I live in Louisiana, an oil & NG producing state. I can understand your opposition to building a pipeline to serve the Chinese market and sending a Chinese Production Company (Sinopec) oil at their cost of production. As an resident of “the States” I would much rather see the pipeline from Canada to our Gulf Coast Refineries. I strongly support the USA doing all possible to insure our oil needs are supplied by our friends, NOT our adversaries /enemies. Canada is certainly a well documented ally. However, oil is a fungible product, priced by the world market.
May I offer an alternative, and tell a story. For many years, Louisiana has caught sea food in the Gulf, Fish, Crabs, Shrimp, Oysters and shipped much of the catch out of state for “processing”. The sea food is a “raw material” the “processing” adds value. The added value is where much of the economic benefit is derived. Canada, should NOT be exporting the diluted oil sand crude and importing natural gas liquid (except imports from the USA, if you cannot meet your needs in country). Canada should be converting the oil sands crude into end products, gasoline, diesel, aviation fuel, lubricating oil. That would place the ‘added value” in Canada. When you export your raw materials, you export your jobs.
On December 31, AP (CHRIS KAHN ) reported,
“NEW YORK (AP) — For the first time, the top export of the United States, the world’s biggest gas guzzler, is — wait for it — fuel.
Measured in dollars, the nation is on pace this year to ship more gasoline, diesel, and jet fuel than any other single export, according to U.S. Census data going back to 1990. It will also be the first year in more than 60 that America has been a net exporter of these fuels.
Just how big of a shift is this? A decade ago, fuel wasn’t even among the top 25 exports. And for the last five years, America’s top export was aircraft.”
If we can do it, so could Canada. Perhaps joint ventures between the USA & Canada would be the best way, I do not know. I do know neither country should export JOBS, we can do cost effectively, to China.
I am a Professional Engineer, now retired, who is not convinced there is man-made global warming. Is the planet warming, I believe data indicates slightly, did man cause it, given the scale of the earth, probably not. However, the “Global Warming” community does not have a good track record when it comes to presenting ALL of the data. There are too many persons, living on grants from “green organizations” and government bureaucrats who benefit from the belief any warming is man-made. As a reporter/writer I challenge you to work to find the “facts” not opinions. To question if the “authority” has a vested interest in the answer. During my lifetime, a major US news magazine warned of “the coming ice age”.
I trust you have read my thoughts. Our countries have enough oil to become the world oil superpowers, we are not now because our present government has blocked much oil development, what has been accomplished shows what is available.
Sincerely & a Happy 2012
Lee C. Estabrook, PhD, P.E. (ret)
Minden LA – USA
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Well said Lee, the enviroment or saftey there of is nothign more then an economic stonewall. Something to justify billions in spending and no evidence of change.
As for Louisianna, refineris there are so out dated and unsafe I would think they should be closed. There has not been a new refinery built in over 60 years. The area is also unsafe due to weather…
The problem with refining here in Canada is our labour rates are way out there. $95.00/hr plus depending on your field. Then lodging travel and all other associated costs. Unless that chnages it s not economically viable to refine oil here.
KNOC or Korean National Oil corporation already own a refinery on Canada’s east coast. They refuse to maintain and update as needed as it is way to expensive. Not to mention the poor work ethic of the unionized employees.