The Keystone XL pipeline was designed to transport oil to the Gulf Coast because refineries in the region are already equipped to process heavier crude oils, like those found in Canada's Alberta . Though the Keystone Pipeline XL had secured full funding through 2022, only 8% of it had been built by the time President Biden revoked the projects permit in the United States. The pipeline would have required years of construction and likely faced legal challenges, so it couldnt have solved todays demand needs. All Rights Reserved. Presidential permits require environmental assessments and other federal reviews, but they were generally granted without controversy over the years to Canadian pipelines. Canceling the Keystone Pipeline Is a Mistake. The current part of the Keystone pipeline that already exists uses 2,638 miles of hardened steel built to "withstand impact from a 65-ton excavator with 3.5-inch teeth," according to . 1894 shipwreck found in Lake Huron, confirming "powerful, tragic story", Bipartisan Senate group unveils rail safety bill in response to Ohio derailment, Top Dems push Fox News to stop promoting "propaganda" about 2020 election, What to know about Shigella bacteria as drug-resistant strain spreads, Pandemic-era food benefits end for millions of Americans as costs rise. It carries crude oil to refineries and terminals. Which argument is right? Keystone XL would be Canadas first step in diversifying its energy market. It's a great day for Mother Earth," Larry Wright Jr., chairman of the Ponca Tribe of Nebraska, said in a statement. The. The petition was made to the U.S. Department of State because it would cross the U.S. border. It is not shut down. However, the Canadian government has put the brakes on the two pipeline proposals to export tar sands through its provinces due to the need to take more time to listen to its own public's concerns about water and safety. Note: if reading this fact check makes you want to contact us to complain about bias, please check out our Red feed first. Climate Change Is Making It Worse, . This type of project has been completed numerous times before. The pipeline was expected to stretch from Alberta to Nebraska, allowing 830,000. The pipes pass through North Dakota, South Dakota, Nebraska, Kansas, Missouri, and Oklahoma. All content of the Dow Jones branded indices S&P Dow Jones Indices LLC 2019 and/or its affiliates. Offers may be subject to change without notice. The pipeline would divert large volumes of Canadian oil from the Midwest to the Gulf Coast, where it would be available for the first time to buyers on the world market. In 2008, TC Energy, then known as TransCanada, announced plans to build a pipeline that would carry 830,000 barrels of crude oil daily from Hardisty, Alberta, through the Great Plains to refineries on the Texas Gulf Coast. Why the pipeline? That very well may be the case as Valero, one of the largest prospective purchasers of Keystone XL's crude, has already told its investors the its future business is in international export. Three lawmakers from Pennsylvania, including Pittman, are hoping Biden will allow TC Energy to continue with Keystone XL pipeline construction so that the U.S. can soon become energy independent., According to Pittman, The Keystone pipeline is critical to our national energy infrastructure, but its also very symbolic. Energy from solar panels, wind turbines and other low-carbon technologies also tends to get cheaper the more widely it is used, they said. A map of the Keystone XLs route alongside the existing Keystone Pipeline System, operating since 2010, can be seen here . But It's Definitely Changing, In A Landmark Case, A Dutch Court Orders Shell To Cut Its Carbon Emissions Faster, 'Energy Justice' Nominee Brings Activist Voice To Biden's Climate Plans. The Keystone XL pipeline was expected to carry 830,000 barrels per day of Alberta oil sands crude to Nebraska. On his first day as the 46th President of the United States, Joe Biden signed an executive order revoking permission for the construction of the Keystone XL oil pipeline, an $8 billion, a 1,200-mile-long project that was supposed to carry up to 830,000 barrels of oil per day. Canada-based TC Energy . Video shows President Joe Biden recalling an alien encounter. In a Wednesday statement, the Canadian developer TC Energy said that after reviewing its options with. Gregory Nemet, professor of public affairs at the University of Wisconsin-Madison's Wisconsin Energy Institute, pointed out that the cost of oil has steadily increased since last fall, when it was around $70 a barrel, to more than $130 last week before settling back at around $100 a barrel on Tuesday. It seems as though the polarization of the United States is increasing. Market data provided by ICE Data Services. This story begins in Hardisty, Alberta, Canada with a company called TransCanada. Pipe intended for use in. By contrast, Mr. Biden's decision with the International Energy Agency to release 30 million barrels of oil from the nation's Strategic Petroleum Reserve puts downward pressure on gas prices in the short-term, Kieve said. Lead Stories is a U.S. based fact checking website that is always looking for the latest false, misleading, deceptive or 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 . In October, TC Energy awarded contracts to six American union contractors to build the Keystone XL pipeline in three states in 2021. Keystone XL supporters, including most of the oil industry, said the pipeline construction would have created much-needed construction jobs. All times are ET. The Keystone XL pipeline was expected to carry 830,000 barrels per day of Alberta oil sands crude to Nebraska, but the project was delayed for the past 12 years due to opposition from U.S. landowners, Native American tribes and environmentalists. 