TransCanada

Tue, 2014-06-03 17:34Julie Dermansky
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Breaking: TransCanada Shuts Down Southern Leg of Keystone XL Pipeline, Raising “Suspicions”

KXL install in TX copyright Julie Dermansky

TransCanada shut down the southern leg of the Keystone XL (now called the Gulf Coast Pipeline Project) on June 2 for “routine work,” according to Reuters.  

“Pipelines aren't normally shut down for maintenance shortly after being started up. They may have planned it but something is wrong,” an industry insider told DeSmogBlog. “A two day shutdown on a new line raises suspicions.”

The Pipeline and Hazardous Material Safety Administration was unable to provide an answer to DeSmogBlog when asked to confirm if the shutdown was due to routine work today.

Tue, 2014-06-03 13:15Julie Dermansky
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Questions Raised About Integrity of Keystone XL's Southern Route After Conditions Added for Northern Leg

The Keystone XL pipeline's southern route passes under Eleanor Fairchild's Texas property, so she got angry when she learned that the Pipeline and Hazardous Materials Safety Administration (PHMSA) has added two new conditions to the 57 already required for construction of the pipeline's northern route.

“My fears were confirmed,” Fairchild told DeSmogBlog. “The regulators knew the southern route wasn’t built safely. It is like they have said to hell with us in Texas and Oklahoma.”


Eleanor Fairchild was defiant when TransCanada started installing the pipeline on her land. She kept a watchful eye during the installation and repair of the pipeline. ©2012 Julie Dermansky

Julia Trigg Crawford, another Texas landowner who fought TransCanada in the courts, shared a link to an Associated Press story that focuses on the two new conditions. “Read this ASAP to see why Texans and Oklahomans were so outraged about TransCanada's abysmal construction record on the southern leg of the Keystone XL,” she wrote.

Julia Trigg Crawford
Julia Trigg Crawford was labeled an activist by TransCanada attorney James Freemand. She considers herself a patriot for standing up for all Americans' property rights. ©2013 Julie Dermansky

The conditions require TransCanada to hire a third-party contractor chosen by PHMSA to monitor the construction and make reports to the U.S. government on whether the work is sound. Additionally, TransCanada must “develop and implement a quality management system that would apply to the construction of the entire Keystone XL project in the U.S. to ensure that this pipeline is — from the beginning — built to the highest standards by both Keystone personnel and its many contractors.”

The Tar Sands Blockade, an activist group that independently monitored the pipeline installation after failing to stop it, wrote on its blog that the new conditions suggest there are serious problems with the southern route.

“TransCanada’s internal quality management and PHMSA’s external inspection program were inadequate, if not fatally flawed. The failures implied by these new conditions beg the question: If TransCanada wasn’t adequately inspecting its own work, and PHMSA didn’t have the third-party inspection company it needed for effective oversight, was anyone actually watching TransCanada?”

Mon, 2014-05-05 11:13Indra Das
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Details of TransCanada Pipeline Safety Whistleblower Scandal Emerge Amid Keystone XL Delay

transcanada keystone xl pipeline

Former TransCanada employee and engineer Evan Vokes, who released thousands of pages of records after he was dismissed by the corporation in 2012, believes that a newly acquired internal email shows his managers tried to discredit him for raising the alarm on their safety practices.

Vokes obtained the email in Feburary 2014 through access to information legislation, reports Mike De Souza for InsideClimate News. Most of the message was censored by TransCanada before release, but the first line clearly mentions “managing the EV [Evan Vokes] credibility issue.”

“My understanding is that we have been reasonably successful at influencing authorities [redacted] and pointing out EV is disgruntled, and actually had the responsibility to correct these same matters and did not,” reads the email, dated July 26, 2013.

Mon, 2014-05-05 10:33Steve Horn
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For First Time, TransCanada Says Tar Sands Flowing to Gulf in Keystone XL South

TransCanada admitted for the first time that tar sands oil is now flowing through Keystone XL's southern leg, now rebranded the Gulf Coast Pipeline Project. The company confirmed the pipeline activity in its 2014 quarter one earnings call.

Asked by Argus Media reporter Iris Kuo how much of the current 300,000 to 400,000 barrels per day* of oil flowing from the Cushing, Oklahoma to Port Arthur, Texas pipeline is tar sands (“heavy crude,” in industry lingo), TransCanada CEO Russ Girling confirmed what many had already suspected.

“I don’t have that exact mix, but it does have the ability to take the domestic lights as well as any heavies that find a way down to the Cushing market, so it is a combination of the heavies and the lights,” said Girling. “I just don’t know what the percentage is.”

