News

Obama Delay May Kill Keystone, Won't Slow Oil Sands

As enviro activists rejoice, industry pins more hopes on pipeline crossing BC.

By Geoff Dembicki, 10 Nov 2011, TheTyee.ca

Keystone XL pipeline protest in Washington, D.C.

Protest at White House against proposed Keystone XL pipeline. Image by Emma Cassidy and tarsandsaction, licensed under Creative Commons.

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The Barack Obama administration has delayed a decision on TransCanada's contentious Keystone XL pipeline by up to 18 months, a move that could potentially kill the project, but won't necessarily slow down Alberta oil sands production.

That's a huge turning point in a story The Tyee began reporting before any other major Canadian media.

The State Department initiative would ostensibly allow the U.S. government to evaluate alternate routes for a pipeline stretching from northern Alberta to the Texas Gulf Coast.

But it effectively relieves Obama from making what has become an increasingly difficult decision on the project before the 2012 election.

A 10,000 person anti-Keystone XL protest in Washington, D.C. last weekend gave glimpses of the environmental backlash he could expect should he approve the pipeline. But turning down a project that's perceived as job-creating in a struggling economy would have provided easy fodder for Republican opponents.

Environmental activists were ecstatic about Thursday's news.

"By rejecting TransCanada's plan and exploring a reroute, the Obama administration has essentially hit the reset button on the Keystone XL environmental review process," Friends of the Earth president Erich Pica said in a statement. "This is a major accomplishment for the climate movement and the people in the pipeline's path, demonstrating the tremendous power of hopeful, committed and ambitious grassroots activism."

The question now is what the delay means for TransCanada, Alberta's oil sands and Canada's energy superpower ambitions.

Reported from front lines

When The Tyee first began reporting on Keystone XL in the summer of 2010, no other Canadian media yet grasped what a major story it would become.

But as the months progressed, it became clear that America's environmental movement was bracing itself for a long and bitter fight.

The Tyee reported from the front lines of the struggle in Washington, D.C. last spring, explaining how activists managed to delay the project for months, helping add $1 billion in costs to TransCanada's budget.

Further Tyee reporting from the U.S. capitol revealed how Canadian officials, including Alberta's Gary Mar and Canada's U.S. ambassador Gary Doer, were "aggressively" pitching the project to Congress.

One staffer compared them to car salesmen, and told The Tyee Canada's hard sell "was the most direct encounter I've had with a lobbyist representing a foreign nation."

Then, in September, The Tyee again travelled to the front lines to report on trans-border indigenous opposition to Keystone XL, this time from a tribal casino in South Dakota.

Could delays kill Keystone?

What the pipeline delay now means for TransCanada is not entirely clear, but CEO Russell Girling recently told investors that continued administration foot-dragging could put Keystone XL in peril.

"If the administration delays the project long enough where it becomes a low probability it will ever get through the process in time to meet [the shippers'] needs, they're not going to support us anymore," Girling said.

And recent reports suggest that TransCanada could lose $1 million each day the project continues to stay in limbo.

"We've got to pay for continued warehousing of the pipe product and materials, for manpower -- we're paying for materials that we're not using," company spokesperson Terry Cunha told the Calgary Sun. "It could have significant impact."

Even if Keystone XL were shelved, however, it wouldn't necessarily slow down production in Alberta's oil sands.

"If it does not happen, I think you will see industry in Canada, which as you know is very resilient and very innovative, move very quickly to find other outlets to get our heavy oil production and our synthetic oil production likely off the West Coast and into Asian markets," Canadian Natural Resources Ltd. president Steve Laut told the Calgary Herald last week.

That's a sentiment echoed by Prime Minister Stephen Harper, whose spokesperson Sara McIntyre reportedly said: "Canada will be looking for a buyer," should Keystone XL ultimately not be built. "We're a resource-based, energy-based country and we'll be looking at all opportunities."

