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

2. Ashley Finan, 2006 Page 2 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

3. Ashley Finan, 2006 Page 3 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.

4. Ashley Finan, 2006 Page 4 Focus Points Natural gas savings Greenhouse gas emissions reductions Analysis of the nuclear safety issues Water usage Practical implementation challenges

5. Ashley Finan, 2006 Page 5 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.

6. Ashley Finan, 2006 Page 6 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.