Federal Government Approves Northern Gateway Pipeline

[Lieneke]

Canada seems to be tightening up in all sorts of departments. First, Harper announces that Canada will go solo with the pipeline, and then that the immigrant worker program will be drastically reduced in the next three years. The bottom line seems to be shifting towards Canada for Canadians.

[Lieneke]

Originally Posted by GTOlover

The Harper government is said to be considering a series of retaliatory moves if the Obama administration decides against approving the Keystone XL pipeline and proceeds with protectionist Buy American provisions that block access to the U.S. market for Canadian companies.

Trade sources suggest refusal to approve Keystone and passage of the Grow America Act, which increases the 60% U.S. content requirement on billions of dollars of federal transit projects to 100%, will be met with similar buy-domestic measures in Canada.

To avoid breaching the North America Free Trade Agreement, some will lean on the comprehensive trade deal struck with the European Union — for example, by invoking country-of-origin rules that would block U.S. export to Canada of products like “Parma” ham.

The gambit of launching a trade war on the country that buys 70% of our exports might seem desperate. But it suggests that the bilateral relationship is as rocky as it has been in a generation.

And, in part, it explains why Stephen Harper has given the green light to the Northern Gateway pipeline, despite the obvious political risks to his ruling Conservative party.

Canada is now committed inexorably to developing Asian markets for its resources to replace shrinking demand from our dominant customer to the south.


Source: John Ivison: Northern Gateway pipeline green-light has everything to do with our rocky relationship to the U.S. | National Post

Pharma ham would be like Gouda cheese? ... and trade names, particularly those that relate to a region, cannot be usurped by US exports?

Perhaps the US has felt that the bilateral agreement should tip a little in the direction of the country that claims to be the most powerful in the world. I hope that ISIS isn't the organization that proves this wrong.

The only risk to the ruling party are the First Nation people and the tree huggers. We have seen how the first nation people are willing to sacrifice land that they claim is sacred when the price is right. I don't see a risk. There might be a prolonged discussion, but with enough money, even sacred land stops being sacred.

China is desperate for crude oil. They will build the refineries, if they haven't already done so.

[Mircea]

Originally Posted by T-310

As the economy of the US continues to crash, Obama dithered and now those jobs are drying up. Obama, the disaster without end

Keystone /= Jobs.

Your ignorance about oil is grotesque.

Originally Posted by Lieneke

Rather than exclusively ship bitumen to the US, Canada now plans to ship the bitumen to the coast and then distribute it overseas without the middle man (the US).

"Northern Gateway will carry bitumen from Alberta to the B.C. coastal town of Kitimat through 1,177 kilometres of pipeline. Once it reaches the B.C. coast, the bitumen will be shipped overseas."

Originally Posted by Lieneke

The Keystone Pipeline guaranteed strong economic advantages for the US, but it looks like Canada is not interested in waiting for the US to make a decision ... Canada intends to pursue economic growth with or without the US participation.

Originally Posted by Lieneke

That's true. Obama may have thought that he was calling the shots about how Canada exported crude oil. Now he knows that Canadians call the shots on their natural resources. Obviously, a lack of cooperation from the US does not mean that Canada does nothing. It looks like Canada will simply bypass the US.

Originally Posted by Lieneke

China is desperate for crude oil. They will build the refineries, if they haven't already done so.

Originally Posted by Lieneke

Canada seems to be tightening up in all sorts of departments. First, Harper announces that Canada will go solo with the pipeline, and then that the immigrant worker program will be drastically reduced in the next three years. The bottom line seems to be shifting towards Canada for Canadians.

Originally Posted by Lieneke

The Keystone Pipeline is still on the table. However, if the Northern Gateway pipeline is built, then exports to Asia will go through Canada, not the US. The Northern Gateway Pipeline was introduced after the US hesitated on the Keystone Pipeline.

So....who's paying you to push this propaganda?

See this....

Originally Posted by Lieneke

That's true. Obama may have thought that he was calling the shots about how Canada exported crude oil.

That is a lie.....

