Pipeline or Not, Lots of Canadian Crude Oil is Headed to the US

Marita Noon
The Heartland Institute
3/28/2013

Environmentalists mistakenly think that blocking the Keystone pipeline will prevent crude oil, derived from Canada’s oil sands, from being extracted and from being conveyed into the US to be refined into gasoline, asphalt, and other products that are important to the transportation and manufacturing sectors. Their ultimate goal is to stop all development of the Canadian resource.

The oil spilled, as a result of a train derailment on Tuesday, highlights their misguided efforts.

News flash: Canada is developing their abundant oil sands and the crude oil is already being shipped to the United States—albeit in a more costly and less safe mode.

Early Wednesday morning, 14 cars of a 94-car mixed-freight train, derailed near Parker Prairie, MN. The Canadian Pacific Railroad (CPR) train was carrying oil from Western Canada to Chicago—though CPR does ship to refiners along the Gulf of Mexico, the Northeastern US and Eastern Canada. Of the 14 cars, one ruptured and, according to the Minnesota Pollution Control Agency, spilled as much as 26,000 gallons of crude oil (a car can contain 550 barrels of oil and trains often carry 80-150 cars). Two other cars had some leakage—though due to the frozen ground, “there’s no threat to ground or surface water” and there were no injuries.

The CPR train carrying Canadian oil to the US is part of a growing trend, as producers and refiners have turned to railroads to make up for a lack of pipeline capacity…

…Pro-pipeline pressure on the Obama administration is mounting. During the weekend’s Senate budget votes, 17 “moderate and conservative Democrats sided with Republicans on the Keystone pipeline.” Addressing the vote, the Wall Street Journal states:  “The Senate vote is symbolic since the budget outline lacks the force of law. Still, the vote reflects the growing bipartisan consensus that a private investment creating tens of thousands of jobs trumps the scare tactics of environmentalists.”…

The complete article is at The Heartland Institute.

 

 

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