Its demise comes as other North American oil pipelines, including Dakota Access and Enbridge Line 3, face continued opposition from environmental groups. Thanks for signing up. TC Energy already had suspended construction in January when President. On page 90, the report concludes that the United States will import the same amount of crude from Canada through 2030 whether or not Keystone XL is built. The Keystone XL pipeline's developer has halted all construction on the project months after its permit was revoked by the Biden administration. "Stop importing from Russia, start producing more," he tweeted in early March. : Alexis Tereszcuk is a writer and fact checker at Lead Stories andan award-winning journalist who spent over a decade breaking hard news and celebrity scoop with RadarOnline and Us Weekly. The purpose of the pipeline was to transport oil from Canada that is currently being transported some other way. 2023 CNBC LLC. First proposed in 2008, the $8 billion pipeline would deliver over 800,000 barrels of oil a day. https://leadstories.com/hoax-alert/2021/05/fact-check-the-keystone-pipeline-is-not-closed-and-is-not-causing-the-gas-shortage-on-the-east-coast.html, Alexis Tereszcuk is a writer and fact checker at Lead Stories and. Last year, Canada was the largest exporter of crude oil and petroleum products to the U.S., outstripping oil-producing nations in the Persian Gulf, according to the U.S. Energy Information Administration. The policies have helped restrict U.S. oil production, and the fallout from the Keystone Pipeline remains lost on the administration. "You won't see a lot of environmental organizations jumping up and down and saying, 'Hey, this is the best thing ever,'" Kieve said. I will give you the facts and you can decide. Jason Kenney, premier of the Canadian province of Alberta, is now pushing for the Biden administration to revive the Keystone XL pipeline . A little more than a year later, on his first day in office, Biden revoked the federal permit for Keystone XL, leading to the end of a project that had been contested for more than a decade. was to carry about 830,000 barrels a day of . November 18, 2014. Many of these refineries are in Foriegn Trade Zones where oil may be exported to international buyers without paying U.S. taxes. Unlike oil, renewable energy relies far less on fixed and limited natural resources. Keystone XL, an expansion of an existing North American pipeline, would have carried 830,000 barrels of crude oil from Alberta, Canada, to Nebraska dailyat its peak. Expanding the Keystone would have increased global oil production by less than 1%, an amount, they explained, is "almost negligible. TC Energy Corp., the Canadian company that owns the Keystone XL pipelinewith the Alberta government, has said more than 1,000 people are out of work because of Bidens executive order. In a Department of Energy report evaluating Keystone XL's impacts on U.S. energy supply over the next twenty years, the agency found that it will take decades for Canada to produce enough oil to fill existing pipelines. Keystone XL was designed to transport crude oil from Alberta, Canada, to Steele City, Nebraska, where it would connect with TC Energy's existing facilities, which extend to the Gulf Coast. In the meantime, TC Energy's pipeline system in the northern Great Plains experienced a series of leaks of tens of thousands of gallons of oil. Natural Resources Defense Council 2023 Privacy Policy In short: Most of the estimated jobs were temporary. The Keystone XL may never move any oil, but its impact will still linger in the form of the pipes, worker camps, and other assets stranded along its 1,200-mile path. Keystone XL, a US$8-billion oil pipeline that was set to flow from Alberta to Nebraska, is officially scrapped, the project's owner, TC Energy, confirmed on Wednesday. Get this delivered to your inbox, and more info about our products and services. Is the Keystone Pipeline closed and is that causing a gas shortage? How? We use Mailchimp as our marketing platform. Ive also heard opponents say that the project will not create very many high-quality or long-lasting jobs. TC Energy swung to a loss in the first quarter, hit by C$2.2 billion ($1.81 billion) impairment charge related to the suspension of Keystone XL. The war in Ukraine also plays a role, although it was not the instigator of the increase. Second, the bitumen can be blended with lighter hydrocarbons to create a heavy crude. Global Business and Financial News, Stock Quotes, and Market Data and Analysis. But the pipeline would have required years of construction and likely faced legal challenges, so it couldnt have solved todays demand needs. Recent estimates are that the project itself will create about 43,000 permanent jobs. And, we also have the technology to assure that the environment will be protected. This is a blow to U.S. energy security and a blow to the thousands of good-paying union jobs this project would have supported," said Robin Rorick, American Petroleum Institute's vice president of midstream and industry operations. This group must review and issue National Pollutant Discharge Eliminations Systems permits for discharge of pollutants in state waters. ICE Limitations. 