Oil Sands Carbon Capture: Exploring Molten Salt Technology

Mantel and Wood begin engineering study for Alberta carbon capture system

Mantel Capture and engineering firm Wood have started front-end engineering and design (FEED) work on a commercial carbon capture project linked to steam-assisted gravity drainage (SAGD) operations in Canada’s oil sands. The system is designed to capture around 60,000 metric tons of CO₂ annually while generating roughly 150,000 metric tons of high-pressure steam. Alberta Innovates, the provincial research and innovation agency, is supporting the initiative.

The project represents a different approach to industrial carbon capture. Rather than treating emissions control as a separate process that consumes energy, Mantel’s system aims to integrate capture directly into heat-generating equipment. In doing so, it claims to reclaim waste heat as usable steam instead of losing that energy to cooling systems.

SAGD extraction relies on large volumes of steam to heat underground bitumen so it flows to production wells. This makes the process both energy-intensive and emissions-intensive. Consequently, it has become a priority area for decarbonization efforts in Alberta’s oil sands sector.

The FEED study will determine whether the project can progress to full engineering, financing, and construction. Meanwhile, the work provides a test case for whether high-temperature carbon capture can be deployed economically in one of Canada’s most emissions-heavy industries.

How molten-borate technology differs from conventional carbon capture

Traditional post-combustion carbon capture systems typically use chemical solvents to separate CO₂ from flue gas. However, these systems often require significant additional energy. According to the Center for Climate and Energy Solutions, carbon capture technologies can remove more than 90% of CO₂ from power and industrial sources. Nevertheless, performance depends heavily on process design and operating conditions.

Mantel’s approach uses molten borate technology that stays liquid at high temperatures. This allows the system to be integrated directly into boilers or heat-recovery steam generators. The company states that its process captures CO₂ while recovering waste heat as steam rather than losing that energy to cooling duty.

Mantel claims this configuration can reduce energy penalties by up to 97% compared with conventional capture methods. Furthermore, the system is said to produce a 99.9% pure CO₂ stream suitable for geological storage or industrial use. If these performance figures hold at commercial scale, the technology could address one of the main barriers to wider carbon capture adoption: the energy cost of running the system.

Cameron Halliday, Mantel’s CEO, has described the advantage simply. Instead of having cooling duty, the system makes steam. That shift matters because it turns an energy penalty into an energy credit within the overall plant operation.

FEED study moves project closer to commercial deployment

Mantel has begun FEED work with a Canadian oil and gas producer to evaluate commercial deployment in central-western Canada. FEED is a critical stage before final investment decisions. It defines process design, equipment specifications, integration requirements, and capital costs.

The planned system is expected to capture approximately 60,000 tonnes of CO₂ per year. At the same time, it should generate around 150,000 tonnes of high-pressure steam annually. These figures suggest the system functions not just as an emissions-control add-on but also as utility-producing infrastructure that could partially offset operating costs.

Wood’s involvement centers on engineering and project development. The collaboration was announced as an effort to scale high-temperature carbon capture. This indicates the project aims to move beyond demonstration and into a design stage suitable for industrial deployment.

Alberta Innovates is backing the project. Its involvement signals that the initiative is being viewed as strategically important for industrial decarbonization in the province. The agency funds and accelerates technology commercialization, particularly for innovations that could have broader application across Alberta’s energy sector.

Where the project sits within Alberta’s broader carbon capture landscape

The Mantel project is considerably smaller than Alberta’s proposed Pathways Alliance carbon capture network. That larger initiative aims to link multiple oil sands sites to a centralized storage hub via a roughly 400 km pipeline. Eventually, it could reduce emissions by tens of megatonnes annually. The Pathways project remains one of the most ambitious carbon capture proposals in Canada.

By contrast, Mantel’s project focuses on single-site or near-single-site deployment. It is designed to prove that carbon capture can be embedded into heat-intensive industrial systems more efficiently. If successful, it could serve as a model for other facilities where steam and high-temperature process heat are already central to operations.

This difference in scale reflects two complementary approaches to industrial decarbonization. Large networked systems can achieve economies of scale and shared infrastructure. However, they also require significant coordination, capital, and regulatory alignment. Smaller, integrated systems can be deployed more quickly at individual sites. Therefore, they offer a faster route to operational emissions reductions while larger projects work through development timelines.

Commercial and operational implications for SAGD operators

SAGD operations face mounting pressure to reduce emissions. Regulatory requirements are tightening. Moreover, investors and buyers are increasingly scrutinizing the carbon intensity of fossil fuel production. Carbon capture offers one route to continued operation while meeting these expectations.

However, traditional carbon capture systems impose a significant cost burden. They consume energy that would otherwise be available for production. They also require additional capital investment and ongoing operating expenses. As a result, many operators have been reluctant to deploy capture technology without stronger policy incentives or carbon pricing.