The Enbridge connection

The Obama administration's decision will almost certainly put pressure on Enbridge's proposal to construct its Northern Gateway pipeline from Alberta's oil sands to B.C.'s coastal Kitimat.

Yet Environmental Defence, a national green group based in Toronto, argues that Prime Minister Harper should be taking cues from his American colleague.

"We hope that the Canadian government will listen to the concerns of its citizens affected by Enbridge's proposed Northern Gateway tar sands pipeline in the same way that President Obama has listened to the concerns of Nebraskans," the group's executive director Dr. Rick Smith said in statement.  [Tyee]

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  • frank2

    1 year ago

    The Northern Gateway fight is

    The Northern Gateway fight is now on big time. Expect the government and companies to be making big promises -- and threats -- to push it through. Will the opponents duplicate the successes of the Keystone opponents and get government to blink?

    Presumably the first step is to get the very best arguments to this winter's hearings on Gateway. Let's ensure those arguments are provided to the 4,000 opponents registered to speak (many of whom, self included, would benefit from clear indications of how to take maximum advantage of the (limited) scope of the hearings, and to hammer the size of the known unknowns which need elucidation....)

  • istvan

    1 year ago

    keystone

    I know,I know,I've said it before.Refine it on site and sell a fineshed product to the world.It makes sense to me.It seems simple.Why ship it to Texas and then buy it back?

  • Fish-counter

    1 year ago

    Apparently, the bitumen is worth more than than the gasoline.

    I know it sounds odd, but I am told the bitumen pays more than the refined product.

    Personally, I think that exporting bitumen is exporting jobs (actually, it is a whole refining industry going) south.

    We need to sell our products to markets other than the USA. Fraught with hazards though it may be, we should be selling our finished products to Asia.

    The hard-selling Harperists are about 20 years out of date. They should have been promoting wood to Asia 20 years ago.

  • Ricky

    1 year ago

    Hardy Har Har!

    Yeah, let's refine it out here! Watch Alberta or the Federal Government introduce laws forcing oil companies to build massive refineries here and endure our labour availability and costs! Or perhaps the oil companies shall do all of this of their own volition? Maybe we should build all of the infrastructure ourselves by going further into debt, on the eve of a European recession?

    Also, I want not only a unicorn for Christmas, but a flying unicorn, a perfect cross with a Pegasus.

    Oh yeah, and Enbridge wants a pipeline across BC - equally likely.

  • RockyRacoon

    1 year ago

    Well Tyee how about getting the opposition organized

    and working together sharing resources and information and funds if necessary. Harper is a Fascist we all know that he will not respect the law and use the Parliament is Supreme and we have a mandate argument to push this pipeline through to the coast taking no prisoner's. Or publishing a page of I hate the word stakeholders. But organizations opposed to the Kitimat pipeline and posting them on your site so people can get invovled and send them all around. And yes I know it takes money for you to do things. I will do what I can to support your paper beyond word of mouth and directing people here. I think we need lawyers more than anything. Some sort of legal defence fund against the Harper Government. He has the resources of the country to fight everybody off it should come out of his parties coffers not the publics and I think there is a law that when guilty the public doesn't pay for their malfesance. I know if your a board memeber and break the law your not indemnified-at least in a non profit-my only experience.
    Yours,
    RR

  • Bobby Peru

    1 year ago

    Wanna hear a joke?

    Why do radicals in BC want the same kind of social welfare offered by Norway, but yet oppose any way to earn easy and valuable petro dollars?

    You see, Norway can afford their lavish social agenda because they are maximizing their oil resources at every point

    Hibernia is producing huge benefits to the Maritimes. And they have been successfully pumping oil without wholesale environmental destruction.

    So why can't BC do the same thing? Are we more incompetent than the workers in the Maritimes?

    It's time for BC to exploit all of its resources, begin offshore oil exploration, all to economically benefit the BC people. Let's stop the enviro-hypocrisy.

