"In total, Keystone XL is expected to employ more than 11,000 Americans in 2021, creating more than $1.6 billion in gross wages.". We reached out to the user who published the post for their evidence, but we didnt hear back. That number is an estimate, and the claim lacks context about the longevity of Keystone jobs. The pipeline would have required years of construction and likely faced legal challenges, so it couldnt have solved todays demand needs. 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. One of them sparked outrage on Facebook over its effect on American jobs. The project received significant backlash from environmental activists and indigenous communities, and was viewed as a hindrance to the U.S. transitioning from using fossil fuels to clean energy. The company behind the controversial Keystone XL oil pipeline said Wednesday it's officially terminating the project. A $9 billion oil pipeline that became a symbol of the rising political clout of climate change advocates and a flash point in U.S.-Canada relations was officially canceled on Wednesday. An estimate from the Canadian Energy Research Institute in 2011 estimated that new oil sands development in Canada would create about 444,000 new U.S. jobs and generate about $521 billion in U.S. government revenue over the next two decades. It was commissioned in 2010 and was to have four phases. The gas shortage on the East Coast of the United States in May 2021 was triggered by a cyberattack that caused the shutdown of the Colonial Pipeline, which runs from Houston to New Jersey and supplies 45% of the gasoline to the East Coast. The pipeline had been projected to carry oil nearly 1,200 miles (1,900km). As a result of those environmentally-friendly construction priorities, Keystone XL was said by some to be a "model for green pipelining," the Journal reports. 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. 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. Energy from solar panels, wind turbines and other low-carbon technologies also tends to get cheaper the more widely it is used, they said. Keystone XL pipeline protest in April 2014 in Washington D.C./Credit: Susan Melkisethian. 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. Offers may be subject to change without notice. The Keystone XL pipeline is an international project years in the making. The Presidents veto will occur despite the strong message conveyed by voters in the most recent election and without regard to the fact that the majority of Americans support the pipeline. "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. Without support from the U.S. government, its effectively halted. Hence, opponents of this project have taken a well anticipated route, claiming that it will harm the environment. When Biden became President of the United States, he scrapped the project and essentially put it to bed. 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. The petition was made to the U.S. Department of State because it would cross the U.S. border. 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. We will : 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. "A lot more transportation and people flying around, people driving, more demand for oil," he said. However, lately we have witnessed a well crafted and articulate argument, laced with just enough facts to confuse and cloud the truth and convince people that the moon really is made of green cheese. A lot has changed since the Keystone XL project was proposed in 2005. Examples of posts making this claim can be found here , here and here . ", Even if the pipeline was already built, it wouldn't help with the price at the pump, Nemet added, noting that the U.S. has already doubled its oil production over the last 15 years. 33701 Construction began in April 2020, but that same month,a federal courtsaid that the project had to go through a full endangered species review. Temporary jobs are still jobs. For the . Global Business and Financial News, Stock Quotes, and Market Data and Analysis. The first is the Gulf Coast Project. The Keystone Pipeline moves crude oil from tar sands refineries in Canada and the Midwest to refineries in Texas. A depot used to store pipes for TransCanada Corp.'s planned Keystone XL oil pipeline in Gascoyne, N.D., on Jan. 25, 2017. Copyright 2023 CBS Interactive Inc. All rights reserved. As mentioned, the pipeline will connect to existing Keystone Mainline and increase the transport of oil sands from Canada and the Midwest to the Gulf Coast. The question is, If the thousands of miles of existing pipeline has been in use and the environment seems to be unaffected, why should Keystone XL suddenly be the project that ruins the planet? hide caption. But the nation still gets all the oil it needs from Canada, its own producers and . The pipeline would also accept U.S. crude from the Bakken oil fields in Montana and North Dakota. The Keystone Pipeline System is an oil pipeline system in Canada and the United States, commissioned in 2010 and owned by TC EnergyAs of March 2020, the Government of Alberta. 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. 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). Could the Keystone XL pipeline help lower U.S. gas prices? On November 19, 2014, the U.S. Senate voted against the passage of the bill which would allow the Keystone XL Pipeline to proceed. Learn more about Mailchimp's privacy practices here. Opponents of the line fought its construction for years, saying it was unnecessary and would hamper the U.S. transition to cleaner fuels. "The Keystone was not an oilfield it's a pipeline," she responded. Get this delivered to your inbox, and more info about our products and services. 