Fresh hot tailings, from the hot water extraction process for removing bitumen from oil sand, are treated to remove fine clay solids ("fines") in t he suspension. Ca(OH)2 lime is added to the suspension to reduce the stability of the clay-water colloidal structure. Then CO2 is injected to react with excess Ca++ and form water-insoluble CaCO3. The CaCO3 adsorbs fines and sediments them.;A process has been invented for the management of oil sands coarse tailings whic h are produced during the caustic hot water bitumen extraction process. The invented p rocess treats the coarse tailings as fresh and hot, recovers, reconditions and recycles the pr eocess water as hot to save thermal energy. The invented process eliminates the formation of mature fine tailings, and it can be applied to a blend of freash, hot coarse tailings and mature fine tailings from the existing tailings ponds, provided that excess heat is available in the plant. Th e invented process treats the fresh and hot coarse tailings with Ca(OH)2 slime followed by CO2 inje ction. Both Ca(OH)2 (or CaO) and CO2 are produced on site from thermal decomposition of lime stone (CaCO3). The invented process eliminates the formation of mature fine tailings, improves compaction characteristics of the fines, saves energy by recovering, recondition ing and recyleing the process water as hot as possible, recovers the residual oils present in the coarse tailings, and, improves the quality of recycled water which reduces NaOH consumption in the coa ustic hot water bitumen extraction process. The invented process can be integrated with the existing oil sands tailing manag ement practices. The invented process has the capability to find application for the m anagement of other industrial tailings and spills.