The Keystone Pipeline: A Never-ending Saga. 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. It was denied. Therefore, about 8% of the planned 1,210-mile XL extension had been built by the time President Biden revoked the permit. 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. Its proposed route in Nebraska cut through the Ogallala Aquifer, the groundwater source for millions of Plains states residents. It is not shut down. Washington, DC 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. State Disclosures, Director, Canada Project, International Program. , according to the U.S. Energy Information Administration. The post was flagged as part of Facebooks efforts to combat false news and misinformation on its News Feed. Learn more about Mailchimp's privacy practices here. Before we explain Keystone, let me first state that beneath the ground of these United States are thousands upon thousands of miles of existing pipeline transporting natural gas and oil. "You won't see a lot of environmental organizations jumping up and down and saying, 'Hey, this is the best thing ever,'" Kieve said. Related: If Wall Street's right, Obama may nix Keystone. 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 policies have helped restrict U.S. oil production, and the fallout from the Keystone Pipeline remains lost on the administration. Legal challenges continued against it, further stalling the project. "In total, Keystone XL is expected to employ more than 11,000 Americans in 2021, creating more than $1.6 billion in gross wages.". Many of these refineries are in Foriegn Trade Zones where oil may be exported to international buyers without paying U.S. taxes. "But there is a recognition that those types of actions may have some impact on the prices that Americans are paying at the pump.". TransCanada is a Canadian company that builds and operates energy infrastructure across the North American continent. LaTurner said in an ad: The Keystone XL pipeline "would have produced 830,000 barrels of oil per day, more than enough to offset what we import from Russia. According to TC Energy, the entire Keystone XL pipeline project would have cost around $8 billion to complete. Keystone XL, which was proposed in 2008 to bring oil from Canada's Western tar sands to U.S. refiners, 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. All Rights Reserved. It did not specify exactly how many jobs would be lost. The third group is the Bureau of Land Management which grants temporary permits for portions of the project that would encroach on federal lands. 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.. Its symbolic of whether or not were willing to embrace the natural resources that we have in our country. Pipeline opponents are invigorated by the Keystone XL decision and hope for more wins. A lot has changed since the Keystone XL project was proposed in 2005. Get browser notifications for breaking news, live events, and exclusive reporting. The developer has now canceled the controversial project. Most of those positions would have been temporary construction jobs. Gas prices hit record highs as more Americans return to the office, MoneyWatch: Soaring gas prices putting strain on American households, U.S. concerns about TikTok are "absolutely valid," expert says, Belarus dictator to visit China as key Putin allies bolster ties, Hague "people's court" wants Putin held accountable for crimes against Ukraine, Diplomats in London show support for Ukraine by swimming in Hyde Park lake, U.S. must "sustain" its involvement in Ukraine war, secretary of state says, American Fuel and Petrochemical Manufacturers. But the Trump administration revived the pipeline in early 2017. 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. On March 7, Fox News' Peter Doocy asked White House Press Secretary Jen Psaki whether Mr. Biden would "ever undo his executive order that stopped the construction of the Keystone XL" in an effort to lower gas prices. The project was delayed for the past 12 years due to opposition from U.S. landowners, Native American tribes and environmentalists. An oil spill in a creek in northeastern Kansas shut down a major pipeline that carries oil from Canada to the Texas Gulf Coast, briefly causing oil prices to rise Thursday. "Keystone would have helped ease those fears while giving America the flexibility to counter Russian aggression by expanding energy exports to Europe," she wrote. The Keystone XL was designed to carry more than 830,000 barrels a day of crude oil, virtually all of it coming 1,210 miles from the tar sands to Steele City, Neb. Market data provided by ICE Data Services. Weve seen several similar postsoffer other figures for how many jobs were lost as a result of Bidens executive order, ranging from 12,000 to83,000. Canadians, including Indigenous peoples, have benefited economically from the oil sands mining. In 2005, the company announced its intentions to build a pipeline to transport crude oil from the oil sands region of Alberta, Canada to the existing Keystone Pipeline in Steele City, Nebraska. All rights reserved. 