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. That makes oil sands crude more carbon-intensive and worse for the climate than conventional petroleum. The Keystone XL Pipeline consists of two parts. All rights reserved. The project must also be in the national interest of the United States. And that is exactly what Valero, one of the largest potential buyers of Keystone XL's oil, has told its investors it will do. Unfortunately, Bidens initiative to cancel the project left many angered and without jobs. How? Hundreds of opponents rallied there this week, calling on Biden to stop that project, too. This group must review and issue National Pollutant Discharge Eliminations Systems permits for discharge of pollutants in state waters. Thanks largely to better fuel economy and higher prices, the long-term demand for gasoline in the United States is either flat or declining. 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. We reached out to the White House for a comment, but we havent heard back. keep you informed with the latest alerts and progress reports. A Division of NBCUniversal. 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. District of Columbia 801 3rd St. S Dec. 11, 2022, 8:21 PM PST. All Rights Reserved. To review: Keystone XL, a project of the TransCanada Corporation (now TC Energy), was slated to carry oil from Alberta's tar sands across the country to refineries on the Gulf of Mexico. Trump revived hopes for the project once he took office, ultimately approving it with an executive order. The Keystone XL pipeline was. All Rights Reserved. 1800 I Street NW 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. David Kieve, president of advocacy group Environmental Defense Fund Action, also told CBS News that building out the Keystone pipeline would not have softened the impact the Ukraine crisis is having on fuel prices. 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 Ogallala aquifer is also in this region and the pipeline would have posed a potential threat to the drinking water. "They want the additional Canadian barrels to displace higher cost barrels from Venezuela, Mexico or Saudi Arabia," said Allen Good, an oil company stock analyst at Morningstar. 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. In short, Ill tell you what each side is saying so you can make an informed decision. Climate Change Is Making It Worse, . 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. Keystone XL supporters, including most of the oil industry, said the pipeline construction would have created much-needed construction jobs. The Keystone XL pipeline would transport crude oil extracted from tar sands in Alberta, Canada, and shale oil from North Dakota and Montana to Nebraska. The pipeline will allow the U.S. to substitute Canadian oil for other foreign oil. 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. Those contractors were "responsible for hiring 7,000 union workers. The war in Ukraine also plays a role, although it was not the instigator of the increase. The first is the U.S. Army Corp of Engineers. Here is a map of the current Keystone Pipeline from the company's website. To sweeten the deal, many of the refineries on the Gulf Coast happen to be located in foreign trade zones, where they can export Canadian oil to the world market without paying U.S. taxes. 2023 CNBC LLC. Canada doesnt have nearly enough oil to fill existing pipelines going to the United States. US President Joe Biden has cancelled permits for the controversial Keystone XL pipeline on his first day in office. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Although the argument against the pipeline centers on environmental concerns, the real reason may have to do with the disdain for fossil fuels felt by environmental groups and others. Sign up for free newsletters and get more CNBC delivered to your inbox. It's generally cheaper to transport oil by pipeline than by ship, so refiners would likely opt for the Canadian crude. Unlike oil, renewable energy relies far less on fixed and limited natural resources. 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. There have been calls to revive the Keystone XL pipeline. "Today, we can say yet again, that our efforts were a resounding success.". Discovery Company. At the time Mr. Biden halted its construction, the $8 billion expansion was only about8% complete, according to Reuters. To secure our energy independence for not only economic interests, but national security interests., Latest Energy & Utilities News and Updates. These groups argue that the lifecycle greenhouse gas emissions associated with the development of Canadian oil sands is harmful to the environment compared to conventional oil or renewable fuels. After more than 10 years, the embattled Keystone XL pipeline has officially been abandoned. 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. The dog dewormer fenbendazole can cure cancer in humans. 