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Keystone Pipeline

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The Keystone Pipeline System is a pipeline system to transport crude oil from the Athabasca Oil Sands in northeastern Alberta, Canada to refineries in Illinois and Oklahoma, and further to the U.S. Gulf Coast. It consists of the operational "Keystone Pipeline" and proposed Keystone XL Pipeline (Keystone Expansion pipeline).[1]

Project Summary

  • Company: TransCanada
  • Construction: Aiming for final approval by end of 2008.
  • Cost: $7 Billion
  • Size: 36-inch underground pipeline
  • Capacity: 750,000 bpd

Permitting Status

  • TransCanada officials are surveying Montana land and talking to landowners.
  • Montana refineries already have their supplies contracted
  • The application to FERC for what is called an "open season" permit should occur in fall 2008.[2]

Route

The pipeline would originate at Hardisty, Alberta, run southeast through Saskatchewan and enter Montana north of Malta. The pipeline would be built through six Montana counties: Phillips, Valley, McCone, Dawson, Prairie and Fallon. Then it would cut into South Dakota and go through Nebraska, Kansas, Oklahoma and Texas.[2]

In Kansas, the pipeline would tie into a portion of another pipeline planned from Kansas to Cushing, Okla. Then it would continue through Oklahoma and end up near crude terminals in Nederland, Texas. These terminals serve refineries in Port Arthur, Texas.

Project Description

Other key details, such as the costs of building the Montana leg of the pipeline, the number of construction jobs and the value of tax benefits to the state and local governments, aren't known yet.[2]

References

  1. O'Meara, Dina (2010-07-27). "U.S. delays decision on Keystone XL". Retrieved on 2010-07-27. 
  2. 2.0 2.1 2.2 Jan Falstad, "Company plans major oil pipeline", May 9, 2008