  • Fiat lux

    1 year ago

    Nothing much can be achieved

    Nothing much can be achieved as long as the present criminal, monetary economic theory is being taught in our universities, with imaginary, monetary values, controlled by a mafia like special interest sector, overruling physical realities.

    The purpose of this theory is not to supply humanity with the necessities, but to feed the insatiable greed of stockmarket gamblers, falsely called "investors" to give them a form of respectability.

    They've already caused the great depression of '29, and I grew up in it, wars, recessions, poverty and starvation with their criminal gambling games, yet humanity has still not learned the lesson to tell them to bugger off ?

    This is the most incredible part.

    Ed Deak.

  • Fiat lux

    1 year ago

    It is always refreshing to

    It is always refreshing to see how anxious our true blue conservative capitalists are to feed more resources and jobs to their communist brothers to make them more powerful.

    Or is it "more competitive". Against us.

    And when the resources are exploited, what then ?

    Ed Deak.

  • cityzen

    1 year ago

    Fight for your lives

    I'm deeply ashamed of Canada, despise the current Harper regime and the ignorant fools who support it. All fossil fuels must be left in the ground - no ifs/ands/buts. Extracting and burning these fuels is creating an uninhabitable planet, destroying the future for our children. We know this. We have no valid methods of trapping GHG emissions, either at the source or at the tailpipe. Since at least 1990, governments globally (including Norway) have known exploiting fossil fuels is dangerous, and within the last few years they know we're headed for the worst case scenario given current emissions. Exploiting the Alberta tar sands will just make things much, much worse. This is madness; this is a crime against humanity. Consider the billions who will suffer under unprecedented climate change, collapsing ecosystems and economies, famine and war. We know this will happen now; we know we have probably only 5 years to eliminate the use of fossil fuels altogether. Yet all we hear is "Ethical Oil Sands" and other government/industry spin. We know that researching and developing renewable energy will create new industry and employment and is the new powerhouse for economic growth; yet Canada is wasting its current generation's talent by investing heavily in fossil fuels instead, giddy about sitting on a wealth of oil profits. If sanity reigns, we must oppose all forms of fossil fuel exploitation (and pipelines) in Canada and force our government to invest heavily in renewables if we want any future at all. To do otherwise is suicidal. Anyone who continues to support and encourage development of the tar sands is woefully misguided, evil, or criminally insane. The courts must step up to oppose this government - I'm sure a strong case can be made for breaching laws which ensure safeguarding its people against catastrophe, and for willfully ignoring all scientific evidence. I'm sure Canada and other oil nations could be indicted in the International Criminal Court for crimes against all humanity. If not, if the legal system is too timid (or corrupt) then people should rise up to oppose this tyranny, and soon. Stand up now - for your lives, for your children, for the only life we know to exist in the universe in all it's diverse, beautiful forms. This Remembrance Day, let's remember what our ancestors fought for: a safe and livable future for their children. From what I see of most apathetic Canadians (but for a few brave concerned souls) and our pigs-at-the-trough government, their sacrifice was all in vain. It's shameful, and incredibly sad.

  • Lawrence

    1 year ago

    ....

    Big oil is in for one huge honking fight.

    Step one is to get the Liebrals out of power for they will sell BC out to big oil the second they're asked to.

    Step two is to make very sure the bastards don't get back in...

  • freewilly

    1 year ago

    to cityzen: a good rant

    The biggest problem is that the rest of the world demands a similar level of comfort and affluence that we have enjoyed these many decades. information and education has changed expectations and desires of folks all over the planet. We have the power and resources, we provide a means to change living standards for many countries. Energy companies exploit all of us, if there isnt enough scrutiny.

    This is the reason the insanity continues. Wether this crazy pipline gets built or not, the rest of the world wants what we have and we'll sell it to them, one way or another.

    A part of me, beleives it could be a good thing, more work for the near future, however as i have said before, we are near an end to the fossil fuel stage. The government would be wise to create a plan that holds corporations accountable after its gone to invest research on 'renewable or alternatives sources' or just a reserve of oil, plan z.

