{"id":12586,"date":"2015-09-24T06:44:11","date_gmt":"2015-09-24T11:44:11","guid":{"rendered":"http:\/\/olduvai.ca\/?p=12586"},"modified":"2015-09-24T06:44:11","modified_gmt":"2015-09-24T11:44:11","slug":"canadian-oil-trapped-without-more-pipeline-capacity","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=12586","title":{"rendered":"Canadian Oil Trapped Without More Pipeline Capacity"},"content":{"rendered":"<h3><a href=\"http:\/\/oilprice.com\/Energy\/Energy-General\/Canadian-Oil-Trapped-Without-More-Pipeline-Capacity.html\" target=\"_blank\">Canadian Oil Trapped Without More Pipeline Capacity<\/a><\/h3>\n<p>Adding insult to injury for Canada\u2019s oil industry, Democratic Presidential candidate Hillary Clinton came out\u00a0<a href=\"http:\/\/www.cnn.com\/2015\/09\/22\/politics\/hillary-clinton-opposes-keystone-xl-pipeline\/\">against the Keystone XL Pipeline<\/a>\u00a0on September 22, ending several years of silence and waffling on the controversial issue.<\/p>\n<p>That comes as a blow to TransCanada, the project\u2019s backer, who wanted to connect Canada\u2019s oil sands to refineries on the U.S. Gulf Coast. The 1,179-mile<a href=\"http:\/\/keystone-xl.com\/about\/the-keystone-xl-oil-pipeline-project\/\">pipeline<\/a>\u00a0would allow 830,000 barrels of oil per day to be exported from Canada. Clinton\u2019s opposition will add some pressure on the U.S. President to reject the pipeline, which looks increasingly likely.<\/p>\n<p>But if the pipeline is rejected, it won\u2019t just be bad news for TransCanada, but also for Canada\u2019s larger oil industry. Canadian crude trades at a discount to WTI, in part because of a lack of pipeline capacity. That discount has fluctuated over the years \u2013 ranging from $40 at a high point to around $15 today \u2013 but the bigger the discount, the more revenue is lost by Canada\u2019s oil producers.<\/p>\n<p><a href=\"http:\/\/oilprice.com\/Energy\/Oil-Prices\/Peak-Oil-Has-More-To-Do-With-Oil-Prices-Than-You-May-Think.html\"><strong>Related:\u00a0Peak Oil Has More To Do With Oil Prices Than You May Think<\/strong><\/a><\/p>\n<p>Now with oil prices less than half of what they were from a year ago, the discount that Canada\u2019s oil sector must sell their oil for is even more painful. \u201cAt $100 a barrel it was a big concern. At $45 a barrel, that is a far larger percentage (of revenue) and is likely the difference between profitable and unprofitable on many of the assets,\u201d Tim McMillan, president of the Canadian Association of Petroleum Producers (CAPP), told\u00a0<a href=\"http:\/\/www.reuters.com\/article\/2015\/09\/02\/us-canada-energy-pipelines-idUSKCN0R22HP20150902\">Reuters<\/a>\u00a0in an interview in early September.<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Canadian Oil Trapped Without More Pipeline Capacity Adding insult to injury for Canada\u2019s oil industry, Democratic Presidential candidate Hillary Clinton came out\u00a0against the Keystone XL Pipeline\u00a0on September 22, ending several years of silence and waffling on the controversial issue. That comes as a blow to TransCanada, the project\u2019s backer, who wanted to connect Canada\u2019s oil [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3,5],"tags":[1082,1642,5047,5046,1120,1030,6010,4523,5332,1350],"class_list":["post-12586","post","type-post","status-publish","format-standard","hentry","category-energy-2","category-geopolitics","tag-alberta","tag-bitumen","tag-canadian-association-of-petroleum-producers","tag-capp","tag-hillary-clinton","tag-keystone-xl-pipeline","tag-nick-cunningham","tag-oil-sands","tag-oilprice-com","tag-transcanada"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12586"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12586\/revisions"}],"predecessor-version":[{"id":12587,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/12586\/revisions\/12587"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}