TransCanada

Tue, 2013-12-10 12:01Steve Horn
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TransCanada Begins Injecting Oil Into Keystone XL Southern Half; Exact Start Date A Mystery

Keystone XL's southern half is one step closer to opening for business. TransCanada announced that “on Saturday, December 7, 2013, the company began to inject oil into the Gulf Coast Project pipeline as it moves closer to the start of commercial service.”

The Sierra Club's legal challenge to stop the pipeline was recently denied by the U.S. Court of Appeals for the Tenth Circuit, so the southern half, battled over for years between the industry and environmentalists, will soon become a reality.

According to a statement provided to DeSmog by TransCanada, “Over the coming weeks, TransCanada will inject about three million of [sic] barrels of oil into the system, beginning in Cushing, Oklahoma and moving down to the company’s facilities in the Houston refining area.”

In mid-January, up to 700,000 barrels per day of Alberta's tar sands diluted bitumen (dilbit) could begin flowing through the 485-mile southern half of TransCanada's pipeline, known as the Gulf Coast Project. Running from Cushing, Oklahoma to Port Arthur, Texas, the southern half of the pipeline was approved by both a U.S. Army Corps of Engineers Nationwide Permit 12 and an Executive Order from President Barack Obama in March 2012.

BloombergThe Canadian Press and The Oklahoman each reported that the Gulf Coast Project pipeline is now being injected with oil. Line fill is the last key step before a pipeline can begin operations. 

“There are many moving parts to this process – completion of construction, testing, regulatory approvals, line fill and then the transition to operations,” TransCanada spokesman Shawn Howard told DeSmog. “Line fill has to take place first, then once final testing and certifications are completed, the line can then go into commercial service.”

Residents living along the length of the southern half will have no clue about the rest of the start-up process, as TransCanada says it won't provide any more information until the line is already running. “For commercial and contractual reasons, the next update we will provide will be after the line has gone into commercial service,” the company announced.

When DeSmog asked whether the company is currently injecting conventional oil or diluted bitumen sourced from the Canadian tar sands, TransCanada's Howard replied: 

“Many people like to try and categorize the blend, etc., however we are injecting oil into the pipeline. As you’ve likely seen me quoted before, oil is oil and this pipeline is designed to handle both light and heavy blends of oil, in accordance with all U.S. regulatory standards.

I am not able to provide you the specific blend or breakdown as we are not permitted (by our customers) from disclosing that information to the media. There are very strict confidentiality clauses in the commercial contracts we enter into with our customers, and that precludes us from providing that. The reason is that if we are providing information about a specific blend, when it is in our system, etc. – that has the potential to identify who our customers may be or allow others to take financial positions in the market and profit from that information when others do not have access to the same information. This has much farther reaching impacts for the financial markets (and ultimately all of us).”

Wed, 2013-11-27 10:58Steve Horn
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Firm with History of Spill Cover-Ups Hired to Clean Up North Dakota Oil Spill

Tesoro Logistics — the company whose pipeline spilled more than 800,000 gallons of fracked Bakken Shale oil in rural North Dakota in September — has hired infamous contractor Witt O'Brien's to oversee its clean-up of the biggest fracked oil spill in U.S. history.

The oil was obtained via hydraulic fracturing (“fracking”) in the Bakken Shale basin.

As revealed after ExxonMobil hired the same firm in the aftermath of a 210,000-gallon tar sands oil spill in April 2013, Witt O'Brien's — formerly known as OOPS, Inc. — is a firm with a history of oil spill cover-ups dating back to the Exxon Valdez oil spillIt also oversaw the spraying of toxic oil dispersants into the Gulf of Mexico during BP's summer 2010 mega-spill and a literal cover-up of Enbridge's massive “dilbit disaster” tar sands pipeline spill in Michigan. 

Witt O'Brien's also won a $300,000 contract to develop an emergency response plan for TransCanada’s Keystone XL tar sands export pipeline in August 2008.

The same firm is now maintaining Tesoro's website dedicated to offering updates — also known as crisis communications management — for the massive spill's recovery efforts at TesoroAlert.com

Buried at the bottom of the website is a mention that the site is “powered by the PIER System.” PIER — short for “Public Information Emergency Response” — is owned by Witt O'Brien's.

Screen Shot Taken Nov. 25, 2013

Tue, 2013-11-26 15:31Steve Horn
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Obama Approves Major Border-Crossing Fracked Gas Pipeline Used to Dilute Tar Sands

Although TransCanada's Keystone XL tar sands pipeline has received the lion's share of media attention, another key border-crossing pipeline benefitting tar sands producers was approved on November 19 by the U.S. State Department.

Enter Cochin, Kinder Morgan's 1,900-mile proposed pipeline to transport gas produced via the controversial hydraulic fracturing (“fracking”) of the Eagle Ford Shale basin in Texas north through Kankakee, Illinois, and eventually into Alberta, Canada, the home of the tar sands. 

Like Keystone XL, the pipeline proposal requires U.S. State Department approval because it crosses the U.S.-Canada border. Unlike Keystone XL - which would carry diluted tar sands diluted bitumen (“dilbit”) south to the Gulf Coast - Kinder Morgan's Cochin pipeline would carry the gas condensate (diluent) used to dilute the bitumen north to the tar sands.

