Oil Sands Project in Canada Will Go On if Pipeline Is Blocked: New York Times

New York Times
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Oil Sands Project in Canada Will Go On if Pipeline Is Blocked

One way or another — by rail or ship or a network of pipelines — Canada will export oil from its vast northern oil sands projects to the United States and other markets.

The oil sands have reserves of 171.3 billion barrels, according to estimates by the provincial government of Alberta.

So the regulatory battle over the proposed Keystone XL pipeline, which would link the oil sands to the Gulf Coast of the United States, may be little more than a symbolic clash of ideology, industry experts say. Even if the Obama administration rejects the Keystone plan, the pace of oil sands development in northern Alberta is unlikely to slow

U.S. ambassador to Canada: Reduce oilsands’ environmental impact: Calgary Herald

Calgary Herald


U.S. ambassador to Canada: Reduce oilsands’ environmental impact

Alberta will continue to feed America’s energy needs but must work to clean up resource extraction operations, David Jacobson, the U.S. Ambassador to Canada, said Tuesday…..

However, additional improvements in the environmental performance of oilsands extraction operations are “necessary,” he said.

“We’re aware of the progress that has been made to address some of the environmental impacts in the Alberta oilsands. . . . But as I’ve said on many occasions in the past, additional improvements are necessary.”

The Canadian Association of Petroleum Producers took a more positive spin on Jacobson’s speech in this tweet.

@OilGasCanada US ambassador sees Canada as a pillar “safest and most secure foreign supplier” http://goo.gl/HgB24 #KeystoneXL #tarsands #oilsands

TransCanada’s new pipeline project worries U.S. agency: Calgary Herald

Calgary Herald

 TransCanada’s new pipeline project worries U.S. agency

The U.S. Environmental Protection Agency has expressed new fears about the safety of Calgary-based TransCanada Corp.’s proposed Keystone XL oilsands pipeline, warning decision makers in the Obama administration to “carefully consider” whether the project’s proposed route through ecologically sensitive areas in the U.S. Great Plains is appropriate.

 In a letter to the State Department, the EPA said two recent leaks that shut down the existing Keystone pipeline highlight the need to require the Canadian company to take more rigorous steps to limit the threat of a major spill on the new line.

Environmentalists pin hope on Obama opposition to pipeline project: Globe and Mail

Globe and Mail  

TransCanada Corp.’s proposed Keystone XL pipeline has become a litmus test in the U.S. battle over energy policy, as the environmental movement looks for reassurance that President Barack Obama is committed to combatting climate change.

 Prodded by congressional Republicans for a quick decision, the U.S. State Department concludes a comment period on Monday for its draft environmental impact statement on the XL project. 

 The final version – to be issued this summer – will likely conclude that the environmental concerns should not derail the project, despite troublesome leaks from the existing Keystone pipeline, which was shut last week after a small leak in Kansas.

US allows restart of Keystone pipeline: Reports

There are media reports that the United States Pipeline and Hazardous Material Safety Administration is permitting the restart of the Keystone pipeline after earlier saying it could not be restarted following a spill on May 29.

 

The Wall Street Journal reports

The U.S. Department of Transportation on Saturday approved TransCanada Corp.’s plan to restart its Keystone pipeline…. TransCanada on Saturday provided results of its testing along the Keystone and can restart it as soon as the morning of July 5, the PHMSA said in a letter to the company.

“Based on a review of the information submitted, the restart plan is approved,” PHMSA Central Region Director David Barrett said in the letter.

Reuters reports that pipeline could start as early as Sunday:

 

TransCanada Corp (TRP.TO) can restart its Keystone oil pipeline on Sunday, after the company satisfied a series of safety conditions following leaks that idled the key export line twice in less than a month, the U.S. pipeline safety regulator said on Saturday. 

 The U.S. Pipeline and Hazardous Materials Safety Administration said it approved resumption of crude flows from Canada on the pipeline after the agency evaluated the company’s restart plan and was satisfied safety requirements were met.