The Keystone Pipeline System — of which Keystone XL's northern leg is phase four of four phases — is and always has been slated to carry Alberta's tar sands to targeted markets. So the announcement is far from a shocker.


Image Credit: Wikimedia Commons

More perplexing is why it took so long for the company to tell the public that tar sands oil now flows through the half of the pipeline approved via a March 2012 Executive Order by President Barack Obama

Fri, 2014-05-02 10:42Judith Lavoie
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U.S. Officials Search For Answers On Bitumen Spills As Canada Eyes Enbridge, Kinder Morgan Oil Pipelines

EPA sampling during Enbridge bitumen spill

U.S officials are struggling to figure out how bitumen from the Alberta oilsands will behave if there is a spill either from a pipeline or into the Salish Sea, the fragile ocean environment between Canada and the U.S.

As the U.S. debates the future of the TransCanada Keystone XL pipeline, which would transport Alberta oil to the Gulf Coast, and Canada looks at Kinder Morgan's proposed twinning of the Trans Mountain pipeline and the proposed Enbridge Northern Gateway project, there is a growing urgency to find out how diluted bitumen behaves if there is a spill, said scientists, policy makers and environmentalists gathered in Seattle for the Salish Sea Ecosystem Conference this week.

“Does it float or not float? That's the question,” said Gary Shigenaka, marine biologist with the U.S. National Oceanic and Atmospheric Administration (NOAA) hazardous materials response division, flashing a picture of thick, black bitumen extracted from the oilsands.

NOAA is studying the behaviour of bitumen and the diluent with which it is mixed to make the peanut-butter like substance flow through pipelines, but, so far, there are few concrete answers, Shigenaka said.

Studies show that although diluted bitumen — dilbit — initially floats in water, it sinks when it is mixed with sediment, which would happen in high turbulence or in areas such as a river estuary, Shigenaka said.

Fears about the behaviour of bitumen in water have been growing since the 2010 spill of about 3.2 million litres (843,000 gallons) of thick crude into a tributary of the Kalamazoo River in Michigan. It was the first spill of diluted bitumen from Alberta into a waterway, and agencies struggled to cope with a substance that released toxic fumes from the diluent and then sank as the bitumen mixed with river sediment.

Thu, 2014-05-01 12:06Steve Horn
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Gulf Stream: Williams Suspends Bluegrass Gas Export Pipeline, Announces New Export Line

Right before the champagne bottles began popping for activists engaged in a grassroots struggle to halt the construction of Williams Companies' prospective Bluegrass Pipeline project — which the company suspended indefinitely in an April 28 press release — Williams had already begun raining on the parade.

The pipeline industry giant took out the trash on Friday, April 25, announcing its intentions to open a new Louisiana pipeline named Gulf Trace.

Akin to TransCanada's ANR Pipeline recently reported on by DeSmogBlog, Gulf Trace is not entirely “new,” per se. Rather, it's the retooling of a pipeline system already in place, in this case Williams' Transco Pipeline system

The retooling has taken place in the aftermath of Cheniere's Sabine Pass LNG export facility receiving the first ever final gas export permit from the U.S. Federal Energy Regulatory Commission (FERC) during the fracking era.

Williams' Transco Pipeline System; Photo Credit: William Huston

Both ANR and Gulf Trace will feed into Sabine Pass, the Louisiana-based LNG export terminal set to open for business in late 2015Also like ANR, Transco will transform into a gas pipeline flowing in both directions, “bidirectional” in industry lingo.

Bluegrass, if ever built, also would transport fracked gas to the Gulf Coast export markets. But instead of LNG, Bluegrass is a natural gas liquids pipeline (NGL)

“The project…is designed to connect [NGLs] produced in the Marcellus-Utica areas in the U.S. Northeast with domestic and export markets in the U.S. Gulf Coast,” it explained in an April 28 press release announcing the project's suspension. 

Wed, 2014-04-30 21:55Steve Horn
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Explosive Virginia Train Carried Fracked Bakken Oil, Headed to Potential Export Facility

Platts confirmed CSX Corporation's train that exploded in Lynchburg, Virginia was carrying sweet crude obtained via hydraulic fracturing (“fracking”) in North Dakota's Bakken Shale basin. CSX CEO Michael Ward has also confirmed this to Bloomberg.

“Trade sources said the train was carrying Bakken crude from North Dakota and was headed to Plains All American's terminal in Yorktown,” Platts explained. “The Yorktown facility can unload 130,000 b/d of crude and is located on the site of Plains oil product terminal.”

In January, the U.S. Department of Transportation's Pipeline and Hazardous Materials Safety Administration issued a Safety Alert concluding Bakken crude is more flammable than heavier oils. Hence the term “bomb trains.”