“The decision allows Kinder Morgan Cochin LLC to proceed with a $260 million plan to reverse and expand an existing pipeline to carry an initial 95,000 barrels a day of condensate,” the Financial Post wrote

“The extra-thick oil is typically cut with 30% condensate so it can move in pipelines. By 2035, producers could require 893,000 barrels a day of the ultra-light oil, with imports making up 786,000 barrels of the total.”

Increased demand for diluent among Alberta's tar sands producers has created a growing market for U.S. producers of natural gas liquids, particularly for fracked gas producers.

“Total US natural gasoline exports reached a record volume of 179,000 barrels per day in February as Canada's thirst for oil sand diluent ramped up,” explained a May 2013 article appearing in Platts. ”US natural gasoline production is forecast to increase to roughly 450,000 b/d by 2020.”

Fri, 2013-11-22 12:37Steve Horn
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US Court Denies Halt on Pipeline Set to Replace Keystone XL Northern Half

Flanagan south, keystone xl pipeline

The ever-wise Yogi Berra once quipped “It's like déjà vu all over again,” a truism applicable to a recent huge decision handed down by the United States District Court for the District of Columbia. 

A story covered only by McClatchy News' Michael Doyle, Judge Ketanji Brown Jackson shot down Sierra Club and National Wildlife Federation's (NWF) request for an immediate injunction in constructing Enbridge's Flanagan South tar sands pipeline in a 60-page ruling.

That 600-mile long, 600,000 barrels per day proposed line runs from Flanagan, Illinois - located in the north central part of the state - down to Cushing, Oklahoma, dubbed the “pipeline crossroads of the world.” The proposed 694-mile, 700,000 barrels per day proposed Transcanada Keystone XL northern half also runs to Cushing from Alberta, Canada and requires U.S. State Department approval, along with President Barack Obama's approval. 

Because Flanagan South is not a border-crossing line, it doesn't require the State Department or Obama's approval. If Keystone XL's northern half's permit is denied, Flanagan South - along with Enbridge's proposal to expand its Alberta Clipper pipeline, approved by Obama's State Department during Congress' recess in August 2009 - would make up that half of the pipeline's capacity and then some. 

Thu, 2013-11-14 05:29Julie Dermansky
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Don't Mess With Texas: Michael Bishop's Battle Against TransCanada Keystone XL Tar Sands Pipeline

If you ever doubted that one man's stand against the oil and gas industry can make a difference, consider the case of Michael Bishop. The 65 year old Marine veteran, first year medical student, farmer, and partner in a bio-diesel engineering venture, resides in Douglass, Texas, where he is trying to stop the Keystone XL pipeline by means of multiple lawsuits.

His federal case against the U.S. Army Corps of Engineers won an entry of default because the Corps failed to respond in the time allocated by the court. The lawsuit asserts the Corps granted environmental permits to TransCanada Keystone XL pipeline illegally. It could be a short-lived victory for Bishop. 

Listen to Michael Bishop explain his lawsuit against TransCanada:

Tue, 2013-11-12 08:02Steve Horn
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Public Citizen Report Reveals Dents, Holes in Keystone XL Southern Half Weeks Before Planned Startup

The southern half of Transcanada's Keystone XL tar sands pipeline is supposed to begin pumping up to 700,000 barrels of diluted bitumen per day through the Cushing, OK to Port Arthur, TX route within weeks. But is it ready to operate safely?

Public Citizen has released a chilling report revealing that the 485-mile KXL southern line is plagued by dents, faulty welding, exterior damage that was patched up poorly and misshapen bends, among other troubling anomalies.

In conducting its investigative report, “Construction Problems Raise Questions About the Integrity of the Pipeline,” Public Citizen worked on the ground to examine 250 miles of the 485 mile pipeline's route. The group and its citizen sources uncovered over 125 anomalies in that half of the line alone. These findings moved Public Citizen to conclude the southern half of the pipeline shouldn't begin service until the anomalies are taken care of, and ponders if the issues can ever be resolved sufficiently.

After President Barack Obama temporarily denied a permit for Keystone XL's northern half in January 2012, the U.S. Army Corps of Engineers granted Keystone XL's south half a legally dubious Nationwide Permit 12 to expedite construction. Soon after, President Obama issued his own Executive Order in March 2012 calling for the expedited building of the south half in de facto support of the Corps' permit. 

An August report by industry intelligence firm Genscape said the pipeline, rebranded by Transcanada as the “Gulf Coast Project,” will ship tar sands dilbit through the line beginning in the first quarter of 2014. Now, the race to build the south half literally looks like it could come with major costs and consequences.  

Wed, 2013-10-16 12:18Carol Linnitt
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Canadian Taxpayers Fund Harper’s $65,000 Keystone XL Advertising Trip

The hotel rental for Prime Minister Stephen Harper’s September visit to New York City cost Canadian taxpayers a total of $65,582.91 according to documents recently released by CTV News.