As of this posting there is no confirming information on the PHMSA or TransCanada websites.

US orders Keystone pipeline shut down after leaks: Globe and Mail

The Globe and Mail 

U.S. regulators have barred TransCanada Corp. from restarting its Keystone pipeline until the company can provide more proof that the system is safe, after several leaks in just a year of operation….. 

 Following at least three Keystone leaks in May, the U.S. Pipeline and Hazardous Materials Safety Administration took sudden action Friday. It issued a corrective action order that mandates 14 steps TransCanada must take before resuming operations, including demands for information, mechanical and metallurgical testing and a report on all issues and incidents on the line…. 

 For Canada’s oil and gas industry, the Keystone outage is just the latest in a series of pipeline-related headaches. A major Michigan spill on an Enbridge Inc. pipeline last summer resulted in rolling outages that lasted until this spring, as the company worked to fix problems on the line

Document
US Pipeline and Hazardous Materials Administration order to shut down the Keystone pipeline (PDF)

Keystone XL pipeline would accelerate U.S. addiction to Canadian oil: report: PostMedia News

PostMedia News

A controversial $13-billion pipeline project originating in Hardisty, Alta., will accelerate U.S. addiction to Canadian oil, says a newly-released report from Natural Resources Canada.

 “The Keystone XL project is seen as both furthering U.S. dependence on oil, and enabling more oilsands crude to enter the U.S. market,” said the document, released through access to information legislation… 

 “Although the Keystone XL pipeline was certificated in Canada in late April 2010, the company continues to wait for approvals in the U.S. before it can begin construction,” said the report, obtained by Ottawa researcher Ken Rubin. “This . . . has been caused by U.S. opposition to imports of ‘dirty’ Canadian crude oil from the ‘tar sands….'” 

 The Natural Resources Canada report, entitled “Current Pipeline Issues,” was finalized on Oct. 22, 2010, and listed senior bureaucrats… from the oil and gas policy and regulatory division of the department as its key contacts.

No real need for pipeline between oilsands and West Coast: bureaucrat: Vancouver Sun

Vancouver Sun


A multi-billion dollar pipeline project that would link the oilsands region to the coast of British Columbia offers new export capacity that the Canadian industry does not really need, senior bureaucrats have told the federal government… 

 The details of the federal assessment were released in over 300 pages of internal documents from Natural Resources Canada, obtained by Postmedia News, which also noted rising public opposition to Enbridge’s proposed project over concerns about oil spills that could plague pristine natural habitat on land and water — especially in light of recent accidents such as BP’s Gulf Coast well blow-out and an Enbridge crude oil pipeline rupture and leak into the Kalamazoo River in Michigan.

Editor’s note The Sun says Environmental Defence of Toronto filed the original Access To Information request.

TransCanada defends pipeline project in Washington

PostMedia News

Calgary-based TransCanada Corp. courted its U.S. congressional allies — and confronted its foes — on Monday amid an effort by Republicans to pass legislation forcing the Obama administration to approve the controversial Keystone XL pipeline before the end of 2011.
In testimony before the House subcommittee on energy and power, TransCanada executive Alex Pourbaix dismissed as “completely false” allegations by environmental groups that diluted bitumen from Alberta’s oilsands is more dangerous and corrosive to transport than conventional heavy oil.

A dire warning from a broken pipe: Globe and Mail

Globe and Mail

A dire warning from a broken pipe

The Rainbow spill is just the latest in a series of oil leaks in North America’s vast pipeline network over the past year, and comes as Canadian energy giants are pressing to win approval for some of their most ambitious projects to date. Those include TransCanada Corp.’s Keystone XL pipeline to ship oil sands crude to the Gulf of Mexico, and Enbridge Inc.’s Northern Gateway pipeline to take Alberta crude to the British Columbia coast for shipment to then to Asia, a plan that faces fierce opposition from first nations.