TRUMP APPROVES PRESIDENTIAL PERMIT FOR KEYSTONE XL BORDER CROSSING
Mike Priaro, P.Eng.
First uploaded March 25, 2017.
Donald Trump said, “...It’s a great day for American jobs...”, “...a new era of American energy policy that will lower costs for American families...”, and “’..reduce(s) our (American) dependence on foreign oil...” to TransCanada Corp. CEO Russ Girling as Trump signed the Presidential Permit approving Keystone XL’s border crossing on Friday, March 24, 2017.
If Kinder Morgan's Trans Mountain expansion (590,000 bbl/d), Enbridge’s Line 3 (360,000 bbl/d), and TransCanada Corp.'s Keystone XL (830,000 bbl/d) are all built, there will be no oil sands volumes left, none at all, for Energy East. Here is the chart that proves it:
Source; Canadian Association of Petroleum Producers Crude Oil Forecast, Markets and Transportation 2016, pipeline company data, and Mike Priaro.
As a shareholder, I am ashamed of TransCanada Corp.'s many statements that it will still go ahead with Energy East – a fabrication for naive government officials and for domestic public relations if ever there was one.
Note to TransCanada Corp.: air barrels don’t count!
Even though 99 percent of Canada’s oil exports already go to just one market, the U.S., both Alberta Premier Rachel Notley and Prime Minister Justin Trudeau have approved building three more pipelines to do a lot more of just that out of political expediency, not because it is best for Albertans and Canadians.
Albertans and Canadians are now condemned to being price takers in a captive market, to continue importing hundreds of thousands of barrels/day of foreign crude, to foregoing all the added value between raw bitumen and refined products and petrochemicals, and to accepting a limited number of blue-collar jobs to extract cheap, discounted, low-royalty, no-value-added raw bitumen for export as dilbit forever.
TransCanada Corp. management was taken to task for spending CDN$2 billion on Keystone XL before having in-hand a signed Presidential Permit approving the border crossing.
Now, they have made a deal with the devil to save their skin, and this is the result for Albertans and Canadians.
A formal NEB inquiry and federal Cabinet evaluation are absolutely essential to determine if Keystone XL, Enbridge's Line 3, and the Trans Mountain expansion are, individually and together, in the national interest.
Mike Priaro, P.Eng.
Calgary
403-281-2156
Note re chart above; Even worse, there are some forecasters who don't believe there will be an uptick in western Canada oil supply after 2025 as shown by the 2016 CAPP forecast. For example, "...under our Cutback Scenario ... we see the region’s output increasing only modestly over the next year or two as the one greenfield project and handful of small add-on projects already under construction are completed, then very gradually declining thereafter." See: https://rbnenergy.com/the-thrill-is-gone-market-realities-weigh-heavily-on-the-canadian-oil-sands
AUTHOR BIO
Mike Priaro, B.Eng.Sc. (Chem. Eng.), U.W.O. '76, P.Eng., Lifetime Member Association of Professional Engineers and Geoscientists of Alberta (APEGA), worked in facilities, production, operations and reservoir engineering, as engineering consultant, area superintendent, and engineering management in Alberta's oil patch for 25 years for companies such as Amoco and PetroCanada.
He increased oil production from the historic Turner Valley oilfield and brought in under-balanced drilling and completion technology to drill out, complete, and test several of the highest producing gas wells ever on mainland Canada at Ladyfern. He co-authored ‘Advanced Fracturing Fluids Improve Well Economics’ in Schlumberger's Oilfield Review and developed the course material for the ‘Advanced Production Engineering’ course at Southern Alberta Institute of Technology.
Mike has presented his work to Canada’s House Committee on Natural Resources in Ottawa and to the Senate Committee on Transportation and Communications in Calgary. He has had work published in: Alberta Oil magazine on Oct. 20, 2016; World Pipelines magazine in September 2016; the Macdonald-Laurier Institute in the Mar. and Apr., 2014 and Feb., 2015 editions of Inside Policy magazine; U.S. energy industry websites such as RBN Energy; in the Jul. 17, 2014 edition of the Oil and Gas Journal; in Petroleum Technology Quarterly, Q3 2014; and in columns in the Calgary Herald, Edmonton Journal, Montreal Gazette, Halifax Chronicle Herald, and others.
Mike has no formal connection to any oil company, environmental organization, think tank, labour organization, lobbying or special interest group, academia, or to provincial or federal politics.
In 2015 Mike provided "A Preliminary Engineering, Economic, and Environmental Evaluation of ASRL's Partial Upgrading Process" to Alberta Sulphur Research Limited and presented it to 80 representatives of ASRL's member companies. ASRL partial upgrading subsequently obtained Alberta government funding and industry support. On Jan. 29, 2016, the Alberta Government made partial upgrading a priority based on its Royalty Review Panel’s recommendations. As of Nov. 2016, the ASRL partial upgrading flow test pilot is running at CANMET/NRCan’s research facility in Devon, AB.
In 2016 Mike was invited to be a Bowman Centre Volunteer Associate at the not-for-profit Bowman Centre for Sustainable Energy. Its mission is 'to catalyze big energy projects which drive Canada’s energy strategy and generate sustainable wealth and jobs'.
Mike’s work can be found on his LinkedIn pages: https://www.linkedin.com/in/mike-priaro or Behance website: https://www.behance.net/Mike_Priar
