Last year Shell Canada announced their intention to increase oil production from the Athabasca Tar Sands in Alberta. At the time they said they intended to add 100,000 barrels a day of production. Now they have revealed new plans to increase production to 770,000 barrels a day which is four times the current production level. The initial 100,000 barrel expansion was approved in November, and should begin production in 2010.
As part of its plan to expand oil production from the northern Alberta tar sands, Shell Canada wants to capture and sequester carbon dioxide emissions from the facilities. Unfortunately, in spite of the high oil prices and associated profits which are prompting the expansion in the first place, Shell still wants some tax breaks to help pay for the sequestration program. CEO Clive Mather says the carbon capture program, would allow for expanding the oil production without increasing greenhouse ga