4 Min Read. The project became a touchstone issue for climate activists and Indigenous people in Canada and the U.S, including those along the pipeline's route. Booms, Busts And Billionaires: An eBook From Forbes. Data is a real-time snapshot *Data is delayed at least 15 minutes. The Drought In The Western U.S. Is Getting Bad. All rights reserved. Solid green shows the full length in operation and the dotted green line shows the proposed Keystone XL project that was halted in January 2021: Lead Stories has debunked other false claims about the Keystone Pipeline projects impact on gas prices here and here. Colonial Pipeline, a major delivery system spanning from the U.S. Gulf Coast to the East Coast for transportation fuels and other refined petroleum products, halted operations on Friday, May 7, to contain the effects of a cyberattack. This article was produced by the Reuters Fact Check team. The Keystone XL pipeline project began some 12 years ago and has yet to reach the final stages of construction. Rather, experts say gas prices are high due to other factors such as the global spike in the cost of crude oil and increased demand after pandemic lockdowns ended. In this article, I will dispel the myths and rumors and discuss only the facts. Read more about our work to fact-check social media posts here . The Keystone XL crude oil pipeline wasn't yet operational when it was canceled in 2021, and wasn't expected to be running until 2023. Factset: FactSet Research Systems Inc.2019. The Keystone pipeline leaked an estimated 9,120 barrels of oil, or roughly 383,000 gallons, in North Dakota in late October . Critics hate it because they fear it will accelerate "dirty" oil production from Canada's oil sands region in Alberta. Drinking or using tap water treated with chlorine is dangerous because chlorine is a poison., Joe Biden described America as the foothills of the Himalayas with Xi Jinping., Kid Rock tweeted, Some people wouldnt recognize tyranny if it slapped a mask on their face, made them stand 6 feet apart, and forced them to take a vaccine for a virus with a 99.8% survival rate., The train that derailed in Ohio was carrying over 300,000 gallons of a chemical that was banned in 1974.. The US Supreme Court denied a request from the Trump administration to allow construction of the Keystone XL pipeline, upholding a lower court's ruling blocking a permit needed for the project . Although the new Congress will likely pass a bill to allow the pipeline to proceed, I expect the President will veto it. "For 13 years, an international movement of frontline communities in the U.S. and Canada, Indigenous leaders, and environmentalists fought back against this terrible proposed project at every turn," Sierra Club Executive Director Michael Brune said in a statement. In 2008 the country exported 1.8 million barrels a day of refined products, according to EIA. its plants and animals, and the natural systems on which all life depends. It would have carried oil from landlocked Alberta to the U.S. Gulf Coast. (Terray Sylvester/Reuters) . We reached out to the White House for a comment, but we havent heard back. Says he has been to Afghanistan, Iraq and those areas twice as president. President Joe Biden spent his first day in the White House signing a spate of executive orders aimed at undoing the policies of the Trump administration. Got a confidential news tip? The pipeline would have required years of construction and likely faced legal challenges, so it couldnt have solved todays demand needs. The vote was one shy of passage at 59-41. From Canada's perspective, the problem with existing pipelines is they all end in the U.S. Midwest and only allow one buyer - the United States. The Keystone Pipeline in North Dakota was shut down after it leaked oil. ", U.S. Rep. Ilhan Omar is "facing 40 years in prison and deportation after seven new crimes uncovered. On November 19, 2014, the U.S. Senate voted against the passage of the bill which would allow the Keystone XL Pipeline to proceed. It was denied. Since it first went into operation in 2010, TC Energy's original Keystone Pipeline System has leaked more than a dozen times; one incident in North Dakota sent a 60-foot, 21,000-gallon geyser. But activists and scientists argued that to avoid the worst effects of climate change, the world had to keep half of oil and gas reserves in the ground. (AP) The Trump administration on Wednesday approved a right-of-way allowing the Keystone XL oil sands pipeline to be built across U.S. land, pushing the controversial $8. This portion has been flowing since February 2011. Keystone XL is a tar sands pipeline to export oil out of the United States December 20, 2011 Anthony Swift One of the most important facts that is missing in the national debate surrounding. There is also an argument on the impact it may have on the long-term use of land and the harm it may cause to agriculture and cattle grazing. Lawsuits claim it wrecked their teeth. A Facebook post says that Bidens executive order revoking the Keystone XL pipeline "is destroying 11,000 jobs.". Alexis crime reporting earned her spots as a contributor on