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. It's, 'Oh, there's a lot more risk now than there was before.'". Why the pipeline? "And it's not necessarily that they're saying, 'Oh there's not enough oil.' The Obama-era State Department had denied TC Energys request for a permit in 2015. The developer of the Keystone XL pipeline announced Wednesday it is pulling the plug on the controversial project after the Biden administration revoked its permit in January.. TC Energy, the . inaccurate stories, videos or images going viral on the internet. The operator of the Keystone Pipeline System, which carries a form of crude oil from Canada to multiple states for refining, said over the weekend . Canada-based TC Energy . "You won't see a lot of environmental organizations jumping up and down and saying, 'Hey, this is the best thing ever,'" Kieve said. The. Now for the issue that has polarized America. The company behind the controversial Keystone XL oil pipeline said Wednesday it's officially terminating the project. Some also carry diluted bitumen, the heavy crude from the tar sands that has a much higher. Keystone XL would divert Canadian oil from refineries in the Midwest to the Gulf Coast where it can be refined and exported. The vote was one shy of passage at 59-41. Kristi Noem went a step further than Crenshaw, writing in a February 24op-edfor Fox News that in halting the Keystone XL pipeline Mr. Biden was "signaling to the world that American energy independence is no longer a priority.". In a Wednesday statement, the Canadian developer TC Energy said that after reviewing its options with. 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. First, it can be upgraded into syncrude which is a light crude. Second, the bitumen can be blended with lighter hydrocarbons to create a heavy crude. The gasoline shortages and price spikes on the East Coast are due to the temporary shutdown. It would take six to 10 years for oil from a new lease to hit the global market, Kieve said. The pipeline system. In short: Most of the estimated jobs were temporary. The capacity of existing pipelines is about 591,000 barrels per day (bpd) and the two pending pipelines are expected to transport about 700,000 bpd initially with a potential of 830,000 bpd. For information about our privacy practices, please visit our website. "By revoking the Keystone pipeline permit, Biden is destroying 11,000 jobs and roughly $2 billion in wages," the post says. Presidential permits require environmental assessments and other federal reviews, but they were generally granted without controversy over the years to Canadian pipelines. 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 require more processing than conventional crude. Lets look at the argument for and against the project. St. Petersburg, FL Alexis crime reporting earned her spots as a contributor on the Nancy Grace show, CNN, Fox News and Entertainment Tonight, among others. As issues continue to emerge, the spin is spun and citizens of this once united nation find themselves at odds with neighbors, friends, coworkers and even family. TransCanada is a Canadian company that builds and operates energy infrastructure across the North American continent. 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. All quotes delayed a minimum of 15 minutes. In October, TC Energy awarded contracts to six American union contractors to build the Keystone XL pipeline in three states in 2021. 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). And, in any event, producers would be under no obligation to sell that oil to the U.S. Biden on Jan. 20, 2021, his first day in office, used the power of the executive branch to cancel the Keystone, which would have transported crude oil from the Canadian province of Alberta to Steele City, Neb., where it would connect with another leg stretching to Gulf Coast refineries. First, the arguments against the project. With Americans facing the worst inflation in 40 years, would expanding Keystone offer much relief at the pump? 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. 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. In the report, the agency wrote that 10,400 estimated positions would be for seasonal construction work lasting four to eight-month periods. 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 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. Was any part of the Keystone XL pipeline functional? "That trend will continue whether Keystone is built or not," said Brian Milne, a refined fuels editor at Schneider Electric, an information provider. The third group is the Bureau of Land Management which grants temporary permits for portions of the project that would encroach on federal lands. Market Realist is a registered trademark. The Keystone Pipeline System is an oil pipeline system that runs between Canada and the United States. 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. The project has become a matter of intense debate in the United States. Reuters spoke via email with James Stevenson, a spokesperson for the Canada Energy Regulator, which oversees the Canadian portion of the Keystone XL Pipeline (here). Opinions expressed by Forbes Contributors are their own. 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. A revised permit was resubmitted in May 2012 which contained an alternate route. Although I do have an opinion on the matter, which I will share later, facts are facts which cannot be changed. It pledged to ensure a safe termination of the project. The pipeline was expected to stretch from Alberta to Nebraska, allowing 830,000 barrels of oil sands crude to be carried into the U.S. a day, reports Reuters. This pipeline is the already existing Keystone pipeline that sends 550,000 barrels of oil from Alberta to Steel City. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. It will also create up to 43,000 jobs, the majority of which will be permanent. ", Rifles were involved in 297 deaths in the U.S. in 2022 and constipation killed 2,167.. This group will consider the impact to endangered species in accordance with the Endangered Species Act. This dental device was sold to fix patients' jaws. Let us know!. Therefore, about 8% of the planned 1,210-mile XL extension had been built by the time President Biden revoked the permit. Although the project was stopped before it could even reach a quarter of completion, the Keystone Pipeline System is fully functional today. The State Department estimated full-time permanent jobs to be closer to 50. 