Mantel’s system aims to change that equation. By recovering waste heat as steam, the technology is intended to reduce the net energy penalty. This could lower the cost per tonne of CO₂ captured. In addition, the steam produced can be used elsewhere in the facility, creating operational value beyond emissions reduction.

If the FEED study confirms these benefits, the technology could become attractive for SAGD operators seeking to meet emissions targets without sacrificing competitiveness. It could also support carbon reporting compliance for companies working toward net-zero commitments. The ability to capture CO₂ while improving process efficiency could make decarbonization more financially viable across the oil sands sector.

Key facts about the Mantel-Wood carbon capture project

• Mantel Capture and Wood have launched a FEED study for a commercial carbon capture system tied to SAGD operations in Alberta’s oil sands.
• The system uses molten borate technology that integrates directly into boilers or heat-recovery steam generators, capturing CO₂ while reclaiming waste heat as steam.
• The project is expected to capture around 60,000 tonnes of CO₂ per year and generate approximately 150,000 tonnes of high-pressure steam annually.
• Mantel claims the technology can reduce energy penalties by up to 97% compared with conventional solvent-based carbon capture systems and produce a 99.9% pure CO₂ stream.
• Alberta Innovates is supporting the project as part of efforts to accelerate industrial decarbonization technology in the province.
• The FEED study will determine process design, equipment specifications, integration requirements, and capital costs before any final investment decision.

What businesses should consider about high-temperature carbon capture

The Mantel-Wood project illustrates a broader shift in how carbon capture is being approached in heavy industry. Instead of treating emissions control as a separate, energy-consuming process, companies are looking for ways to integrate capture into core operations. This approach can reduce costs and improve overall plant efficiency.

For UK businesses in energy-intensive sectors, this development has several implications. First, it demonstrates that carbon capture technology is still evolving. New approaches may offer better economics than earlier systems. Therefore, businesses that dismissed carbon capture in the past may want to revisit the technology as new options emerge.

Second, the focus on process integration matters. Any decarbonization technology that requires significant additional energy will struggle to gain traction without strong policy support or carbon pricing. Technologies that reduce energy penalties or create co-benefits, such as usable heat or steam, are more likely to be adopted voluntarily. Consequently, businesses should prioritize solutions that fit within existing operations rather than requiring entirely new infrastructure.

Third, the project underscores the importance of testing and validation. The FEED study represents a critical step between pilot-scale demonstration and commercial deployment. UK businesses considering carbon capture or other decarbonization technologies should expect a similar pathway. Early-stage claims must be verified through detailed engineering and cost analysis before making investment decisions.

Finally, the Alberta Innovates funding model offers a useful comparison. Public support for technology development can de-risk early-stage projects and accelerate commercialization. UK businesses should explore available funding through government programs and innovation grants that support decarbonization efforts. This can reduce the financial burden of adopting new technologies while contributing to broader climate goals.

Unanswered questions and next steps for the project

Several critical questions remain unanswered. The final cost per tonne of CO₂ captured will determine whether the technology is economically competitive. Integration challenges with a live SAGD facility will become clearer as the FEED study progresses. Additionally, the system’s performance at commercial scale must be validated through actual operation.

The immediate milestone is completing the FEED work. That will provide detailed cost estimates, engineering specifications, and integration plans. If the results are favorable, the project could move into full engineering, procurement, and construction within the next few years.

For the oil sands sector, the project represents a potential pathway to continued production with lower emissions. For the carbon capture industry, it tests whether high-temperature capture can move beyond niche applications and become a standard solution for heat-intensive processes. For policymakers, it offers evidence of whether targeted innovation funding can accelerate industrial decarbonization.

The Mantel-Wood collaboration is important less as a finished solution than as a serious test of a new approach. If successful, it could establish a commercial use case for molten-borate capture and provide a template for similar projects in other high-temperature industrial settings. However, the technology must still prove itself through rigorous engineering analysis and real-world operation before its broader potential can be assessed.

Additional information and resources

Businesses seeking more information on carbon capture and industrial decarbonization can consult several authoritative sources. The Center for Climate and Energy Solutions provides an overview of carbon capture technologies and their applications across different sectors. Alberta Innovates publishes updates on funded projects and emerging technologies in the province’s energy sector.

For UK-specific context on industrial decarbonization, the Department for Energy Security and Net Zero’s industrial decarbonisation strategy outlines government policy and support mechanisms. Companies exploring sustainable procurement and supply chain decarbonization can also find guidance on integrating emissions reduction into operational planning.

The International Energy Agency’s reports on carbon capture, utilization, and storage offer global perspective on technology development and deployment trends. These resources can help businesses understand where carbon capture fits within broader decarbonization strategies and what options may be available in their specific sectors.