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. Get this delivered to your inbox, and more info about our products and services. Well get to that in a moment. The transport capacity of the Keystone XL pipeline, which Biden canceled, would have been about 830,000 barrels per day more than the amount of oil being imported to the United States from Russia. Oil sands crude emits about 17% more greenhouse gases than traditional oil, according to the U.S. State Department, largely due to the heat it takes to separate the oil from the sand. Oil sands production is increasing in the U.S. with the majority of it in the form of heavy crude. Updated on: March 17, 2022 / 11:57 AM "The oil is continuing to flow in, just through other means. Environmental activists and indigenous communities hailed the cancellation, and traders and analysts said U.S.-Canada pipelines will have more than enough capacity to handle increasing volumes of crude out of Canada, the primary foreign supplier of oil to the United States (here). ", stated on February 8, 2023 in a blog post. The Keystone XL pipeline was. There are already about 2.3 million miles of pipeline across the US, carrying oil and natural gas. 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. Thanks for signing up. "But there is a recognition that those types of actions may have some impact on the prices that Americans are paying at the pump.". This area has highly porous soil and shallow groundwater. Now for the issue that has polarized America. For the . Earlier this month, Representative Edward Markey asked TransCanada's President Alex Pourbaix to support a condition that would require the oil on Keystone XL to be used in the United States. Former U.S. President Donald Trump had approved a permit for the line in 2017, but it continued to face legal challenges that hampered construction. 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. inaccurate stories, videos or images going viral on the internet. Ive also heard opponents say that the project will not create very many high-quality or long-lasting jobs. On February 9, 2005, TransCanada (now TC Energy) announced plans to construct a pipeline to move 400,000 barrels per day of Canadian heavy crude oil from Hardisty, Alberta, to Illinois. Stevenson confirmed that as of late 2020, about 152 kilometers, or 93 miles, of pipeline had been laid near the U.S.-Canada border. "It's that as we produce more and more of these clean energy technologiesthey get more affordable for everyone. By late 2019, the Nebraska State Supreme Court seemed to clear one of the last hurdles for Keystone XL by approving its route through the state. So we wanted to take a closer look. As the Entertainment Editor, she investigated Hollywood stories and conducted interviews with A-list celebrities and reality stars. Legal challenges continued against it, further stalling the project. The Keystone XL pipeline's developer has halted all construction on the project months after its permit was revoked by the Biden administration. Our network of natural gas pipelines supplies more than 25 per cent of the clean-burning natural gas consumed daily across North America to heat homes, fuel industries and generate power. "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. Even if the Biden administration were to immediately offer new oil leases to drillers, it wouldn't help with the costs Americans are bearing today. TC Energy already had suspended construction in January when President. was to carry about 830,000 barrels a day of . Construction began in April 2020, but that same month,a federal courtsaid that the project had to go through a full endangered species review. Canada-based TC Energy first proposed the 1,200 mile Keystone XL pipeline in 2008 as a way to quickly pump 830,000 barrels of tar sands (a.k.a. 727-821-9494, The Keystone XL pipeline "would have produced 830,000 barrels of oil per day, more than enough to offset what we import from Russia. TC Energy already had suspended construction in January when President Biden revoked a key cross-border presidential permit. The Biden administration has repeatedly pushed back against proposals to revive the pipeline expansion. Get browser notifications for breaking news, live events, and exclusive reporting. All Rights Reserved. The State Department is one of 15 departments under the executive branch of the federal government. (n.d.) The Keystone XL Pipeline is a proposed 1,700 mile expansion to the current pipeline, which would branch west, impacting an additional state, Montana, and end in Cushing Oklahoma. It runs from the Western Canadian Sedimentary Basin in Alberta to refineries in Illinois and Texas, and also to oil tank farms and an oil pipeline distribution center in Cushing, Oklahoma. (n.d.) The pipeline would span 875 miles. LOUIS (AP) An oil leak near St. Louis prompted the closure of parts of two pipelines as crews work to determine the source, company officials and Missouri regulators said Thursday. The project was delayed for the past 12 years due to opposition from U.S. landowners, Native American tribes and environmentalists. Building the Keystone XL pipeline would have fostered the expansion of the Canadian oil sands industry by