Obama, who heads to Canada on Thursday, expressed concern about the environmental impact of the oil sands in an interview with the Canadian Broadcasting Corp.
Canadian Prime Minister Stephen Harper has said energy security and the environmental impact of Alberta's massive oil sands operations will be priorities during his meeting with the new U.S. leader. Harper is expected to lobby Obama on the merits of the oil sands as a safe and secure source of oil.
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But critics say the growing operations by major oil companies will increase greenhouse gas emissions and threaten Alberta's rivers and forests. Experts say producing a barrel of oil from sand results in emissions three times greater than a conventional barrel of oil.
Obama likened the carbon footprint of the oil sands with that of the U.S. coal industry.
"What we know is that oil sands creates a big carbon footprint. So the dilemma that Canada faces, the United States faces, and China and the entire world faces is how do we obtain the energy that we need to grow our economies in a way that is not rapidly accelerating climate change," Obama said.
Obama said he would like to work with Canada on developing carbon capture and storage to deal with the massive emissions coming out of both the American coal and Alberta oil industries. The new largely unproven technology would bury harmful emissions underground. The Obama administration dedicated billions from its economic stimulus package to renewable energy and new green technologies.
"I think to the extent that Canada and the United States can collaborate on ways that we can sequester carbon, capture greenhouse gases before they're emitted into the atmosphere, that's going to be good for everybody," Obama said.
Obama has criticized America's dependence on Middle East oil and has said he'll get serious about energy independence. The Bush administration viewed oil-rich Canada as a reliable source of energy that will help reduce reliance on Middle East oil.
Canada has warned Washington would lose energy security if it doesn't take Alberta's oil. Daily production of 1.2 million barrels from the oil sands is expected to nearly triple to 3.3 million barrels in 2020.