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. Russia is the world's second-largest exporter of crude oil, according to the U.S. Energy Information Administration. When you sign up you'll become a member of NRDC's Activist Network. Disclaimer. For the . The oil and gas industry forms the basis of a tight economic bond between the U.S. and Canada, which made the progress of Keystone XL such a protracted, high-stakes fight. (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 can be processed to remove the bitumen which can be sent to refineries in two different forms. US President Joe Biden has cancelled permits for the controversial Keystone XL pipeline on his first day in office. I will give you the facts and you can decide. To secure our energy independence for not only economic interests, but national security interests., Latest Energy & Utilities News and Updates. Without support from the U.S. government, its effectively halted. First, the arguments against the project. Refining analysts say both. Keystone XL supporters, including most of the oil industry, said the pipeline construction would have created much-needed construction jobs. The project has become a matter of intense debate in the United States. "The Keystone was not an oilfield it's a pipeline," she responded. The punishing economic sanctions imposed by the West on Russia for its invasion ofUkraine have roiled global energy markets, with a U.S. ban on Russian oil imports further pushing up gas prices for Americans. Thanks largely to better fuel economy and higher prices, the long-term demand for gasoline in the United States is either flat or declining. The company behind the controversial Keystone XL oil pipeline said Wednesday it's officially terminating the project. 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. Senator Joe Pittman said the U.S. imports around 800,000 barrels of oil per day from Russia, reports CBS Pittsburgh News. The company reportedly secured $1.1 billion, enough to cover construction through 2020, and expected to receive $4.2 billion in 2021 and 2022. The Keystone XL pipeline, which is owned by TC Energy Corp (NYSE: TRP), was reportedly less than 10 percent built when Biden pulled the plug on the project. Jason Kenney, premier of the Canadian province of Alberta, is now pushing for the Biden administration to revive the Keystone XL pipeline . Colonial Pipeline, a 2.5-million-barrel-per-day (b/d) system of approximately 5,500 miles of pipeline, is a significant mode of shipment for transportation fuels for the East Coast, particularly for several states in the southeastern United States. 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). 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. "But in terms of gasoline prices and global oil prices, it's just something it's better to just ignore because it would have no impact. Examples of posts making this claim can be found here , here and here . Alexis crime reporting earned her spots as a contributor on the Nancy Grace show, CNN, Fox News and Entertainment Tonight, among others. update email soon. / CBS News. A storage yard in Montana contains pipe that was to be used in the construction of the Keystone XL oil pipeline. Get this delivered to your inbox, and more info about our products and services. Supporters of Keystone say the project will benefit Americans because it will reduce the country's reliance on foreign oil. 33701 With inflation soaring, gas prices have been increasing for months hitting an average of$4.33 a gallon on March 11, according to AAA. So the idea that somehow the president's position on the pipeline that would still not be pumping oil emboldened Vladimir Putin to invade Ukraine is so far-fetched as to be incredible.". There would have been no certainty that the pipeline could have produced a net increase of 800,000 barrels a day, rather than just transporting oil from Canada that is currently being transported some other way. By claiming that the project was in Phase 4 of construction, the posts seem to conflate the Keystone XL Pipeline with the larger Keystone Pipeline System. The second segment, called the Keystone XL, would run 1,179 miles from Hardisty, Alberta to Steele City, Nebraska. Says he has been to Afghanistan, Iraq and those areas twice as president. See who is sharing it (it might even be your friends) and leave the link in the comments. 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 Drought In The Western U.S. Is Getting Bad. It requires more processing than most oil, so producing it emits more greenhouse gases. The Keystone XL pipeline was expected to carry 830,000 barrels per day of Alberta oil sands crude to Nebraska. Ramped up domestic oil production and new supply routes have lessened the U.S.'s need for the hundreds of thousands of barrels . In addition, it will boost U.S. energy production, thereby providing a boost to our economy. Well get to that in a moment. Fish & Wildlife Service. All rights reserved. Cellphone data used to arrest the Idaho quadruple-murder suspect proves that criticism of the 2000 Mules movies use of cell data is unfounded. Our only agenda is to publish the truth so you can be an informed participant in democracy. But critics claim the oil Keystone carries will simply be exported to other parts of the world. It's a great day for Mother Earth," Larry Wright Jr., chairman of the Ponca Tribe of Nebraska, said in a statement. Specifically, the original pipeline route would have passed through an environmentally sensitive area of Nebraska known as the Sand Hills region. Partly false. The ad draws a misleading relationship between Russian imports and the Keystone pipeline project. South Dakota Gov. 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. "We remain disappointed and frustrated with the circumstances surrounding the Keystone XL project, including the cancellation of the presidential permit for the pipeline's border crossing," Alberta Premier Jason Kenney said in a statement. Because the pipeline was a major infrastructure project that crossed a U.S. border, it needed a so-called presidential permit from the State Department. This amount makes up 3% of U.S. crude oil imports and about 1% of the crude oil processed in U.S. refineries. 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. St. Petersburg, FL Was any part of the Keystone XL pipeline functional? Copyright 2023 Politifact. I believe we should let the project continue, which is exactly what I expect will happen in early 2015. 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. Although it has been months since Biden revoked the permit needed to finish the Keystone XL pipeline, the war between Ukraine and Russia has lawmakers suggesting that the project be resurrected. Copyright 2023 CBS Interactive Inc. All rights reserved. The claim appeared as a post (archived here) published on Facebook on May 10, 2021. This pipeline was proposed in 2008 and has been referred to as either the Keystone XL pipeline or KXL. Keystone pipeline shut after oil release into Kansas creek On Wednesday evening oil started spilling into a creek near the pipeline in Washington County, Kan., about 240 kilometres. 