Front Burner - Toxic tailings: Oilsands water could be released

Episode Date: December 17, 2021

Extracting bitumen from Alberta’s oilsands requires water — lots of it. And for decades, oilsands companies in Canada were banned from releasing the used water back into the environment. So as the industry skyrocketed, the reservoirs of water grew. There are now more than 1.4 trillion litres of toxic wastewater stored in these tailings ponds. Experts say that could be a disaster waiting to happen. The federal government is working on regulations that would eventually allow companies to treat and release the water back into rivers and lakes. Business reporter Kyle Bakx explains why some are questioning the safety of that plan — while others say it’s absolutely necessary.

In the Dragon's Den, a simple pitch can lead to a life-changing connection. Watch new episodes of Dragon's Den free on CBC Gem. Brought to you in part by National Angel Capital Organization, empowering Canada's entrepreneurs through angel investment and industry connections. This is a CBC Podcast. Hi, I'm Angela Starrett. If you ever find yourself driving past the oil sands mines north of Fort McMurray, Alberta, you might hear these sounds.

Shotguns firing, hawks screeching. They're fake. They're artificial sounds meant to scare off birds because thousands of birds have died after landing on the surface of the Athabasca oil sands infamous tailings ponds. These are bodies of water filled with a toxic sludgy mixture of clay, sand, and hydrocarbons left over from the process of extracting bitumen. For decades, oil sands companies have been banned from releasing tailings water back into the environment. But in the past 20 years or so, as oil sands production has skyrocketed, these ponds have gotten bigger and bigger. And some experts worry that that is a disaster waiting to happen.

So the federal government is now working on regulations that would eventually allow companies to treat and release the water. Industry leaders and some scientists say it can be done safely and that it's absolutely necessary. But some environmentalists and the First Nations and Métis communities downstream from the oil sands are asking how can they trust that this will really be safe and whether they're actually going to be included in the conversation. Today I'm speaking with CBC business reporter Kyle Bax about the case for and against a plan to treat and release

oil sands tailings water. Hi Kyle. Hi Angela. So I wonder if you could start by just briefly explaining the process that produces these tailings and I guess what makes them so toxic. Water is an important part of the process to produce oil. So for decades, water has been used to help separate the oil from the sand, clay and other materials that come out of the mine. Over the years, companies have improved their technique so they can recycle more water. Still these mines require about three to four barrels of fresh water to produce just one barrel of oil. After that water is used it's stored in tailings ponds. Since the material contains all

sorts of toxins, it also has bitumen and oil residue and elevated levels of salt. These ponds, they're much more like lakes. They're massive. At last count, there are 1.4 trillion liters of tailings water. That's enough to fill more than 500,000 Olympic-sized swimming pools. Put them end to end, and Angela, you could swim from Alberta to Australia and back. And every day that's growing. Wow, that's wild. And we know that the ponds can kill birds. They get trapped by the oil on the water surface. But another concern, I guess, is that the chemicals in the tailings could contaminate the surrounding environment.

in the tailings could contaminate the surrounding environment. And this is something that our producer heard from Alianor Rougeau from the group Environmental Defense. They brought this case about the tailings ponds to the Commission for Environmental Cooperation, which is basically the environmental arm of NAFTA. And this big report last year from the CEC found this data, including from oil companies, did show that there was seepage of tailings from the ponds into the surrounding groundwater. This commission, which is, you know, kind of a watchdog on environmental issues, came out with a factual record that looked at whether or not the tailings ponds and the oil sands were leaking. And so there was ample evidence, including from industry and government, that the tailings ponds are leaking and that the tailings that contain toxic chemicals are leaking into the surrounding environment

and into groundwater, and it seems into possibly surface water. And I know the province and the feds both said there needs to be further investigation here. But regardless, I guess if there's evidence that these toxic chemicals are leaching into the environment as we speak, I guess that suggests that there's an urgency to figure out how to deal with this problem one way or the other, right? Well, just like many areas of the oil sands, it's not black and white. That was an important study, but it's also one report. Technology is improving to detect and monitor seepage, which is what industry and government regulators are working to improve. It's no secret that the current system with these tailings ponds is

unsustainable. Everybody knows that and there's no dispute. Since the 1960s, companies have been told to store this mine wastewater. So that's what they've done. And to this day, they keep building more and more tailings ponds. No one likes the situation. And that's why the federal government is proceeding with this to help slow the growth of these oil sands, tailings, ponds, and reduce the associated environmental and health risks of having to store this toxic material. And so the federal government is now developing these regulations to eventually treat and release the water that's in the tailings ponds. And before we get into the science of that, let's break down a few of the reasons why some experts believe that this needs to happen, starting with the one that might be top of mind for a lot of

people after the floods in BC last month, which is the possibility of some kind of disaster. Can you tell me about that? That's right. With any mining activity, when you're having to store wastewater, there's always two main risks. The first is the risk of seepage, as we just mentioned, and the second is a failure where this fluid pours out. This is a major concern. This has happened at mining sites before.