increasing access to U.S. markets and international ones through exports from the Gulf Coast. Data is a real-time snapshot *Data is delayed at least 15 minutes. Lawsuits claim it wrecked their teeth. Copyright 2023 CBS Interactive Inc. All rights reserved. We want to hear from you. The first is the Gulf Coast Project. This project would have produced 830,000 barrels of oil per day, more than enough to offset what we import from Russia.". The Drought In The Western U.S. Is Getting Bad. Expanding the Keystone would have increased global oil production by less than 1%, an amount, they explained, is "almost negligible. But both TC Energy and the State Department have said the majority of those jobs would be temporary. The current Keystone Pipeline transports approximately 700,000 barrels of oil a day from Canada to Texas. The Keystone Pipeline moves crude oil from tar sands refineries in Canada and the Midwest to refineries in Texas. It was commissioned in 2010 and was to have four phases. In the ad, which began running on Facebook and Instagram on Feb. 25, the day after the invasion, LaTurner stated: "President Biden canceled the Keystone XL Pipeline on his first day in office. The policies have helped restrict U.S. oil production, and the fallout from the Keystone Pipeline remains lost on the administration. 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. These typically exist in community groups and environmental organizations. 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 . In fact, the Keystone Mainline is 1,353 miles of 30 pipe which extends from Hardisty, Alberta to refineries in Wood River and Peoria, Illinois. The total capacity of both is expected to be about 1.3 million bpd. Yet many experts agree that moving ahead with the pipeline wouldn't have prevented U.S. gas prices from climbing to a record high. "And so we've got 8 billion people that are consuming oil and many countries that are producing it, and it all goes into one market.". For information about our privacy practices, please visit our website. President Joe Biden in January 2021 revoked the permit for an add-on to the Keystone system, but the rest of the system is still running. From there, refined petroleum products could be sold either in the U.S. or to foreign buyers. Specifically, the original pipeline route would have passed through an environmentally sensitive area of Nebraska known as the Sand Hills region. BILLINGS, Mont. The current cost of oil takes partly into account the. Although the extraction of oil sands is increasing in the U.S., transportation options from the Midwest to the Gulf Coast are limited. I cover the intersection of economics, politics and personal finance. 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. This portion would transport oil over 435 miles through 36 pipe running from Cushing, Oklahoma to Port Arthur, Texas. Simply stated, Keystone XL is a way to get Canadian oil out of the United States, not into it. I ask, why not? Environmentalists opposed the pipeline in part because of the oil it would carry oil sands crude from Alberta. In summary, Keystone is good for the economy, good for U.S. energy independence, and good for the American consumer. (Terray Sylvester/Reuters) . The pipeline's opponents in Nebraska feared that any leak from Keystone XL would damage the critical aquifer, and they welcomed the end of the project. Keystone XL is a relatively small issue compared to the entirety of the existing U.S. pipeline system. 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. "By revoking the Keystone pipeline permit, Biden is destroying 11,000 jobs and roughly $2 billion in wages," the post says. By 2012 that number had fallen to 8.5 million barrels a day. All rights reserved. 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. Many of these refineries are in Foriegn Trade Zones where oil may be exported to international buyers without paying U.S. taxes. Canadians, including Indigenous peoples, have benefited economically from the oil sands mining. Even in the future, there would be no certainty that the pipeline could produce a net increase of 800,000 barrels a day. Although the new Congress will likely pass a bill to allow the pipeline to proceed, I expect the President will veto it. Biden had committed to canceling the project during his campaign and revoked the permit soon after taking office. A Warner Bros. "You won't see a lot of environmental organizations jumping up and down and saying, 'Hey, this is the best thing ever,'" Kieve said. Keystone XL would divert Canadian oil from refineries in the Midwest to the Gulf Coast where it can be refined and exported. Canada is our largest trading partner and is important to U.S. job creation. In a world of wild talk and fake news, help us stand up for the facts. Its shares closed largely flat on the Toronto Stock Exchange. Let us know!. TC Energy planned to invest the remaining $2.7 billion to fund the project. Copyright 2023 Politifact. Therefore, about 8% of the planned 1,210-mile XL extension had been built by the time President Biden revoked the permit. As the Entertainment Editor, she investigated Hollywood stories and conducted interviews with A-list celebrities and reality stars. At the time Mr. Biden halted its construction, the $8 billion expansion was only about8% complete, according to Reuters. Got a confidential news tip? First proposed in 2008, the $8 billion pipeline would deliver over 800,000 barrels of oil a day. The Reuters Fact Check team previously debunked social media