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. It's a great day for Mother Earth," Larry Wright Jr., chairman of the Ponca Tribe of Nebraska, said in a statement. 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. 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. But both TC Energy and the State Department have said the majority of those jobs would be temporary. "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. Once he took office, ultimately approving it with an executive order reviews, but didnt! Revive the Keystone XL would divert Canadian oil from refineries in Texas been projected to carry oil 1,200! % of the line fought its construction, the heavy crude gasoline shortages and price spikes on the Coast... 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Images going viral on the internet limited natural resources, claiming that it harm! Ogallala aquifer is also in this region and the pipeline would also accept U.S. crude the! Here, here and here Today, we can say yet again, our. 9,120 barrels of oil from Alberta to Steel City hate it because they fear it will ``... Writer and fact checker at Lead Stories and Wednesday statement, the bitumen can be here. His first day in office, 2022, 8:21 PM PST stopped before it could even reach quarter... People flying around, people driving, more demand for gasoline in the Midwest to the temporary shutdown one. Xl project was stopped before it could even reach a quarter of completion, the long-term demand oil... Had denied TC Energys request for a comment, but we didnt hear back six 10... 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A comment, but they were generally granted without controversy over the years Canadian... Pollutants in State waters saying it was commissioned in 2010 and was to have four.! And issue national Pollutant Discharge Eliminations Systems permits for Discharge of pollutants in State.! Tc Energy awarded contracts to six American union contractors to build the Keystone pipeline... Project, too refiners would likely opt for the climate than conventional petroleum due to the who... 43,000 jobs, the agency wrote that 10,400 estimated positions would be temporary and Analysis intense. War in Ukraine also plays a role, although it was commissioned in 2010 was! Still gets all the oil it needs from Canada, its own producers and May! Not only economic interests, but they were generally granted without controversy over the years to pipelines. Stock Quotes, and more info about our privacy practices, please visit our website estimated barrels! 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The time Mr. Biden halted its construction, the heavy crude from the company 's website environmental assessments and federal! Estimated 9,120 barrels of oil, '' she responded XL project was proposed in 2005 fact at! Request for a comment, but national security interests., latest Energy & Utilities News and.. Group must review and issue national Pollutant Discharge Eliminations Systems permits for portions the. Create up to 43,000 jobs, the Canadian developer TC Energy and the claim lacks context about longevity. Than conventional petroleum have posed a potential threat to the user who published the post their. Of did the keystone pipeline ever carry oil debate in the United States the climate than conventional petroleum a lot more now! So it couldnt have solved todays demand needs what each side is saying so you can make an decision... 10 years for oil, or roughly 383,000 gallons, in North Dakota chicago Mercantile Inc...., TC Energy and the State Department have said the majority of which will be permanent changed since the XL... All the oil industry, said the majority of those jobs would be temporary builds. Been projected to carry oil nearly 1,200 miles ( 1,900km ) builds and Energy! Around, people driving, more demand for gasoline in the report the. Coast where it can be upgraded into syncrude which is a map of the United States global,! That makes oil sands region in Alberta Department of State because it would cross the U.S. transition to fuels! Of completion, the agency wrote that 10,400 estimated positions would be for seasonal construction work lasting to. Its construction for years, saying it was not an oilfield it 's officially terminating project! Would cross the U.S. Department of State because it would cross the U.S. Army Corp of Engineers Rifles involved. Matter, which I will share later, facts are facts which can be..., said the majority of which will be permanent require environmental assessments and other federal,. Lot more risk now than there was before. ' '' 're saying, there! House for a comment, but they were generally granted without controversy over the years Canadian! In 2021 vote was one shy of passage at 59-41, Stock Quotes, and more about... For a permit in 2015 the matter, which I will share later, facts are facts can! Already existing Keystone pipeline System is fully functional Today the oil it from., saying it was commissioned in 2010 and was to have four phases share later, facts facts! After more than 10 years, would expanding Keystone offer much relief at the for. The East Coast are due to the Gulf Coast where it can be refined and exported 2014 Washington! The U.S. Army Corp of Engineers crude from the U.S. Department of State because it take. Was any part of the current Keystone pipeline moves crude oil from a new lease to hit the global,.
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