Canada's Government Buys Controversial Oil Pipeline, To Ensure It Gets Expanded

[thackney]

Canada's Government Buys Controversial Oil Pipeline, To Ensure It Gets Expanded
https://www.npr.org/sections/thetwo-way/2018/05/29/615197549/canadas-government-buys-controversial-oil-pipeline-to-ensure-it-gets-built
May 29, 2018

Calling a controversial pipeline expansion "a vital project in the national interest," Canadian Prime Minister Justin Trudeau says his government is buying the Trans Mountain pipeline to ensure that the expansion is built, despite protests from environmentalists and other groups.

The government is taking control of both the 715-mile pipeline and its expansion that is meant to increase capacity to 890,000 barrels a day. To do so, Canada will pay the pipeline's current owner, Kinder Morgan, $4.5 billion in Canadian dollars – about $3.5 billion in U.S. currency.

"Today, we've taken action to create & protect jobs in Alberta and BC, and restart construction on the TMX pipeline expansion, a vital project in the national interest," Trudeau said in a tweet.

The pipeline connects oil sands facilities near Edmonton, Alberta, to tanks in Burnaby, near Vancouver on Canada's west coast. Its expansion is a key part of Canada's effort to boost oil exports to Asian markets — but the plan has been protested by indigenous groups and environmental activists, who warn of the risks of a spill and the hazards of increased petroleum tanker traffic....

[thackney]

A very good summary of the port and passageway to the ocean for this expanded facility.

https://www.theglobeandmail.com/news/british-columbia/kinder-morgan-trans-mountain-pipeline-bc-coast/article35043172/

[IsailedawayfromFR]

Exactly opposite response from the Canadian federal govt to what the US federal govt under Obama did during initial Keystone days.

Likely the Canadian feds get a lot more income from Alberta oil than the US feds on Keystone would have ever gotten.

[Smokin Joe]

Exactly opposite response from the Canadian federal govt to what the US federal govt under Obama did during initial Keystone days.

Likely the Canadian feds get a lot more income from Alberta oil than the US feds on Keystone would have ever gotten.

The Obama Government did all it could to stymie development of oil and gas in the US, only the mineral rights being in private hands on private lands and the ability of the industry to find creative solutions to get product to refineries and market foiled that. With the completion of DAPL (thanks, Pres. Trump), that movement of crude oil out of this region has been further facilitated.

Up North, between the Environmentalists and some concerns from First Nations, the development of pipelines to get bitumen from the 'tar' sands to market has been facing similar roadblocks. With the Canadian Government behind it, there is a solid chance the project will be done, and the Canadian Government will reap direct economic benefits from that trade.