  • Fiat lux

    1 year ago

    The majority of this energy

    The majority of this energy demand goes into wast5e, that can be cut back drastically with the local production of the vast majority of items we need.

    Not want, but need. A big difference.

    Humanity has survived and developed with local production for thousands of years, using the most primitive equipment.

    With the tools and technology available today, the vast majority of commuting and long distance transport can be cut back, saving a very large percentage of the oil and electric energy wasted today simply for monetary reasons to feed the pockets of the 1 %, but other logical reasons.

    Sending our resources to Asia and reimporting the finished products is not cheaper, but more expensive on the long run.

    I've spent a lifetime in manufacturing, 35 years as owner manager, and have a good idea of what is going on, why and how it can be solved.

    Ed Deak.

  • Fiat lux

    1 year ago

    Correction,....should be

    Correction,....should be "..but no other, logical reasons"

    Ed Deak.

  • realisticman

    1 year ago

    Doesn't Matter

    If XL is canceled and another US route not found then it will be good for BC because it will go west instead. Plans are already in place for expanding the old pipe to Burnaby and the other route is to Kitimat.

    Alternative energy is not yet viable without massive subsidies.

    Checked out solar lately?

    http://www.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/solar-power-boom-hits-a-wall/article2227268/

  • Fish-counter

    1 year ago

    These energy posts are bringing out the flakes

    World Trade is better than World War.

    The history of the 20th century was one of increasing aggression over resources. We can't afford another one. Get used to doing business with Asia and the world.

    By the end of this century we will be selling our water too. Nine billion people are not going to watch as we waste what we have, while they die of thirst. Some of the wingnuts on these Tyee pages must be on drugs.

  • kmdyson

    1 year ago

    The decision

    the tar sands are a black hole for water and spew nothing but huge amounts of CO2...stopping the pipeline south would only be topped by stopping the pipeline west...leaving the tar sands alone until the process from tar sands to processed petroleum product can be accomplished without depleting water and risking the air we breath...that is in the future...so too bad if the multi national oil cartels can't rake in so many more billions in profit...

  • Mark Crawford

    1 year ago

    Question

    How many good union jobs would be created in B.C. by the proposed Gateway pipeline?

    If that number is significant, ask yourself what Glen Clark--or Adrian Dix--would do, especially in a depressed economy, to create those jobs.

    Even if he would do the "right" thing,and not create those jobs, there will be an economic and political price to pay for it.

  • Fiat lux

    1 year ago

    Far more jobs could be

    Far more jobs could be "created" by getting out of the NAFTA and the rest of the "free trade" rackets and leaving the WTO.

    As we used to be 40-50 years ago, with local manufacturing and enterprises booming, paying decent wages, with people owning their own homes.

    Our "conservatives" are always yakking about "individualism" and "personal freedoms", while selling the country, resources and jobs to fascistic "globalization" and "wealth creating foreign investment", the biggest fraud of them all, because it brings nothing to the country we don't already have.

    What we now have is signs around the boarders advertising: "Canada for sale, come and get it!" " Communists most welcome to take us over"

    Ed Deak.

  • max von smartt

    1 year ago

    peak oil apocalypse postponed...

    so why not build refineries in northern alberta and export finished products, value added, which car loving kanadians can consume themselves in case amerikans want to invade more of the middle east to steal their oil under other peoples sands. to finance the refineries, trim back on the feds' multi billion dollar plans for new stealth fighter bombers and updated warships to assist the NATO Empire in these assaults in the name of freedom and demockracy. lapdog harper should be sent one way to washington with a leash.