There was the Mount Pauley mine disaster in British Columbia in 2014. It leaked billions of litres of wastewater into lakes and streams. How could this have happened? A toxic tailing pond built atop a ticking time bomb 20 years ago. A soft, unstable base somehow missed or dismissed by its designers, builders and those who maintained the dam. 25 million cubic meters of contaminated water and mining waste spilled into lakes, creeks and rivers near the small town of Likely in BC's interior. There was also a mining disaster in Brazil where a dam broke. That was a few years ago and it killed hundreds of people. I spoke with a number of scientists who study

wastewater issues in the oil sands, including Greg Lawrence from the University of British Columbia. He isn't too worried about treated tailings water from the oil sands being released, especially in comparison to what's happened in BC, this massive uncontrolled flooding in the Fraser Valley. And that is releasing, that is a far greater concern, I would say, than regulated and controlled releases. So this is, you know, what's happening in the Fraser Valley is totally unregulated and you've got fertilizers and oil byproducts, you know, you've just got a mess and it's going to be, it already is a concern. For him, any uncontrolled release is far more damaging

compared to a controlled release of treated water that is regulated. And if I'm understanding it correctly, another argument in favor of treating and releasing the water is the oil companies are required to eventually clean up and reclaim the land that the ponds are on, but they're arguing that not being able to release the water is slowing them down from doing that. Is that right? That is right. They have to reclaim the land, and it's pretty difficult when you have these lakes on the property filled with mining wastewater. Some companies are already reclaiming land that used to be mined but they can only do so much right now because of the tailings ponds. The more water that's stored on

site the less of the site itself that's able to be reclaimed. Brendan Marshall is with the Mining Association of Canada and he explained to me how cleanup efforts are held back right now. And until there's an opportunity to release water and free up that space, we're not going to be able to see the sites reclaimed in accordance with the expectations that Albertans and Canadians have of these companies do as much cleanup work as they can now while they're still operating and making money compared to waiting for the mines to close and then run the risk that the money isn't there for reclamation. It's pretty clear that cleaning up the landscape will take many years, if not decades, to achieve. And so with all that in mind, you've spoken to scientists who are researching how to treat and release the tailings water. How confident are they that this could actually be done and done safely? On one hand, they're close. On the other hand, Angela, still quite far away.

That's because the technology exists to treat this tailings water but it can be expensive. Researchers you know tell me that they definitely could clean this water to the point that it's better than the drinking water that we have every single day. It's worth taking a step back though because purifying this water so that it's drinking water quality or beyond isn't really the goal here. drinking water quality or beyond isn't really the goal here. Across the country, go to any sewage plant and the fluid is treated usually two or three times and then it's released. And no one is going to hold out a glass

and want to drink that water when it's released. The general standard is to treat wastewater of all kinds to meet certain safety standards to protect fish and aquatic life and then release it. So scientists are trying to find solutions that are effective at cleaning up the water but also are cost effective and don't create any other environmental impacts like producing greenhouse gases. Researchers are mainly focused on two types of treatments. The first is chemical, similar to how engineers build wastewater treatment plants to clean up all types of treatments. The first is chemical, similar to how engineers build wastewater treatment plants to clean up all types of fluid. The other is biological, using microorganisms like bugs to reduce the level of toxins. The toxicity of the wastewater is one challenge, but there's also oil

and bitumen to remove, and the elevated levels of salt. Every time these oil sands mines reuse water, it degrades the water quality further in all three of those areas. And then where do the toxins go in that process? It really depends on the treatment method. You know, I'll just give one example. One different treatment method that they're really trying out right now that they hope is pretty promising is to use a type of carbon that they just put in a tailings pond and that carbon is able to you know essentially just filter out some of these toxins and they kind of describe it as using you know a Brita water filter where you pour the fluid, you know through a filter that has carbon and various Materials in it and then that's how you clean out some of the water there are lots of different

processes some take some take years others you know you can apply chemicals and you're able to take out some of the toxins the way it was described to me is that there's both you know there are a few thousand different materials that that are in the water some of them are very toxic and some of them aren't. And so that's why there's so much research going on right now to figure out the best way to treat this water. In the Dragon's Den, a simple pitch can lead to a life-changing connection. Watch new episodes of Dragon's Den free on CBC Gem.

