February 2026

The life cycle of an oil sands mine has many stages, including planning, clearing, mining, processing, extracting, tailings management and reclamation. Before work on a site begins, operators develop mining and reclamation plans that must be reviewed and approved by the Alberta Energy Regulator (AER). Land clearing is also completed in the early stages of development, and the soil and muskeg that have been removed is stockpiled for future reclamation use. 

During production, oil sands ore is mined and transported to processing facilities, where the ore is broken down into smaller pieces, mixed with hot water and sent to an extraction plant. There, bitumen is separated from the water and oil sands mixture. It is then sent for further processing or directly to market. 

The leftover material, known as tailings, is stored and treated so that the remaining water can be recovered and reused in operations. According to the AER, 78% of water used for oil sands mining in 2024 was recycled water (Source: “Alberta Water Use Performance Report.” Alberta Energy Regulator, 2025). Reclamation activities take place progressively throughout the life of the mine, with the goal of returning the land to equivalent capability. 

This graphic covers:

• Mine planning and reclamation activities
• Oil sands mining, processing and resource extraction 
• Tailings treatment and water reuse 
• Reclamation of mined land