China invests in Canadian oil sands
China has become a major investor in Canada's oil sand fields.
According to officials in the Canadian state of Alberta, the most fossil fuel rich area of the country, China has invested more than $13bn since the end of 2009 in exploration and other oil-related activities.
The area is the second largest oil reserve in the world and is currently producing some 1.4mb/d of oil, a figure which, according to Alberta's Minister of Finance and Enterprise, Lloyd Snelgrove, "could double over the next five years". He also estimated that the equipment costs alone for running the oil sand mines could reach $2 trillion within 10 years.
As well as oil, Alberta is also rich in coal with a supply that is believed to be around 800 years. The attraction to Chinese companies is obvious as the country has become a massive consumer of fossil fuels. The state-owned wealth fund, China Investment Corporation, is planning to move senior officials to Canada to help with investment growth.
