserves and Production
In 2006, remaining established reserves (measured downstream of field plants) stood at 40.5 trillion cubic
feet (1140 billion m3 ). Alberta produced 4.7 trillion cubic feet (133.7 billion m3 ) of marketable conventional natural gas in
2006, similar to last year's production.
Coalbed Methane
A conservative estimate of Alberta's coalbed methane remaining reserves of 877 billion cubic feet (24.7
billion cubic metres) has been determined. In 2006, Alberta produced 167 billion cubic feet (4.7 billion cubic metres) of commingled gas production
from coalbed methane wells, a 62% increase over last year's production of 103 billion cubic feet (2.9
billion cubic metres). In 2003, the Alberta Geological Survey (part of the EUB) released an estimate of 500 trillion cubic feet
of gas in place within all the coal of Alberta.
Ethane
Remaining established reserves of extractable ethane is estimated at over 787 million barrels (125 million
m3 ). Production of specification ethane in 2006 increased by 1% to 93 million barrels (14.8 million m3 )
compared to 2005.
Coal Reserves and Production
The current estimate for remaining established reserves for all types of coal is about 37 billion tons (34
billion tonnes). Coal supplies fuel about 62% of electricity generation in Alberta. Alberta's total 2006 marketable coal production was 36 million tons (33 million tonnes). Coal production
is expected to increase over the forecast period to meet demand for additional electrical generation and
metallurgy. Reserves Definitions
*Includes both conventional natural gas and coalbed methane
Initial in-place:
The volume or mass of oil, gas, bitumen or coal calculated or interpreted to exist in the ground before any
quantity has been produced. Established reserves:
Reserves recoverable under current technology and present and anticipated economic conditions
specifically proven by drilling, testing, or production, plus the portion of reserves interpreted to exist from
geological, geophysical, or similar information with reasonable certainty. Initial established reserves:
Established reserves prior to all the deduction of any production. Cumulative production:
The sum of production volumes or mass from all prior years. Remaining established reserves:
Initial established reserves minus cumulative production.
Ultimate potential:
An estimate of initial established reserves that will have been developed in an area by the time all
exploratory and development activity has ceased, having regard for the geological prospects of the area and
anticipated technology and economic conditions. For more information contact:
Bob Curran
Tel: (403) 297-3392
Cell: (403) 613-5554
email: [email protected]
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