Oil Sands Still Face Pipeline Problems

Oilprice.com ^ | 05-11-2015 | keystone

[bananaman22]

In recognition that its campaign is heading for near certain failure, TransCanada hopes to delay the review process of its proposed Keystone XL pipeline until the next administration.

TransCanada sent a letter to Secretary of State John Kerry asking for a “pause” in the review process. The letter is a last ditch effort on behalf of the company to save the project, presumably hoping for a Republican in the White House in 2017.

Environmental groups hailed the move as a win, but want U.S. President Barack Obama to administer a coup de grace by rejecting the pipeline outright. They may just get the total victory they are seeking. The Washington Post reports that the administration is preparing a rejection, citing anonymous sources familiar with the process. And on November 2, White House Press Secretary Josh Earnest alluded to the fact that TransCanada won’t get its wish to punt on the project until the next president. “[O]ur expectation at this point…is that the president will make a decision before the end of his administration on the Keystone pipeline, but when exactly that will be I don’t know at this point,” he said.

Even if rejected, TransCanada could always reapply under the next administration. But even under the most optimistic scenario, the project remains years away from operation (TransCanada estimates it will take 2.5 years to construct the pipeline after it receives necessary permits).

[TexasCajun]

Ted sure is gonna have a busy 1st day on the job, nullifying every one of Barack’s Executive Orders.