Brought to you in part by National Angel Capital Organization. Empowering Canada's entrepreneurs through angel investment and industry connections. Hi, it's Ramit Sethi here. You may have seen my money show on Netflix. I've been talking about money for 20 years. I've talked to millions of people and I have some startling numbers to share with you. Did you know that of the people I speak to, 50% of them do not know their own household income? That's not a typo, 50%. That's because money is confusing. In my new book and podcast, Money for Couples, I help you and your partner

create a financial vision together. To listen to this podcast, just search for Money for Couples. I help you and your partner create a financial vision together. To listen to this podcast, just search for Money for Couples. Some Indigenous communities and environmental groups have concerns. We've heard from multiple environmental groups that there aren't truly independent studies being done on how to safely treat this wastewater. Can you tell me a little bit more about that? Yeah, there are quite a few concerns, you know, from some people who don't fully trust the studies that are happening and the research that's underway. They would also like to see more research in a variety of different areas, far beyond just the tailings ponds. That include research into you know cancer rates in some of these communities you

know lots of different areas I will say though you know even though scientists who are studying the oil sands they're also in favor of more research and that includes Leslie Warren she's an engineering professor at the University of Toronto she's been researching in the oil sands for almost a decade. She told me how the level of research in the oil sands she describes as world-class because of the money that industry and government are committing and she says there has to be this collaboration because it's such a complex challenge that not everybody has the answers and so you have to collaborate. Still she thinks much more intensive research is needed to not only develop water treatment technology, but also to help the federal

government craft the regulations that we're talking about, these regulations that are needed. She also says every Canadian should care about this environmental issue surrounding the oil sands, because all of us consume the products that come from oil. Right. And you alluded to this just now, but we should make it very clear that both Leslie Warren and Bob Lawrence from UBC have both worked on projects that received funding from Syncrude, which is, of course, one of the largest operations in Canada's oil sands industry. largest operations in Canada's oil sands industry. We heard from Chief Peter Powder of the Mikasu Cree First Nation. They're located near Fort Chippewan on Lake Athabasca, which is downstream from the oil sands. And he has a lot of concerns about the environmental and health impacts that

releasing this water could have on his community if it's not sufficiently treated. Before I allow, and for my nation to allow it to release, I got to be confident that it's drinkable water and that it's not going to affect the environment. So we're the people that drink the water down here and we got fish and we got our hunting rights. Those are our treaty rights. I have young children and I have, you know, they're going to have children.

I want to make sure that I don't, I'm not going to make a decision that's going to affect them. And I just want to stop here and note these Indigenous communities downstream have actually had concerns about whether the oil sands might be impacting their health for a long time, right? Yes, several communities have complained for years how oil sands and other developments

and other industries in the region have damaged the Athabasca River. Not only the quality of the water, but reduced flows as well. And they've pointed out, for instance, how some fish species no longer exist. And of course, you have to realize the Athabasca River is considered a lifeline for these communities. We also heard from Chief Powder that he had concerns that the community is not being sufficiently included in conversations with government and industry about these new regulations that might be coming. And he wants to make sure he fully understands what's going on and that the whole community is equipped with the facts, too, so that they can weigh in on this.

I think we're being left out. I think they've got to do a better job in communicating and consultating with us if there is a case of effluent release in the future. And we want to make sure that we're involved. And it's the right thing to do that we see what process we're using. Have you been hearing similar concerns from people in other downstream communities? Yes, I've spoken to quite a few people who feel that way. Others though that I spoke with say they are happy to be part of the process. They're happy to be at the table with not only industry but government as well. The federal government has been meeting with local indigenous communities since the beginning of this year. That includes nine First Nations and Métis Nations in the Athabasca region. There's a working group that's been established and it's focused on managing the

risk to the environment as well as trying to hear and understand the concerns and interests of Indigenous groups. I'm angry that we have to be having this discussion of what do we want to happen. Like we shouldn't be stuck with trying to come up with the solutions that are safe and in the event that we're presented with unsafe solutions. So the fact that they're even entertaining releasing the tailings ponds into the Athabasca River, this is an international human crime. Across the board, Angela, this is a major concern. So there are worries not only about the quality of the water when it's released, but the volumes too. There are a collection of mines concentrated in this area north of Fort McMurray,