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. 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. The Keystone Pipeline from Canada to the U.S. is not closed. "The oil is continuing to flow in, just through other means. 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. Biden had committed to canceling the project during his campaign and revoked the permit soon after taking office. 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. 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 and Oklahoma. This project would have produced 830,000 barrels of oil per day, more than enough to offset what we import from Russia. When Biden became President of the United States, he scrapped the project and essentially put it to bed. Hence, opponents of this project have taken a well anticipated route, claiming that it will harm the environment. This type of project has been completed numerous times before. Former EPA chief: Keystone XL will be built, First published September 16, 2013: 3:58 AM ET, You Can Still Buy This "Millionaire Maker" Stock, Bitcoin Up 30,000X -- Here's Your Backdoor In, This Stock Could Be Like Buying Amazon for $3.19, These are your 3 financial advisors near you, This site finds and compares 3 financial advisors in your area, Check this off your list before retirement: talk to an advisor, Answer these questions to find the right financial advisor for you, An Insane Card Offering 0% Interest Until Nearly 2020, Transferring Your Balance to a 14-Month 0% APR is Ingenious, The Top 7 Balance Transfer Credit Cards On The Market Today, Get $300 Back With This Outrageous New Credit Card. 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. The Keystone Pipeline is a series of metal pipes that run from Alberta Canada to Patoka, Illinois and Port Arthur, Texas. "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. Proponents also argue that the pipeline will enhance U.S. energy security and help maintain adequate crude oil supplies for U.S. refineries. The Environmental Protection Agency is the second group. The Keystone Pipeline already exists. TC Energy had begun construction on the pipeline last year and said about 300 miles of the $8 billion project had been built. "By revoking the Keystone pipeline permit, Biden is destroying 11,000 jobs and roughly $2 billion in wages," the post says. How? District of Columbia At the time of the press release, the Government of Alberta had invested $1.1 billion in the project, largely covering the cost of construction through the end of 2020, according to TC Energy. By Dennis Romero. However, existing Canadian oil pipelines all go to the Midwest, where the only buyer for their crude is the United States. Buffett does stand to profit from the cancelation of the Keystone pipeline and perhaps a great deal. "A lot more transportation and people flying around, people driving, more demand for oil," he said. TC Energy appealed the ruling, but the Supreme Courtupheld itin July. A leak in the pipeline is a primary concern along with the ability to respond quickly to a disaster of this nature. an award-winning journalist who spent over a decade breaking hard news and celebrity scoop with RadarOnline and Us Weekly. Legal Statement. None of this means Warren Buffett had anything to do with Biden's decision to spike the Keystone Pipeline. 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. 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. "On behalf of our Ponca Nation we welcome this long overdue news and thank all who worked so tirelessly to educate and fight to prevent this from coming to fruition. The developer has now canceled the controversial project. 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). One recent issue involves the passage of the Keystone XL pipeline. But its not as simple as substituting one source for the other. The 11,000 and $2 billion figures cited in the Facebook post are estimates published by the company, but most of the jobs would be temporary. It seems as though the polarization of the United States is increasing. Keystone XL Pipeline: The Keystone XL pipeline is a proposed extension of the Keystone pipeline system that will transport oil from Alberta, Canada to refineries in the United States. It would take six to 10 years for oil from a new lease to hit the global market, Kieve said. 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. Li Cohen is a social media producer and trending content writer for CBS News. 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. The Keystone pipeline spill in a creek running through rural pastureland in Washington County, Kansas, about 150 miles northwest of Kansas City, also was the biggest in the system's history, according to U.S. Department of Transportation data. This caused the fuel shortages on the East Coast of the United States. Alexis crime reporting earned her spots as a contributor on the Nancy Grace show, CNN, Fox News and Entertainment Tonight, among others. TC Energy planned to invest the remaining $2.7 billion to fund the project. Yet many experts agree that moving ahead with the pipeline wouldn't have prevented U.S. gas prices from climbing to a record high. 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. This pipeline is the already existing Keystone pipeline that sends 550,000 barrels of oil from Alberta to Steel City. The Keystone Pipeline System is an oil pipeline system that runs between Canada and the United States. Construction began in April 2020, but that same month,a federal courtsaid that the project had to go through a full endangered species review. 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