Canadian Oil Sands
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Canadian oil sands will provide greater fuel supply reliability for the Midwest and reduce the risk of supply disruptions to consumers.

  • Oil companies are investing huge sums to expand and upgrade refineries in the Midwest and elsewhere to make gasoline and other refined products from the Canadian oil derived from oil sands. In addition, pipeline companies are investing to build new infrastructure to transport Canadian oil into the United States.
  • The expansion and upgrade projects would create new construction and other jobs and bring additional tax revenue and other economic benefits to the region.
  • By getting more of their oil from Canada, Midwest refineries would move from being at the back of the crude oil supply line to the front. Using more of this nearby, reliable supply should make Midwest refineries less vulnerable to supply disruptions caused by geopolitical upheaval or storms in the Gulf of Mexico.

The oil and natural gas industry has invested in critical refinery and infrastructure expansion projects to allow for better distribution and production of Canadian oil sands.

  • Altogether, investments in pipeline infrastructure to secure crude supplies to U.S. refineries exceed $11 billion dollars in committed and potential investments.
  • Several energy companies are currently exploring large refinery expansion projects that will support increased production of Canadian oil sands. To refine oil sands, a refinery typically requires additional coking and vacuum distillation capacity, additional sulphur recovery and hydrogen production. Metallurgy upgrades may be needed if the bitumen is processed on site. Additional upgrades to hydro processing units may also be required.
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