  • jnewcomb

    1 year ago

    Keystone XL joins many other pipes crossing Ogallala

    Just to be clear - because both the Robert Redford anti-Keystone XL, and even the Trans Canada main Keystone XL homepage show ONLY the Keystone XL pipe crossing the Ogallala Aquifer. However, buried in the TransCanada online docs is a map showing a more complete network of pipes (oil, natgas, petrochemicals) crossing the region: http://www.transcanada.com/docs/Key_Projects/Ogallala_Aquifer_Map.pdf

  • morechatter

    1 year ago

    Joe is about to blow enviromentalists off

    Flathead is off to China and Japan, following in the tracks of Natural Resources Minister Joe Oliver, who was there last week.
    Keystone isn't dead it is just on hold as the real plan to get the Oil sands to China is already in the works.

  • Fish-counter

    1 year ago

    Would it help if the pipeline were modified to carry THC?

    Would the ultra-radical enviro-freaks go for it then?

    Is there any difference between this and any other pipeline?

    How should 300-million North American oil-junkies feed our habit?

    Anyone who drives a car, takes a bus or train should have an answer to these questions.

    I confess to being a gas-junkie. My Jeep sucks gas at 6 km/litre. It is terrible and I wish I could afford a Volt. Who would liek to contribute to my "Raise-$40,000-for-a-Volt" campaign? All contributions, no matter how large, will be accepted.

  • Fiat lux

    1 year ago

    There's always wood gas. Very

    There's always wood gas. Very popular during the war. I have seen wood gas propelled German army truck pulling 2 more, with blankets, instead of tires on the wheels.

    Our Swiss master mechanic partner is planning to build some trucks with wood gas, when he gets around to it. Already has 5 or 6 old Chevy pickups for the purpose.

    In any case, local production would cut oil consumption to a fraction with the existing supplies lasting for many years.

    Ed Deak.

  • RickW

    1 year ago

    R/M old man....

    Quote:
    ...then it will be good for BC...

    And how will it be "good for BC" exactly? Are you thinking of the 10 jobs it will create?

  • igbymac

    1 year ago

    Bobby Peru, freewilly and Fish-counter

    Why do radicals in BC want the same kind of social welfare offered by Norway, but yet oppose any way to earn easy and valuable petro dollars?

    Sorry, Bobby, but your blinders are still on. The radicals in BC want no part of welfare state capitalism; those supportive folks are the middle of the road sect, i.e., the left-wing of the NDP. I believe the radicals want nothing to do with capitalism and would rather there be a complete overhaul of governing institutions founded on a horizontally interactive peoples democracy.

    And, freewilly says: "information and education has changed expectations and desires of folks all over the planet."

    I have to wonder what you mean by 'education' since our behaviour is anything but intelligent. We are currently in another dark ages, this time blinded by the white light of propaganda, rhetoric and and incessant, meaningless distraction. There is little real education going on as far as I can see.

    Fishcounter: "World trade is better than World war".

    Sorry, but your ideals of world trade have only come on the back of war. Have you not noticed the crimes of the Empire state to enforce its demands for global trade? At what point do the oligopolistic practises of the plutocratic multi-nationals cease being trade and become self-serving fascism?

  • RockyRacoon

    1 year ago

    Trade wars turn into shooting wars

    and the solar panels that they use on space satellites are far more advanced and has been held back from general use by the US military. The technology is there for solar in the worst of conditions-it has not been made public yet. Big oil is to powerful-Governments have been bought-souls sold.
    That's all there is unless we change it.
    RR

  • RockyRacoon

    1 year ago

    Trade wars turn into shooting wars

    and the solar panels that they use on space satellites are far more advanced and has been held back from general use by the US military. The technology is there for solar in the worst of conditions-it has not been made public yet. Big oil is to powerful-Governments have been bought-souls sold.
    That's all there is unless we change it.
    RR

  • Fiat lux

    1 year ago

    World trade may be better

    World trade may be better than world war, but the problem is that both are controlled by the same gang of criminals, using faith and propaganda to lead people down the paths of destruction.

