1.1
million barrels a day. That is > 1.2% of global consumption. An
enormous amount of dilbit. And no mention of the climate change
implications. Yes, the Canadian government and TransCanada really do
want to destroy our planet.
---Paul Beckwith
TransCanada
to go ahead with new pipeline from Western to Eastern Canada
The
proposed pipeline will take crude from western provinces as far east
as Saint John, N.B., passing through other Canadian cities, including
Montreal.
The
Star ,
1
August, 2013
TransCanada
Corp. will go ahead with a $12 billion project to carry western
Canadian oil to Canada’s east coast, and beyond, the company says.
That
means converting 3,000 kilometres of the company’s main natural gas
pipeline to carry oil, and constructing another 1,400 kilometres of
new pipeline, mostly in Quebec and New Brunswick.
Comparing
the project with the nation-building construction of the Canadian
Pacific Railway, chief executive Russ Girling said the line should be
ready to deliver oil to Quebec refineries in 2017, and New Brunswick
in 2018.
Following
TransCanada’s announcement, Irving Oil said it plans to build a
$300-million marine oil terminal in Saint John, N.B.
Another
marine terminal is planned for an as-yet undetermined location in
Quebec. In the west, a big new oil hub will have to be built
somewhere in southeastern Saskatchewan – a hub that could also
handle oil flowing from the Bakken region straddling the Canada-U.S.
border.
Canadian
Natural Resources Minister Joe Oliver said the line must undergo
regulatory review.
But
Oliver welcomed TransCanada’s announcement Thursday that it will
proceed with the project. He said in an e-mailed statement the
pipeline would enhance the country’s energy security and reduce its
reliance on foreign crude.
“Our
government will only allow energy projects to proceed if they are
proven safe for Canadians after an independent, science-based
environmental and regulatory review,” the minister said.
The
pipeline will help carry a swelling supply of crude oil from western
Canada.
Oil
production in the west – currently in excess of 3 million barrels a
day – is projected to more than 6 million barrels a day by 2030 as
oil sands production continues to grow.
TransCanada’s
new project, dubbed Energy East, will be able to carry 1.1 million
barrels of crude eastward. The company has contracts with shippers
for 900,000 barrels a day.
TransCanada
is also hoping to ship Canadian oil south to the Gulf of Mexico on
its Keystone XL pipeline, a project that has yet to receive approval
from President Barack Obama.
Girling
said the Energy East project is independent of Keystone XL.
Not
everyone greeted the announcement with enthusiasm.
The
Council of Canadians said it will launch a national campaign to stop
the pipeline.
The
council said the pipeline is not safe, and is unlikely to provide
energy security for Atlantic Canadians or generate decent jobs.
“While
there has been a lot of talk about Atlantic energy security, this
crude will actually go to the highest bidder. India, China, Europe
and the U.S. are in line,” said Maude Barlow the council’s
national chairperson.
Girling
said that the market will decide where the oil ends up, acknowledging
that there are opportunities for the oil to be shipped to the U.S.
eastern seaboard, which imports 800,000 barrels a day from offshore.
But
he said the market forces favour much of the oil remaining in Canada.
East coast refineries currently use 700,000 barrels of oil a day –
all of it imported – and western Canadian oil should be able to
displace that because of the lower shipping cost, he said.
“The
primary driver of this project has been to supply Canadian
refineries,” he said.
Canadian
refiners have already contracted for delivery of much of the oil,
Girling said: “I do strongly believe that Canada will be served
first.”
TransCanada
has been looking for new uses for its main gas pipeline because the
volumes it carries have shrunk, displaced by shale gas flooding up
from the U.S.
Girling
said he doesn’t think the conversion of a portion of the gas line
to carry oil will starve eastern Canada of natural gas, and has
already talked to its gas customers.
“What
we’ve said to them is we will ensure we have the capacity available
to meet their needs,” he said.
TransCanada
officials said the pipe in the ground is capable of carrying either
gas or oil; it won’t have to be dug up and replaced.
But
a natural gas pipeline is powered by compressors to keep the gas
moving to market. Oil needs to be pumped, not compressed, so
TransCanada will have to build about 70 pumping stations along the
pipeline to move the oil.
Well, so does China..
ReplyDeletewe are fuc*ed, or so it seems to me these days...