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Thread: Keystone XL Pipeline-Access to World Markets for TransCanada-higher prices in Midwest

  1. #1
    Todd Ianuzzi Guest

    Default Keystone XL Pipeline-Access to World Markets for TransCanada-higher prices in Midwest

    Every Republican energy plan makes the Keystone XL Pipeline a core requirement to lower costs and help achieve the unacheivable, US Energy Independance. When most everyone in a political party supports a proposal, and everyone in the opposition party opposes it, then I sometimes conclude that narrow private interests are at stake, the stakeholders are pumping millions of dollars into political coffers, and political spinmeisters are trying to convince the average American that the proposal is a commonsense solution and the opposition are obstructionists, pandering to their important constitutents, or hate America and want people to live in 50 gulags and rely on a a handout of a bowl of soup a day and birthcontrol pills.

    I stumpled across an article from the Christian Science Monitor and did a little other research. The real purpose of the Keystone Pipeline XL is to create a direct route between the source of the oil and the Gulf Coast where it may be imported to world markets and obtain better prices for TransCanada for its oil.

    The Keysone XL pipeline is not neccessary to supply additional oil to the midwest. The Keystone XL Pipeline will actually take TransCanada oil out of the Midwest market, which is currently oversupplied, and divert that oil to more lucrative world markets. In effect, it will raise the price of oil, gas and diesel in the US midwest.

    I also posted a link to the map of the Keystone Xl proposal, and the existing Transcanda Pipeline.

    Currently, a Transcanada pipeline runs between Hardisty, Alberta to Steele City, NE. From there, the pipline runs to oil tanks in Patoka and then to the refinies in Wood City. These towns are in southern Illinois.

    The current capacity of the pipeline is 435,000 barrels per day.

    An expansion of the pipeline last year took the pipeline to Cushing, OK. Cushing is an oil hub.

    One uncompleted piece of the pipeline will connect Cushing to Port Arthur and Houston.

    The other component, the Keysone, XL, will be a direct pipeline from Hardisty, Alberta to Steele City.

    The pipeline is estimated to raise American oil prices by 4 billion per year. The pipeline will also raise prices in Canda. In effect, it will remove supply from the US, especially the midwest, and put the oil in to higher returning world markets.

    But heh, if Marlin Stutzman thinks completing the Keystone XL peice of the pipeline will magically lower American oil prices, what the heck.

  2. #2

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    Default Re: Keystone XL Pipeline-Access to World Markets for TransCanada-higher prices in Mid

    Everything I have read indicates any oil retrieved from the Keystone XL project will be made available to the highest bidders on the world markets. China is expected to be one of the highest bidders. How on earth Marlin Stutzman expects this to lower American oil prices remains a mystery to me.

    Yes, there will be some temporary jobs for workers building the extended pipelines. In exchange we pump oil from the shale fields in Alaska that have a history of pumping not pure oil, but a gritty mix that has caused the original Keystone oil line corrosion resulting in many leaks. What do these leaks do for us Americans...pollute the lands we live on and drink water from. However, by all means Stutzman, go ahead and rush this bill through congress without a plan B for how we will handle this known hazard to our lands & waterways.

    Has anyone been noticing the rejoicing being done by the GOP over the Volt production lines being shutdown due to slow demand? I don't see a push coming from the GOP to help reduce the oil dependence of our nation. It just more of the same 'Drill, Baby, Drill' mantra. Call me crazy, but I believe any oils drilled within US boundaries should be sold for use within the US. Pretty sure the enthusiasm for XL pipeline will diminish most rapidly if that were the law. Meanwhile we need to recognize the need for diversifying our energy dependence.

    I recently listened to one congressional critic of the Volt (can't remember his name) report that he had tried using a Volt for 1 week. He found it most inconvenient to need to remember to plug it in every night. Maybe his wife or secretary plugs his cellphone and laptop in every night?
    "It is the power of thought that gives man power over nature."
    Hans Christian Anderson

  3. #3
    Todd Ianuzzi Guest

    Default Re: Keystone XL Pipeline-Access to World Markets for TransCanada-higher prices in Mid

    Quote Originally Posted by HoosierHelen View Post
    Everything I have read indicates any oil retrieved from the Keystone XL project will be made available to the highest bidders on the world markets. China is expected to be one of the highest bidders. How on earth Marlin Stutzman expects this to lower American oil prices remains a mystery to me.

    Yes, there will be some temporary jobs for workers building the extended pipelines. In exchange we pump oil from the shale fields in Alaska that have a history of pumping not pure oil, but a gritty mix that has caused the original Keystone oil line corrosion resulting in many leaks. What do these leaks do for us Americans...pollute the lands we live on and drink water from. However, by all means Stutzman, go ahead and rush this bill through congress without a plan B for how we will handle this known hazard to our lands & waterways.

    Has anyone been noticing the rejoicing being done by the GOP over the Volt production lines being shutdown due to slow demand? I don't see a push coming from the GOP to help reduce the oil dependence of our nation. It just more of the same 'Drill, Baby, Drill' mantra. Call me crazy, but I believe any oils drilled within US boundaries should be sold for use within the US. Pretty sure the enthusiasm for XL pipeline will diminish most rapidly if that were the law. Meanwhile we need to recognize the need for diversifying our energy dependence.

    I recently listened to one congressional critic of the Volt (can't remember his name) report that he had tried using a Volt for 1 week. He found it most inconvenient to need to remember to plug it in every night. Maybe his wife or secretary plugs his cellphone and laptop in every night?
    The rejoicing by Republicans over slow sales by he Volt are beneath contempt, but lacking any energy policy except short term supply increases, what would you expect? The nation is drilling away and production is at a six-year high. The country is awash in natural gas, and plenty of government land is available for lease. Deep water drilling is picking up the pace.

    One of the most curious things about the Republican party is that Obama, a centrist president who does much what the Republicans want, is still savaged by them.

    As I have watched the last four years, and the spectacle of the GOP primary, I have come to believe that the major difference between the parties is far more than idealaogical. The Democrats are a party built to governs, while the republicans are structured only to win elections.

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