TransCanada terminates Energy East Pipeline and Eastern Mainline projects
06 October 2017
TransCanada Corporation is halting the application process for its proposed Energy East Pipeline and Eastern Mainline projects in Canada. Energy East was to have been a 4,500-kilometer pipeline that would have transported approximately 1.1 million barrels of crude oil per day from Alberta and Saskatchewan to the refineries of Eastern Canada and a marine terminal in New Brunswick.
The Eastern Mainline Project would have included four sections of new 36-inch diameter natural gas transmission pipeline between the City of Markham and the Township of Edwardsburgh/Cardinal.
Transcanada began the application process in 2013, when oil prices were substantially higher. The company has also faced unrelenting environmental opposition to the projects.
As a result of its decision not to proceed with the proposed projects, TransCanada is reviewing its approximate $1.3 billion carrying value, including allowance for funds used during construction (AFUDC) capitalized since inception and expects an estimated $1 billion after-tax non-cash charge will be recorded in the company's fourth quarter results. TransCanada stopped capitalizing AFUDC on the project effective August 23, 2017, as disclosed on September 7, 2017. In light of the project’s inability to reach a regulatory decision, no recoveries of costs from third parties are expected.
—TransCanada President and CEO Russ Girling
Regarless of the Trade Deficits ($10+B/Year) created, the majority of people living in Eastern Canada prefer to continue to import liquid fossil fuel from Norway, Saudi Arabia, Nigeria, Lybia and others.
NG Pipelines are the exception.
Heavy trucks, buses and trains could be converted from diesel to NG? Other light vehicles could be converted to HEVs, PHEVs, BEVs and FCEVs?
Posted by: HarveyD | 08 October 2017 at 12:59 PM
They can not build in Canada but expect to destroy farmland in the U.S.
Posted by: SJC | 10 October 2017 at 08:01 AM