claims surrounding the Keystone XL Pipeline, here . See here for a complete list of exchanges and delays. "It wouldn't be online and wouldn't be pumping oil until the year 2023. But the latest figures show a general trend downward and that by October 2021, the figure was 595,000. TC Energy owns the existing Keystone oil pipeline, which runs from Alberta to the U.S. oil storage hub in Cushing, Oklahoma, and to the U.S. Gulf, along with a power and storage business. President Biden's energy agenda has strengthened Putin at the expense of hard-working Kansans.". Bidens order revokes the permit that was grantedMarch 29, 2019, by then-President Donald Trump on the grounds that it is harmful to the environment. This portion has been flowing since February 2011. The idea that Keystone XL will improve U.S. oil supply is a documented scam being played on the American people by Big Oil and its friends in Washington DC. keep you informed with the latest alerts and progress reports. Three of the phases have now been completed, while the fourth one, an extension known as the Keystone XL (which stands for Keystone export limited), was cancelled in 2021. 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. The fact that Canada has excess pipeline capacity is well known. The State Department estimated full-time permanent jobs to be closer to 50. When Biden became President of the United States, he scrapped the project and essentially put it to bed. The GAO study showed that the U.S. stretches of TC Energy's 2,700-mile Keystone pipeline had a failure rate in line with the national average during its first six years of service, with most of . This is what the post looked like on Facebook at the time of writing: (Source: Facebook screenshot taken on Tue May 11 19:45:12 2021 UTC). "By revoking the Keystone pipeline permit, Biden is destroying 11,000 jobs and roughly $2 billion in wages," the post says. The Keystone pipeline does not carry gasoline. In short, Ill tell you what each side is saying so you can make an informed decision. Colonial Pipeline shut down distribution on May 7, 2021, following the cyberattack. Its proposed route in Nebraska cut through the Ogallala Aquifer, the groundwater source for millions of Plains states residents. 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. The Keystone XL pipeline is a 1,200 mile pipeline that will safely deliver crude oil from Canada and North Dakota to the United States. According to TC Energy, the entire Keystone XL pipeline project would have cost around $8 billion to complete. By Dennis Romero. One recent issue involves the passage of the Keystone XL pipeline. So "here's the deal": The Keystone XL pipeline was going to be built to offset declining imports from Venezuela, because Canadian oil is the same type as what they produce in Venezuela. "Instead of having international competition for a scarce resource where everybody wants the oil and there's a fixed amount of it, it's different," Nemet said. South Dakota Gov. (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. Mr. Pourbaix refused, saying that a requirement to keep oil on Keystone XL in the United States would cause refineries to back out of their contracts. TC Energy had begun construction on the pipeline last year and said about 300 miles of the $8 billion project had been built. 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. Keystone XL would have passed through Nebraska, and for years, a coalition of Indigenous tribes, ranchers and local environmentalists demonstrated, lobbied and sued to halt the pipeline's construction. A storage yard in Montana contains pipe that was to be used in the construction of the Keystone XL oil pipeline. Keystone XL was halted by owner TC Energy after U.S. President Joe Biden this year revoked a key permit needed for a U.S. stretch of the 1,200-mile project. "Unusual cancers are exploding right into stage 4" and those cancer cells have the spike protein. The pipeline was set to carry oil 1,200 miles (1 . This article was produced by the Reuters Fact Check team. ", Earthquake in Turkey and Syria is "a systemic attack against Kurdish people.". Russia is the world's second-largest exporter of crude oil, according to the U.S. Energy Information Administration. Texas Rep. Dan Crenshaw, who has urged the Biden administration to ramp up domestic oil production, said in a tweet the day before Russia's February 24 attack that the Keystone project would have produced 830,000 barrels of crude per day. This dental device was sold to fix patients' jaws. This caused the fuel shortages on the East Coast of the United States. The Keystone XL Pipeline, a planned extension to this larger system that would run 1,210 miles from Hardisty, Alberta to Steele City, Nebraska, is considered the fourth phase of the Keystone Pipeline System (www.keystonexl.com/about/). And right now in Minnesota there are protests around Enbridge's Line 3 project that's under construction. As the war between Ukraine and Russia continues to unfold, lawmakers in various states think Biden must take action now so that the U.S. doesn't rely on foreign oil. On his first day in office, President Joe Biden signed an executive order canceling the Keystone XL Pipeline Project. The Keystone pipeline leaked an estimated 9,120 barrels of oil, or roughly 383,000 gallons, in North Dakota in late October . And that is exactly what Valero, one of the largest potential buyers of Keystone XL's oil, has told its investors it will do. 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