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View Diary: Obama Approves Major Border-Crossing Fracked Gas Pipeline Used to Dilute Tar Sands (39 comments)

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  •  Tars sands will flow to Gulf Coast despite hold (15+ / 0-)

    on Keystone XL (North). Flanagon South pipeline fast tracked - appeals lost.

    Court declines to block big oil pipeline

    A big pipeline carrying oil from tar sands crosses many states and is opposed by environmental groups that warn of potential dangers.

    Sound familiar?

    No, not Keystone XL. It's the Flanagan South Pipeline, proposed to carry oil between Illinois and Oklahoma. And in a new decision, a federal judge has declined the environmental groups' request to stop the project with a preliminary injunction.

    The pipe is now going into the ground.
    •  Tar sands crude is already flowing to (1+ / 0-)
      Recommended by:
      Claudius Bombarnac

      the gulf coast through other pipelines, like the one that went through Mayflower, AR.

      •  Keystone XL South fast tracked by Obama last (1+ / 0-)
        Recommended by:

        year is ready to move oil from Cushing to the Gulf shortly.

        A Keystone Pipeline That's Ready to Roll
        Shipping oil by rail and reversing direction at a few pipelines has siphoned off some of Cushing’s glut; Keystone Gulf Coast will make the difference. When it opens, the pipeline will almost double the amount of crude that can get piped from Cushing down to the Gulf. “That should help us regain our competitive advantage, at least for awhile,” says Thompson.

        While that’s good for U.S. producers, Gulf Coast refiners are less excited. They can process Cushing’s light sweet oil, but they’ve also spent plenty to process heavy sour crude from Mexico and Venezuela. With production down in those two countries, “what we really want is the heavy Canadian crude making it down to the Gulf Coast,” says Bill Day, a spokesman for Valero Energy (VLO), the biggest refiner in the U.S. Crude from Canada’s western oil sands is trading about $30 a barrel below WTI. Processing it would not only help refiners replace the lost crude from Venezuela and Mexico but also improve their margins.

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