[pepsionice]

Won’t matter. With oil sitting at less than $60 a barrel...zero chance they will build the sands pipeline.

[thackney]

With oil sitting at less than $60 a barrel...zero chance they will build the sands pipeline.

The Keystone XL pipeline was first publicly proposed in Feb 2005. The price of oil back then was $45.

A pipeline isn't about producing oil, it is about moving it. It doesn't matter the total price, it matters the difference in price between the two ends. And we are not going to use less oil at $50~60 oil than we did at $100.

[iontheball]

Won’t matter. With oil sitting at less than $60 a barrel...zero chance they will build the sands pipeline.
_______________________________________________
As usual the Republicans have blown this issue too. It’s now too late, the train has left the station with $60 a barrel oil. Leave it to Republicans to shoot themselves in the foot.

[DaveA37]

“Won’t matter. With oil sitting at less than $60 a barrel...zero chance they will build the sands pipeline.”....

I tend to agree. Noticed an article earlier today that these low prices are definitely hurting the fracking industry. Definitely NOT good for the local area economy since our part of Wisconsin is a MAJOR supplier of frack sand. There are a number of plants that have already scaled back on production. Is this all by design? Perhaps.

[Former Proud Canadian]

Au contraire. Oilsands oil is going under $40/barrel. They would die to get $50 right now, or even $45.

The push to get the Keystone built is because oilsands production is "shut in" to a certain extent because it cannot get to market. Northern Alberta is awash in the stuff, hence there is a huge discount from WTI or Brent.

[Boogieman]

Yep, leave it to the GOP to focus on last year’s issues instead of today’s.

[woodbutcher1963]

I disagree, the construction of the pipeline is about LOWERING the shipment cost to get it to refiners. Therefore, increasing the price FOB Alberta once the pipeline is done. Keep in mind, Alberta is landlocked. You have to pump the oil to Vancouver to load it on a boat now. Then it has to travel through the Panama canal to get to TX or LA. I do not know what this costs/barrel, but I am sure the pipeline will lower it substantially. They calculated the return on investment based on what the pipeline company gets/barrel to pump the oil. So, as the price of the commodity decreases, the incentive to lower fixed costs goes up.

[albertabound]

do you really believe oil will stay at $60.00 a bbl