and each one could be allowed to release this treated tailings water. That's troubling for Jessie Cardinal. She's with a group called Keepers of the Water. Okay, so we have these massive tailings ponds. They want to find the cheapest option possible, not the safest, the cheapest option possible for them to continue expanding the tar sands. The tar sands is one of the biggest industrial projects on the planet. And they want to continue expanding it and let the indigenous communities deal with the consequences. She told me she's furious about this situation. She feels like

these communities are stuck. They don't like the tailings ponds and the status quo, but they also don't want the wastewater to be released. And I heard a similar sentiment when I spoke with Bori Arobo. He's a sustainability officer with the Fort McKay First Nation. That community is surrounded by nine different oil sands mines and 20 tailings ponds. He told McKay First Nation. That community is surrounded by nine different oil sands mines and 20 tailings ponds. He told me the First Nation doesn't want to swap one environmental liability for another. At this point, either continue to store the water is not an option,

is not the preferred option, and releasing the water at any cost is not an option. At all costs, it's not an option. water at any cost is not an option. At all costs is not an option. But maybe releasing the water after the proper treatment or treatments, because there may be a need to have multiple treatments, then that could be a solution. And what other ideas, I know Jesse Cardinal has a lot to say about this. What other ideas would she like to see included in this conversation? Well, her argument is that she wants all the different options to treat the water to be on the table. So Indigenous communities can make an informed decision.

They say we're going to look at all options for reclamation of the tailings ponds. of the tailings ponds. However, they're forcing communities, they're forcing Indigenous communities to only be looking at this release option. They're not talking about what the other options are. So I can't even comment on the options because we don't even know what all of the options are. But when I asked her exactly what she would like to see happen, She doesn't know. It's a difficult situation and industry and governments largely feel the same way. The status quo isn't working, it isn't sustainable, so something has to give. With that in mind though, Cardinal would like to see oil sands growth put on hold until the tailings issue is sorted out. And this is an issue that really it's not going away. There are communities in the Northwest Territories that are also now paying close attention because they're downstream

from the oil sands too. The territory government itself is getting involved over the water quality concerns. So there are many groups beyond those that we've discussed who have a stake in this issue. For now, the federal government plans to release its draft regulations in 2024 and have them take effect in 2025. Then it'll be up to the oil sands industry to surpass those standards before any of this treated tailings water is released into the river. I don't know if you can answer this, but I'm wondering if you've heard from industry about what they have to say about the concerns from the Indigenous people? Like, do they refute that they're, some of those, not refute,

but do they defend themselves against some of the concerns that Indigenous people in these communities have? Well, when it comes to the Tailings Water release, you know, really they see it as that there's, you know, the status quo, which nobody likes which is these which is continually having to store this water continually having to build more tailings ponds but they also say that you know that this will be treated water and right now they don't really know what the quality will be and the federal government is having to develop that standard so for the industry you know they're just kind of waiting at this point to see what the standards are and in the meantime continually trying to test new technologies scaling them up to

to larger field studies to try to find you know the most effective way of treating this tailings these tailings ponds. And it's worth noting, you know, we're talking about the complexity of this. And, you know, all these mines, they're all different. They all operate a little differently. They're all dealing with different geology. So even the tailings ponds that they have, they all face different challenges. It's not just the same kind of fluid.

And so there won't just be one technology that's going to be a silver bullet to solve this. It's pretty complex, and there's a lot of work to do. Kyle, thank you so much for this. I'm really grateful for all the reporting that you've done over the years on this really important issue in Canada. And thank you so much for this conversation. Well, my pleasure. And the regulations are still probably three years away, and I expect Angela will be talking more about this issue at least a few more times before then.

That's all for this week. And hey, if you love the podcast this week, why not give us a five-star rating on your favorite podcast app? It costs you nothing, and it really does make us look cool. FrontBurner is brought to you by CBC News and CBC Podcasts. This show was produced this week by Simi Bassi, Imogen Burchard, Ali Janes, Katie Toth, and Derek van der Wyk. Our sound design was by Mackenzie Cameron and Nourdin Khorane. Our music is by Joseph Shabison of Boombox Sound. The executive producer of Frontburner is Nick McCabe-Locos.

I'm Angela Starrett, filling in for Jamie Poisson, and I'll talk to you again soon.