the Nancy Grace show, CNN, Fox News and Entertainment Tonight, among others. It's important to understand what's contributing to the high prices of oil in the first place. That initial jump in the cost of crude was driven by the ongoing economic recovery, which boosted demand by consumers and businesses that had been dampened by the COVID-19 pandemic. The 1,700-mile (2,735-kilometer) pipeline was planned to carry roughly 800,000 barrels of oil a day from Alberta to the Texas Gulf Coast, passing through Montana, South Dakota, Nebraska, Kansas . The fact that Canada has excess pipeline capacity is well known. By 2011, Keystone XL had upended that quiet bureaucratic process. All Rights Reserved. Oil sands, also called tar sands, are a mixture of clay, sand, water, and heavy black viscous oil known as bitumen. Oil sands production is increasing in the U.S. with the majority of it in the form of heavy crude. The State Department estimated full-time permanent jobs to be closer to 50, Big Oil (Probably) Isn't Going Away Anytime Soon. Gasoline is actually one of the nation's largest exports, going mostly to Latin America. There have been calls to revive the Keystone XL pipeline. Washington, DC A damaged section of the Keystone Pipeline was reopened Thursday after weeks of repairs and clean up following a leak of 600,000 gallons of crude oil into a Kansas creek, officials said. The original petition for permit was denied on January 18, 2012 due to environmental concerns. While the Dakota Access pipeline is moving oil out of North Dakota now, its future is uncertain because of court challenges that still haven't been resolved. With inflation soaring, gas prices have been increasing for months hitting an average of$4.33 a gallon on March 11, according to AAA. President Biden's energy agenda has strengthened Putin at the expense of hard-working Kansans.". CNN Sans & 2016 Cable News Network. update email soon. US President Joe Biden has cancelled permits for the controversial Keystone XL pipeline on his first day in office. The Department of State, in consideration of the permit, must examine the potential impact of the pipeline on the environment, the economy, U.S. energy security, and foreign policy plus a few additional items. (n.d.) The developer has now canceled the controversial project. For the . TORONTO (AP) Construction on the long disputed Keystone XL oil pipeline halted Wednesday as incoming U.S. President Joe Biden revoked its permit on his first day in office. It's true that the 830,000 barrels a day the pipeline is slated to carry would probably replace some of the 2 million barrels a day of heavy oil currently imported to the Gulf Coast. Its proposed route in Nebraska cut through the Ogallala Aquifer, the groundwater source for millions of Plains states residents. Presidential permits require environmental assessments and other federal reviews, but they were generally granted without controversy over the years to Canadian pipelines. It's. The pipeline would also accept U.S. crude from the Bakken oil fields in Montana and North Dakota. Opponents of the line fought its construction for years, saying it was unnecessary and would hamper the U.S. transition to cleaner fuels. Please select all the ways you would like to hear from Lead Stories LLC: You can unsubscribe at any time by clicking the link in the footer of our emails. 33701 "Whenever there is political instability in places that produce a lot of oil, markets react," Nemet said. The pipeline would span 875 miles. Canada doesnt have nearly enough oil to fill existing pipelines going to the United States. The Cushing Extension is 298 miles of 36 pipe which runs from Steele City, Nebraska to crude oil terminals and tank farms in Cushing, Oklahoma. The first is the Gulf Coast Project. Copyright 2023 CBS Interactive Inc. All rights reserved. Canada is our largest trading partner and is important to U.S. job creation. The Keystone XL pipeline was designed to carry tar sands oil from Alberta, Canada, to Nebraska, where it would have connected to the Keystone Pipeline System. Partly false. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. But they also grapple with the destruction of Alberta's forests and health effects that some researchers say could be linked to the strip mining. Official govt docs expose Michelle Obamas 14 year history as a man., "Woody Harrelsons 60 seconds in the middle of his monologue was cut out of the edits released after the show., BREAKING Trump preps Marines to stop presidential coup.. Get browser notifications for breaking news, live events, and exclusive reporting. Lets look at the argument for and against the project. When Canadian regulators at the National Energy Board (NEB) considered the Keystone XL proposal in 2008, they asked TransCanada to justify another pipeline when there was already so much spare capacity. Morningstar: 2019 Morningstar, Inc. All Rights Reserved. The purpose of the estimated jobs were temporary because they fear it will accelerate `` ''! Deportation after seven new crimes uncovered production from Canada that is currently being transported some other way lost... 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