Lying

A fallacy of reasoning that depends on intentionally saying something that is known to be false. If the lying occurs in an argument’s premise, then it is an example of the fallacy of questionable premise.

You are a liar, because it is illegal to export crude oil from the United States.

It has been illegal to export crude oil for ~40 years.

As I recall, the Democrat-controlled House & Senate presented this bill during the Nixon Administration, but it was actually Ford that signed it in 1975.

This bill was partly in response to the OPEC oil embargo.....and is another bright shining example of Liberal "Good Intentions" paving the way to Hell.

I'm certain many are screaming, "Nooooooooooooooooo!"

That's because a lot of people are too stupid to understand the difference between raw (processed or unprocessed) crude oil, and refined crude oil products....

....which is what the US actually exports.

While the US does not export crude oil --- because it is illegal -- the US does export aviation fuels, diesel, bunker fuels, unfinished gasoline, finished gasoline, petroleum jellies, lubricants, tars, asphalts and petro-chemical feed-stocks for a variety of things, all of which are refined from crude oil.

A few things about oils (plural) for the dense....

1] No two oils are alike. Every single oil field on this Earth is as unique as your fingerprints or DNA. Does that sound abiotic to you? No...that is one thing that disproves the Abiotic Oil Theory. Every oil on this Earth has a different concentration of Sulfur, Nitrogen, Oxygen, and structure for Hydrocarbon Chains, which affects the API Gravity, or the "weight" of the oil.

2] Oils have different weights. The weights are often reflected in the name of the oil: California Heavy, Oklahoma Heavy, Arabian Light, Tijuana Light, West Texas Intermediate. They don't have those names because it sounds hip or cool; they have them because they really are heavy, or light or in between heavy and light --- hence "intermediate."

3] In addition to weight, a descriptor is sometimes to used to indicate the Sulfur content....low Sulfur is "sweet" and good; high Sulfur is "sour" and bad. East Texas Sour: an intermediate grade that is high in Sulfur. Louisiana Sour: a light crude oil high in Sulfur. Oklahoma Heavy is sometimes called Oklahoma Sour, because of its high Sulfur.

If we time warp back to the 1970s, what do we find?

We find hundreds of oil refineries in the US, and many of them are 100 years old, while others are merely 80 or 90 years old and some are barely 50 years old.

Don't be fooled by the sheer number......they were low capacity, meaning the refined 5,000 barrels to 30,000 barrels per day.

Oh, Benzene. Benzene is an aromatic that was finally discovered to be toxic to living things, like humans.

You don't have a problem if your child goes to school next to the refinery which spews its benzene rings all over your child whilst on the playground playing dodge-ball....right?

Yeah, you do have a problem with that, and also with your local neighborhood refinery, which you can admire whilst barbecuing on a Sunday afternoon from your back-yard.

Worse than that, even with these 100s of refineries, you cannot provide a Supply of Gasoline (or Diesel) to meet the growing Demand of Americans who have just graduated to the 2-Car Family in the early 1970s.

All these people....oil companies, independent refineries, fuel stations, businesses, industries, consumers, drivers, parents, families, the EPA, children et al.... how can we make them happy?

Simple: create a plan that closes all of the ancient decrepit refineries, replacing them with new refineries that are safer and less toxic, plus have higher refining capacity to meet the needs of Americans into the Future.


So....you close 28 refineries with a total capacity of 250,000 barrels per day, and replace it with one giant refinery that has a capacity of 280,000 barrels per day.

See how that works? That's what happened.

Something else happened, too. To meet the projected demands for gasoline and diesel through the mid-1990s, the US began importing foreign light crude oil.

Why?

California Heavy: 1 barrel yields 6 gallons of gasoline
Oklahoma Heavy: 1 barrel yields 6 gallons of gasoline
Arabian Light: 1 barrel yields 22 gallons of gasoline

That's why....do the math......it's 6th Grade Math.


I have a refinery with a capacity of 200,000 barrels per day....