    What we now have as "world trade" is the biggest racket in human history. The two world wars and the death camps of Stalin, Hitler and Mao took 70 years to kill 120 million people, today's global capitalism kills the same number in 4-5 years with starvation, bad waters and easily preventable illnesses, and also destroys the living standards even in so called "developed countries" to feed the greed of a few, who also hold all governments hostage.

    Trade is trade, but commerce and world control by capital created from the air, used as weapons of conquest are not trade, except in the warped imagination of crooks and suckers, we have here, electing psycho maniacs to sell the country and people into slavery.

    Ed Deak.

  • freewilly

    1 year ago

    igby mac

    "I have to wonder what you mean by 'education' since our behaviour is anything but intelligent."

    Well I still have to work on my vocabulary, if thats what you glean. i could subtitute education with marketing.
    The rest of the world expects a similar level of affluence as ourselves. They get that from the internet and television.

    I was in Mexico 10 years ago and watching some of their television. It was pretty much identical to the crap we get. What was really interesting were the commercials, depiciting middle class mexicans, made up to look like us, while the majority of people are dark skinned and many with indiginous roots. Most of the products, noone could afford. All I could think was 'they cant be very happy with the way they look'. I figure its an advertising trick mess with self-esteem. If you look like a white north american you will be more successful?

    As far as our behaviour, yeh its hopless.

  • igbymac

    1 year ago

    freewilly

    Thanks for reading my tongue-in-cheek comment referencing 'education'accordingly.

    I've spend a fair amount of time abroad myself, and it is tragic to watch the importation of our culture of spectacle (some of Fishcounter's 'world trade' no doubt) take root and up-heave other nations. It is like stepping back in time, sometimes 100 years, sometimes 70 years, sometimes 30 years.

    You can see the road they are headed down is one of greed and consumption driven by propaganda and advertising. Unwittingly they are sold the 'rich man is smart man' myth. And this problem is compounded by their belief which keeps them ignorant, as all religions do. Being Buddhists, they accept that the rich man's station in life is warranted by his prior acts of goodness. So when advised by trusted leaders and elected officials of wealth on how to get rich, they obey (as do we, similarly).

    Wanting the best opportunity advertised for their children, they support the youth's exodus from the land to the urban centres to seek an education. Often the youth are weaned off of farming in order to become 'educated', and within a generation the skills are lost. Thus the door predictably opens and the corporate vultures move in, buy up the land and set up shop. Sound familiar to Canada past?

    Of course if one believes Canadians are better off not having control of their land, not having the skills to be able to even feed themselves, and being at the mercy of multi-nationals -- plundering the environment toward its ruination in order to maximize profits while controlling the labour pool and monopolizing the necessities of life -- this might be something one 'freely' endorses.

  • Bearzerker

    1 year ago

    why are we exporting job potential...

    to the USA when they clearly don't want it... why are we sending it down to Texas when we should be processing our petroleum ourselves... 7 of 10 jobs created by the petroleum sector will be given to the USA when this resource is eventually pumped to Texas... why are we allowing this?... under NAFTA we are obligated to provide the USA with petrol... it states no where in this agreement that is has to be raw petroleum so why are we sending them our raw resource for them to process and sell internationally themselves when we should be doing this ourself?... the obviousness of it staggers me.

    In my opinion the jobs numbers should be 7 of 10 jobs be reserved for Canadians for our resource.
    We shouldn't be exporting raw petroleum to the USA anyways, only the refined end products and we could be selling it worldwide ourselves...
    Besides, Texans can sell their own reserves... they have HUGE reserves of shale oil available now from the Eagle Ford Shale formation http://en.wikipedia.org/wiki/Eagle_Ford_Formation its all about to come on stream anytime now.

  • Christophe

    1 year ago

    In the 21st century, sovereignty is the real issue

    As the world population moves innexorably towards nine billion people, does anyone seriousy think that any country with almost unlimited natural resources will be allowed to sit on them indefinitely without interference from outside?

    The world wars were all about resources. Do you really think anything has changed recently? Canada could well become the client of the USA, even more than we already are.

