TransCanada Corp. will proceed with building a $2.3 billion segment of its Keystone XL oil pipeline from Oklahoma to the Texas coast so that it isn’t delayed by U.S. approval for the rest of the line.
The company, based in Calgary, expects the segment to begin carrying crude from the Cushing, Oklahoma, storage hub to refineries on the U.S. Gulf Coast as soon as mid-year 2013, according to a statement today. TransCanada is separating the Cushing line from its application to President Barack Obama for approval of a Keystone expansion that will bring crude into the U.S. from Canada’s oil sands.
“We remain committed to building this overall project in a timely and efficient manner and to meet demand of shippers,” said TransCanada Chief Executive Officer Russ Girling in an interview today. Shippers are making multi billion dollar commitments spanning decades and “they haven’t wavered from Keystone,” he said.
“President Obama’s decision to halt construction of the Keystone tar sands pipeline has not stopped plans for segment passing through East Texas. And KERA’s Shelley Kofler reports a group of landowners has organized to fight back.”
Texas landowners thwarted the ambitious Trans-Texas Corridor, and Texas landowners just might be able to stop the construction of the last leg of the Keystone XL Pipeline project. (It’s enough to give Ron Paul a case of cognitive dissonance.)