1] Oklahoma Heavy: 200,000 * 6 = 1,200,000 gallons of gasoline per day
2] Arabian Light: 200,000 * 22 = 4,400,000 gallons of gasoline per day

200 Million screaming Americans are screaming for gasoline.....and screaming for the cheapest price.....which comes from Arabian Light, not Oklahoma Heavy.

Even when the price of a barrel of Arabian Light is higher than Oklahoma Heavy, the gasoline made from Arabian Light will still have a lower price.

It's a Supply & Demand issue governed by the immutable Laws of Economics.

The Reality is that in the late 1980s, thanks to technological innovations, it became possible to squeeze another 3 gallons of gasoline out of California Heavy and Oklahoma Heavy bringing the yield to 9 gallons of gasoline per barrel, but that same technology increased the yield of Arabian Light to 24 gallons of gasoline.

One other thing....you had -- a few years ago --- 49 operating oil refineries in the US: 17 produced gasoline, while the other 32 produced your Life-Style. Since then, 3 refineries have closed, so now you only have 46 operating oil refineries, and only 16 that produce gasoline.

Now that we have all of the facts and no propaganda, let's put this together.

What happens when you import Canadian Tar Sands?

The law says you cannot export Canadian Tar Sands, but you can refine the Tar Sands and export the refined products.

One barrel of gooey Canadian Tar Sands yields 4-7 gallons of gasoline.

Get it?


Why would the forum's only ultra-conservative oppose fracking?

It has nothing to do with Liberal or Conservative or Republican or Democrat, or being a tree-hugger or not or hating Obama or not...

....this is purely 100% Economics.

Fracked oil is garbage oil.

Depending on the exact nature of the fracked oil, it yields only 6 to 11 gallons of gasoline, and it is high in Sulfur.

You have to refine your fracked-up oil......which has caused the Supply of Gasoline for domestic use to decrease, resulting in higher gasoline prices.

Why are you exporting gasoline and diesel? Because it's made from useless fracked-up oils.

In your freaking faces.....I laugh at all of you fracking supporters....you got exactly what you deserved.

And then we have the Oil-Tards screaming for Keystone.

What's going to happen to your gasoline supply?

It will decrease.

What will happen to the price of gasoline?

It will increase.

I have to stop and laugh at the superior intellect at work here.

Anyone ever hear of EPA Tier 3?

For those who still just don't get it......EPA Tier 3 is 15 ppm....tar sands....and I don't give a damn if you're talking about Alberta or Wabasco or Cold Lake or Peace River....it's 8%-9% Sulfur.

For the not-scientifically-inclined...that is 80,000 ppm to 90,000 ppm.

How do you think they get it down to 15 ppm?

Do refinery workers get drunk and do lap dances on the oil barrels to get the Sulfur out?

Chant? Magical Spells? Incantations? Magic Wands? Nirvana? Pray to the Sulfur God for deliverance? Slaughter a goat for Yahweh?

The Sulfur Redux process is neither free, nor instantaneous....it takes time.

High Sulfur takes longer to eliminate, reducing the production capacity, which in turn reduces the supply of gasoline, resulting in higher gasoline prices.

Go ahead with Keystone if you dare.

When gasoline prices go over $4/gallon and stay there, and you permanently lose more jobs than Keystone will ever create in 100 centuries, I'll be rolling on the floor laughing my ass off.

It would be poetic justice if all of the Keystone supporters lost their jobs.


One other thing.....a barrel of oil yields a profit, but a barrel of refined oil products yields higher profits.

The Canadians know you cannot export their oil.

The Canadians know you can export the refined oil products....and that is what they really want.


The Canadians want the higher profits from the refined oil....without taking any of the risks, and they're willing to sacrifice you to get it.

Petro-economically....

Mircea

[armourereric]

Originally Posted by Lieneke

I'd like to hear Obama's response to this decision.

It's only been 5 days, he has not heard about it from NBC yet.

[Spatula City]

There is a lot of opposition to Northern Gateway in BC-- and both the opposition and the third party have sworn to cancel it if they're elected.