THE ALBERTA OIL SANDS FROM BOTH SIDES OF THE BORDER* MARTIN J. PASQUALETTI ABSTRACT. zyxwvutsrqpo The United States produces less than half of the oil it consumes, a dependence unlikely to subside without drastic improvements in domestic production, development of renewable resources, and greater energy efficiency. All three of these actions, even if ulti- mately meaningful, will take time to produce results, zyxwvu so the United States is likely to continue to depend on outside suppliers. The most tempting of these suppliers is Canada, especially its massive oil sands in northeastern Alberta Province. In this article I ask why that is true and, more important whether the arrangement is mutually beneficial. The answers are strongly related to location; that is, the location of supply and the location of demand. The view from the south favors Canada above all other countries as a likely source for meeting the growing U.S. oil needs, yet not without accompanying unintended consequences. When viewed from the north, the monetary attraction of the oil sands is weakened by the environmental costs that are likely if their development expands as expected. Weighing these perspectives, the question is whether the combination of demand and environmental concerns leads to, accel- erates, or discourages development. Viewing such a prospect from both sides of the border challenges the view that development of natural resources is always inevitable or wise, re- gardless of apparent profitability and need. Much depends on location. Keywords: Alberta, Canada, natural resources, oil sands. Unconventional fuels are strategically important zyxwv . . . resources that should be developed to reduce the growing dependence of the United States on foreign oil imports. -Energy zyxwv Policy Act of 2005 2 fter more than a century of temptation, setbacks, anticipation, and challenge, one of the world’s great storehouses of energy finally appears ready to give up its treasure. Thousands of workers and their families, plus billions in capital invest- ment from the United States and many other countries, have poured into north- eastern Alberta Province, especially in the past several years, in the hope that the oil-rich sands there will turn an often-slighted “back of beyond” into a modern bonanza (Figure 1). Governments and corporations around the world, but espe- cially in the United States and Canada, recognize the advantages of developing such huge reserves. The Alberta oil sands, for so long little more than an enticing possi- bility, today are being prepared for continued large-scale expansion, even as oil prices fluctuate. Many circumstances, including the demand for oil on the world stage, are incit- ing this change from promise to reality, but the most important factor is geographi- This work was completed with the assistance of the government of Canada. Thanks are also due to the anony- mous reviewers and the people who graciously agreed to interviews: Brad Anderson, Soheil Asgarpour, Melissa Blake, Jim Boucher, Paul Chastko, Les Diachinsky, Simon Dyer, Bruce Friesen, Mary Griffiths, Aaron Sellick, Chris Severson-Baker, Brad Stelfox, Greg Stringham, Steve Tuttle, Dan Woynillowicz, and David Woynorowski. % zyxwv DR. PASQUALETTI is a professor of geography at Arizona State University, Tempe, Arizona 85287. The Geographical Review 99 (2): 248-267, April zyxwvu 2009 Copyright zyxwvutsrqp 0 zoo9 by the American Geographical Society of New York