    The delay on this pipeline is a blessing in disguise. It is an open invitation for us to do business with e.g. China.

    It is to Harper's credit that he sees the opportunity. Hate the man as I do, he deserves some credit for his acumen.

  • igbymac

    1 year ago

    Harper deserves credit??

    Wow, complete delusion.

    Harper has no vision for a better Canada for Canadians. Zero.

    He is a fool wearing a confidence-man's jacket parading around like a bombastic cock perched upon a pile of shit.

    The sooner these megalomaniacal, self-righteous, second-rate charlatans around the globe are ousted, the better.

  • OwlRol

    1 year ago

    Down the path to la la land

    igbymac, my sentiments exactly, but as I once said to Gerry, it ain't going to happen here until things get much worse.

    The majority of Canadians are still living in a sort of 905, suburban Disneyland, even though the cracks are starting to show.

    Even then, with the help of mainstream media, many have shifted, out of fear, to a more right wing position that actually contradicts their best interests.

    Must export more and more oil gas and coal, ANYWHERE, to become an energy super power. In Canada, sustainable and renewable energy is downplayed as insufficient or too expensive, and thus not supported for the most part, except for a few demos.

    It wasn't so long ago that little Stevie H., while in opposition or minority govt., berated the Chinese "communist" system and didn't want them involved in the Tar Sands.

    Talk about a flip flop. Chinese human rights abuses have not changed one iota since then, note Tibet, Taiwan or Fallongong among others.

    But, like the spoiled kid who can't get his way from one parent, then goes to the other, despite not being comfortable with that one, this Con govt. wants to trade with a group they despise. Corporate profit trumps everything else, but few people seem to have noticed.

    So on we go down a path of destruction, while the protesters and scientists are dismissed as whacko special interest groups and big fossil fuel as the norm.

    Still, most people just shrug it off, for now. But then too late. That's the plan.

    Once more large infrastructure investments are in place, it'll be nearly impossible to turn it around. As the 99% protests have shown, property is more highly valued than people.

  • pwlg

    1 year ago

    The woes and crafty spin from TransCanada

    "We've got to pay for continued warehousing of the pipe product and materials, for manpower -- we're paying for materials that we're not using," company spokesperson Terry Cunha told the Calgary Sun. "It could have significant impact."

    Now this is the biggest bunch of bumpf I have heard coming from TransCanada (TC).

    It has been reported to me that TC and other pipeline companies are placing steel "sleeves" around the circumference of sections of corroded pipe that have been in the ground for years rather than replacing the pipe.

    It may be that TC has reserved its new pipe for the XL line and not for its other lines where replacing sections of the pipeline has been deferred.

    Perhaps TC can use its current stockpile of pipe to replace sections of the current in-use pipelines already carrying large quantities of Tar Sands crude to the US.

    TC likes to inform the interested public to measures it takes to respond to leaks in its pipelines. TC mentions online that it monitors its pipelines for pressure drops and has valves along the line to stop the flow of product "within minutes".

    Oil travelling through a 1 million barrel a day pipeline travels at a speed of 2 meters per second. Significant amounts of oil will leak from the pipeline before all valves are closed and the remaining oil between the valves seeps into the earth. A spill on average in the US is 100,000 gallons and only 45% of the oil is recovered.

    In Texas, since 1977, there have been 33 significant oil spills from pipelines.

    Readers must take note that over 2 million barrels of oil from the tar sands is already being transported by pipeline to the US.

    An issue that hasn't been discussed is why Canada finds the need to get rid of its resources as fast as it can. Is this an appropriate energy security strategy for future generations of Canadians? Or is this the agenda of the oil company and oil pipeline company CEO's and shareholders?

    Why should Canada think of trading any further oil to the US or China?

    Why does Canada import foreign overseas oil when it has ample resources of its own?

    There is no surplus of oil. It is a finite resource and every gallon you pumped from the ground is one less barrel for the future.