At least 50,000 gallons of the oil headed to Yorktown is now missing, according to ABC 13 in Lynchburg. Some of it has spilled into the James River, as previously reported on DeSmogBlog.

A map available on CSX's website displaying the routes for its crude-by-rail trains offers a clear indication of where the train was headed.


Map Credit: CSX Corporation

Formerly a refinery owned by Standard Oil and then BP/Amoco, Plains All American has turned the Yorktown refinery into a mega holding facility. 

Yorktown may become a key future site for crude oil exports if the ban on exports of oil produced domestically in the U.S. is lifted. 

Tue, 2014-04-22 15:09Steve Horn
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Earth Day Greenwash: API Front Group Iowa Energy Forum Sponsors Pro-Keystone XL Event

The political carnival that is the prelude to the Iowa caucuses has started over a year and a half early. At the center of it this time around: a game of political hot potato over the northern leg of TransCanada's Keystone XL tar sands pipeline.

American Petroleum Institute (API) deployed one of its paid consultants — former Obama Administration National Security Advisor General James “Jim” Jones — to deliver an Earth Day address in the home state of the presidential caucuses at Drake University in Des Moines, Iowa.

James Jones used his time on the podium to promote the Keystone XL tar sands pipeline, which another James — retired NASA climatologist James Hansen — once called a “fuse to the biggest carbon bomb on the planet.”

“General James Jones…will discuss the benefits of the pipeline initiative, including more jobs, less dependence on foreign oil, and cheaper energy costs for Americans,” explained an April 15 Drake University press release promoting the event.


Gen. James Jones; Photo Credit: Wikimedia Commons

Days after the Obama Administration decided to delay making a decision on Keystone XL North until after the 2014 mid-term elections, API went on the offensive, with Jones acting as the group's surrogate.

API is using one of its numerous front groups that could factor most prominently during election season: the Iowa Energy Forum, chief sponsor and organizer of the event titled, “The Pipeline to National Security Discussion.”

Fri, 2014-04-18 12:05Steve Horn
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Keystone XL Review Extended, Delaying Final Decision Until After 2014 Elections

Reuters and Politico broke a major story today that TransCanada's northern leg of the Keystone XL tar sands pipeline will not be decided on until after the 2014 mid-term elections.

“The U.S. State Department will…extend the government comment period on the Keystone XL pipeline, likely postponing a final decision on the controversial project until after the November 4 midterm elections,” Reuters explained.

Secretary of State John Kerry and President Barack Obama have final say over whether the pipeline will be built because it crosses the U.S.-Canada border.

Reporters learned of the decision after a call between high-level congressional staff and State Department officials. 

“The justification is the need to wait on continued litigation over a Nebraska court decision earlier this year, which threw part of the project’s route in doubt, two sources said today after a call between the State Department and congressional staff,” reported Politico.

In the end, the decision came down to politics, according to Politico, though there are no shortage of climate change and ecological concerns for the prospective pipeline.

“A delay past November would spare Obama a politically difficult decision on whether to approve the pipeline, angering his green base and environmentally minded campaign donors — or reject it, endangering pro-pipeline Democrats,” they reported.

Fri, 2014-04-18 10:28Steve Horn
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"Russia with Love": Alaska Gas Scandal is Out-of-Country, Not Out-of-State

A legal controversy — critics would say scandal — has erupted in Alaska's statehouse over the future of its natural gas bounty.

It's not so much an issue of the gas itself, but who gets to decide how it gets to market and where he or she resides.

The question of who owns Alaska's natural gas and where they're from, at least for now, has been off the table. More on that later.

At its core, the controversy centers around a public-private entity called the Alaska Gasline Development Corporation (AGDC) created on April 18, 2010 via House Bill 369 for the “purpose of planning, constructing, and financing in-state natural gas pipeline projects.” AGDC has a $400 million budget funded by taxpayers. 

AGDC was intially built to facilitate opening up the jointly-owned ExxonMobil-TransCanada Alaska Pipeline Project for business. That project was set to be both a liquefied natural gas (LNG) export pipeline coupled with a pipeline set to bring Alaskan gas to the Lower 48.    

Photo Credit: TransCanada

Things have changed drastically since 2010 in the U.S. gas market though, largely due to the hydraulic fracturing (“fracking”) boom. And with that, the Lower 48 segment of the Alaska Pipeline Project has become essentially obsolete.

Dreams of exporting massive amounts of Alaskan LNG to Asia, however, still remain. They were made much easier on April 14, when the Kenai LNG export facility received authorization to export gas from the U.S. Department of Energy.

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