Canada and the U.S. are making important progress on enhancing trade, travel and investment flows between our two countries, including securing our borders, speeding up trade and travel, modernizing infrastructure in integrated sectors of the North American economy, and harmonizing regulations,” Harper said at the event. “But there is much more that can be done, and must be done, to make our economic relationship more productive and seamless.” 

The event, organized by the Canadian American Business Council, gave Harper the opportunity to tell an audience of American business executives that he wouldn’t “take no for an answer” on the controversial Keystone XL pipeline, planned to carry tar sands crude from Alberta to oil refineries in the Gulf of Mexico.

The hotel bill for the luxurious New York Palace Hotel, which was mistakenly sent to CTV’s Washington bureau, suggests Harper’s speaking engagement was a staged promotional gathering for the Keystone XL, rather that a typical guest speaker event which are usually paid for by the host.

The hotel charges include coffee services for $6,650.00, room rental for $33,500.00 and audio visual services of $14,709.15. An overall service charge for the room and coffee came to $9,234.50.

Sun, 2013-10-13 19:19Steve Horn
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US Court: Transcanada's Keystone XL Profits More Important than Environment

In a major ruling that's flown under the radar, the U.S. Court of Appeals for the Tenth Circuit - based in Denver, Colorado - decided not to grant the Sierra Club and Clean Energy Future Oklahoma a temporary injunction on the construction of the southern half of Transcanada's Keystone XL tar sands export pipeline

The Court's decision hinged on an “injury” balancing test: Would Transcanada be hurt more financially from receiving an injunction? Had it lost, it would be stuck with one until Sierra Club, et al receive a U.S. District Court decision on the legality of the U.S. Army Corps of Engineers' decision to grant Transcanada a Nationwide Permit 12 (NWP 12) for construction of what's now called the Gulf Coast Pipeline in February 2012. 

Or would ecosystems suffer even greater and potentially incalculable damage from the 485-mile, 700,000 barrels per day pipeline crossing 2,227 streams?

In a 2-1 decision, the Court sided with Transcanada, and by extension, the U.S. Army Corps of Engineers. The Court ruled, “the threatened environmental injuries were outweighed by the financial harm that the injunction would cause Transcanada.”

Commenting on the case brought by Sierra Club, et al, Judge Jerome A. Holmes and Judge Paul J. Kelly, Jr. - appointees of President George W. Bush and President George H.W. Bush, respectively - shot down the arguments sharply.

U.S. Appeals Court for the 10th Circuit Judge Jerome A. Holmes; Photo Credit: The White House

Holmes and Kelly ruled that Sierra Club, et al failed to show how the pipeline will have a significant environmental impact despite the fact it's been deemed a “fuse to the biggest carbon bomb on the planet” by retired NASA climate scientist James Hansen. 

Construction of Keystone XL's southern half - subject of significant grassroots activism by the Tar Sands Blockade and others - is now nearly complete. Tar sands dilbit is slated to begin to flow through it in early 2014. 

Wed, 2013-10-09 15:51Kevin Grandia
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Influence in America: A Report on TransCanada Corporation's Keystone XL Lobbying Activities

According to a new white paper by DeSmog Canada, TransCanada Corporation, the company behind the Keystone XL pipeline proposal, has spent more than $4 million lobbying U.S. federal lawmakers and government department staff since 2010.  

The results can be found in a new white paper released today by DeSmog Canada that you can view here: Influence in America: A report on TransCanada Corporation's Keystone XL Lobbying Activities [PDF].

(or click on the image below to download the white paper)

Wed, 2013-10-09 05:00Steve Horn
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Obama's Former Communications Director Anita Dunn Pitches "Ethical Oil" Keystone XL Ad

Ezra Levant is the man behind an attempt to re-frame the Alberta tar sands as “ethical oil.” “Ethical” - Levant's deceptive public relations campaign argues of the tar sands “carbon bomb” - because it doesn't come from the war-ridden and human rights-abusing Middle East. 

Now, the “ethical oil” campaign has a new backer: Anita Dunn, former White House Communications Director for President Barack Obama and current Principal of SKDKnickerbocker, a public relations firm with offices in Washington, D.C.; New York City and Albany.

SKDK - as covered here on multiple occasions by DeSmogBlog - does PR for Transcanada, the company behind the controversial Keystone XL tar sands export pipeline. Transcanada has paid SKDK - and by extension, Dunn - to place ads in strategic television and radio markets in the Washington, D.C. area. 

America imports millions of barrels of oil from the Middle East every week,” a narrator says in an ominous tone in the most recent ad, as images of violent protests in the Middle East blare across the screen. “But we don’t have to.”

The T.V. ad then switches to serene music and landscape views with pipeline stretched across it, alluding to “ethical oil” coming from Canada if the northern half of Transcanada's Keystone XL pipeline is approved by both the U.S. State Department and President Barack Obama.

The radio ad - also singing the “ethical oil” tune - claims that building the northern half of the Keystone XL will create “over 40,000 good American jobs.” Independent studies point to it creating 35 full-time jobs and 3,950 temporary construction jobs

The New York Times explained that Transcanada paid Dunn and SKDK to place the “ethical oil“-style ad “to reach power players in Washington’s media market.”

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