The Globe and Mail reports, “New Brunswick Premier David Alward is headed to Alberta (early next month) to inject some political momentum into a proposed $5-billion, TransCanada pipeline project that would bring western oil to eastern Canadian refineries, and perhaps allow for crude exports from the deep-water port of Saint John. (He) will meet with his counterpart, Alison Redford, travel to Fort McMurray to tour the oil sands, and visit industry executives in Calgary.”
“TransCanada Corp. is still pondering the project. It must gauge whether oil companies will commit to ship sufficient volumes to justify the investment. The line – much of it to be converted from an existing gas pipeline – could carry between 500,000 and one million barrels a day of oil.”
The pipeline could go to refineries in Quebec and New Brunswick. “Ms. Redford and Mr. Alward have also been courting Quebec Premier Pauline Marois to support the project. …Her province is home to two refineries – one in Montreal and one in Quebec City – that now depend on expensive imported oil. …The Irving Oil refinery in Saint John is the largest in the country but relies entirely on imported oil which is far more costly than North American crude. The company has said it welcomes any commercially viable effort to provide greater access to North American crude sources, but it has not committed to the pipeline proposal. …TransCanada’s president for energy operations, Alex Pourbaix, said the refineries (in eastern Canada) would mainly process light oil rather than diluted bitumen from the oil sands.”
For export?
“The company is considering a range of options, …including a grander vision that would deliver oil to Saint John for both domestic consumption and some export potential. …Saint John’s deep-water port, which can accommodate massive tankers, makes it attractive for large-volume exports.”
In October 2012, the Globe and Mail reported, “TransCanada Corp. is now months away from formalizing its plan to pump oil through part of its cross-country natural gas pipeline network (which would allow) the energy industry to access Asia’s lucrative markets. …It is shorter to reach India’s west coast refining hub via Canada’s east coast than it is to ship oil off the west coast, Laurie Smith, partner at Bennett Jones LLP, said in an interview. …Further, the Eastern Canadian route extends to China by moving tankers through the Straight of Malacca between Malaysia and Indonesia and then north through the South China Sea. Shipping oil to major refining facilities in Europe, such as the Netherlands’ Rotterdam, are also under consideration, Mr. Smith said.”
Today’s news article also notes, “There are lots of alternatives,’ Mr. Flaherty said Sunday on Global TV’s The West Block. ‘We can explore all of them and it’s one of our priorities, major projects to encourage economic growth and exports.’ He said those other options include ‘pipelines to the East to New Brunswick to St. John, pipeline to Churchill, pipeline through the Rockies.'”
For related blogs, please see:
– NEWS: TransCanada East Coast pipeline eyes tar sands exports to China, India and Europe, http://canadians.org/blog/?p=17070
– NEWS: TransCanada proposes East Coast pipeline for tar sands, http://canadians.org/blog/?p=14276
– NEWS: Pipeline fights could curtail tar sands expansion, http://canadians.org/blog/?p=11863
