Loren Steffy, formerly with the Houston Chronicle, is now writing for Forbes. He’s just published an article laying out the case for building the Keystone pipeline, with which I agree. The key points are:
- Oil from the pipeline will not be exported, which is actually illegal under federal law.
- Refined products, like gasoline, are being exported, but for economic reasons, due to sagging demand in the US. It’s either export, or lay off workers. I’ll take export, which has the side benefit of reducing our trade deficit.
- The pipeline is essentially insurance against OPEC. I would rather have the US control more supply, not less.
Great article by Loren.
Source: US State Department
Over the last several months, the controversy over the Keystone XL pipeline extension has grown to such fevered pitch that several weeks ago, the Obama administration, fearing alienation of its own environmentalist base, punted a decision on its border crossing permit for another year of further “study” of the pipeline project. Proposed by pipeline company Transcanada, The Keystone XL extension consists of over 1,600 miles of 36″ pipe that would move oil from the oil sands projects in Alberta, Canada, through Saskatchewan, into Montana, then crosscountry, using portions of the existing Keystone pipeline, extending all the way to refineries on the Texas Gulf Coast. When completed, the pipeline system is expected to have capacity to transport up to 1.1 million barrels of oil per day, or about 6 percent of our total oil consumption per day in the US. Read the rest of this entry