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Most of the oil that [link widoczny dla zalogowanych] we use is derived from thick, black crude oil pulled out of pools, or reserves in the earth. Crude oil only makes up a tiny percentage of the oil in the ground. Most is a more solid oil that comes in the form of oil [link widoczny dla zalogowanych] sands and oil shales. Oil sands, or tar sands, are made up of clay and sand deposits that are covered in bitumen oil. Oil sands are very sticky and thick in nature. Oil shales are rocks that are impermeable to [link widoczny dla zalogowanych] oil, but actually create oil from their [link widoczny dla zalogowanych] rich reserves of kerogen. Kerogen is the organic matter trapped in the rock that actually forms the oil when it's put under heat and pressure. Since oil sands are part water, they are sticky in [link widoczny dla zalogowanych] the summer when the water is melted and as hard as rock in the winter when the water is frozen.
One third of the world's oil sands are found [link widoczny dla zalogowanych] in Alberta, Canada and Venezuela. In Athabasca, Alberta, the oil sands are very close [link widoczny dla zalogowanych] to the surface and can be mined fairly easily and at a lower cost than anywhere else in [link widoczny dla zalogowanych] the world. Therefore, Athabasca is the leading provider of oil sands in the world.
When oil sands are near the surface, we can mine them simply by digging a big pit. This is sometimes called strip mining. We use bulldozers and big trucks to take the oil sands out of the earth. The trucks take the oil sands to a big machine where they are mixed [link widoczny dla zalogowanych] with hot water and the lumps are broken up. This turns them into a thick liquid called a slurry. Slurry can be transported through pipelines to plants. At the plant, the sand is separated from the oil and [link widoczny dla zalogowanych] the oil is sent to a refinery. At specialized refineries, the oil can be turned into petroleum products or synthetic oil.
If the oil sands are too deep to be dug out, then the oil company can inject steam into the ground, melting the bitumen, to turn the oil sands into slurry while they're still in the earth. Then it can be pumped out. Sometimes they will inject oxygen into the ground and start a controlled fire to melt the bitumen and extract the oil.
Sometimes the pitch and tar will simply seep up to the surface separating itself from the sand. These reservoirs are commonly known as tar pits. Almost perfectly preserved fossils of prehistoric animals have been found in tar pits around the world. The La Brea tar pit in California is most famous.
Trinidad has an entire lake of pitch tar, or asphalt, which is believed to be over two hundred and fifty feet deep. Scientists think that this particular lake of tar is situated directly [link widoczny dla zalogowanych] over a fault line in the earth's crust.
The other form of solid oil is in bituminous rocks. These are usually impermeable rocks which require intense heat a lot of processing called retorting. Permeable rocks such as sandstone and limestone can also contain bitumen and other forms of oil. They are a little cheaper and easier to process, but still take [link widoczny dla zalogowanych] a lot of time and money to retort.
About the Author: Mickey Horn is the Executive VP of Investor Relations of . specializes in identifying, acquiring and developing existing, producing reserves on behalf of its individual clients.
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