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TransCanada Keystone Pipeline Gets US Permit; Construction to Begin 2Q 2008
15 March 2008
The US Department of State has issued a Presidential Permit to TransCanada Keystone Pipeline authorizing the construction, maintenance and operation of facilities at the US and Canada border to transport crude oil between the two countries. The 3,456-kilometer (2,148-mile) Keystone Pipeline will transport oil sands crude from Hardisty, Alberta to US Midwest markets at Wood River and Patoka, Illinois and to Cushing, Oklahoma.
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| The route of the Keystone pipeline. Click to enlarge. |
The Canadian portion of the project involves the conversion of approximately 864 kilometers (537 miles) of existing Canadian Mainline pipeline facilities from natural gas to crude oil transmission service and construction of approximately 373 kilometers (232 miles) of pipeline, pump stations and terminal facilities at Hardisty, Alberta. The US portion of the project includes construction of approximately 2,219 kilometers (1,379 miles) of pipeline and pump stations.
The Keystone Pipeline will have an initial nominal capacity of 435,000 barrels per day in late 2009 and will be expanded to a nominal capacity of 590,000 barrels per day in late 2010. Keystone has contracts with shippers totalling 495,000 barrels per day with an average term of 18 years.
The Presidential Permit is a significant regulatory approval required to proceed with construction of the Keystone Pipeline, which will move a growing supply of Canadian crude oil to key US markets. We will begin construction in second quarter 2008 to achieve an in-service date of fourth quarter 2009.
—Hal Kvisle, TransCanada president and CEO
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March 15, 2008 in Brief | Permalink | Comments (8) | TrackBack (0)
Comments
Posted by: Harvey D | March 15, 2008 at 10:05 AM
Typical of high handed attempts to paint the Executive Branch with a monarchical brush, this report claims the existence of a "Presidential Permit." In fact no such thing exists except in the wanting minds of the authors.
On August 16, 1968, Democratic President Lyndon Baines Johnson issued Executive Order 11423 conferring certain international permit authority to the Department of State. Under said Order, where the Executive had at times in the past authorized certain cross border construction projects - the entire responsibility was being transferred to the hands of the State Department.
Thus the actual and appropriate name is a State Department international crossing permit. But that doesn't sound official or pompous enough for these authors; once again revealing an ever-so-clumsy attempt to spin a tale to meet agenda. Sorry Hal, all you got was an approval from State. But Ms. Rice is highly competent and certainly no slouch on the importance-meter.
Boom Province Alberta, aka Texas North, becomes a growing point of discomfort for generally green and tolerant Canadians.
Posted by: gr | March 15, 2008 at 10:34 AM
I assume the price of $200/barrel listed for this project was stated in jest?
Why are they converting a gas pipeline to crude? Ran out of gas, or more profit to send crude oil?
Posted by: Tonychilling | March 15, 2008 at 04:53 PM
Tonychilling:
Alberta NG is required locally to extract-process oil from sands. No long term NG surplus for export.
USA has higher need for $200/barrel Oil for beloved gas guzzlers. Also, $657,000,000,000 is a lot of money and may be more than the remaining NG is worth.
Alberta will run out of NG as Tar Sand operation is multiplied and may require a few Nuclear plants to produce the heat and electrical energy required.
This is only the begining. Up to 10 more similar pipelines may be required to transport up to 5 million barrels a day across the border.
Posted by: Harvey D | March 16, 2008 at 01:59 AM
At $200 a barrel, our gas guzzlers will go the way of the dinosaur. I'm just glad to be ahead of the curve with my Corolla and my Honda Reflex scooter.
Posted by: Cervus | March 16, 2008 at 11:51 AM
Cervus:
The last $10 increase only took 10 days. To go from $111 to $200 may not take so many years, unless we reduce liquid fuel consumption soon.
Your Corolla is one of the most efficient ICE in its class. My wife has one and it is very trouble free. At about $18k in Canada, it is very competitive with the Prius at $30K+ around here.
Posted by: Harvey D | March 17, 2008 at 06:44 PM
Cervus:
The last $10 increase only took 10 days. To go from $111 to $200 may not take so many years, unless we reduce liquid fuel consumption soon.
Your Corolla is one of the most efficient ICE in its class. My wife has one and it is very trouble free. At about $18k in Canada, it is very competitive with the Prius at $30K+ around here.
Posted by: Harvey D | March 17, 2008 at 06:46 PM
Have 37 years experience in the Pipeline Industry. Looking for Pipeline Inspection Position. On the Keystone pipeline Progect on the USA side.Thank you.
Posted by: Raivo Telk. | July 17, 2008 at 10:41 AM
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This will total 3,285,000,000 barels or 657,000,000,000 (litres or USD) at 200 USD a barrel over the planned period.
At that will only meet about 2.5% of the USA consumption (at current level).
Does anybody know how much fresh water will be required and how much GHG and other pollution will be produced?