Why does canada want the keystone pipeline

State Department, and ultimately the president. North America is experiencing a boom in crude oil supply due to growing production in the Canadian oil sands, the recent expansion of shale oil production from the Bakken fields in North Dakota and Montana, as well as the developments of the Eagle Ford and Permian Basins in Texas. S see Image 1. The proposed pipeline would take a more direct route than the existing pipeline, boosting the flow of oil from Canada.

Canada already sends , barrels of oil per day to the U. The expansion was originally conceived when oil prices were at historic highs. The line was eventually expected to transport , barrels of oil 1, miles from the Canadian oil sands to Steele City, Nebraska, where it would link to existing pipelines heading to Gulf Coast refineries. President Obama approved the southern leg of the pipeline in Access to the Gulf Coast provides additional refineries and ports from which the oil can be exported globally.

In , after an outpouring of grassroots activism and advice from the Environmental Protection Agency EPA , President Obama rejected the construction of the northern leg. President Obama said at the time that the project would not:. Matters turned personal later that year at a divisive G7 summit in Quebec after Mr Trudeau stated his objections to the tariffs.

Mr Trump said the prime minister's stance against the US would cost Canada "a lot of money" and called Mr Trudeau "very dishonest and weak". Biden sets to work on reversing Trump policies. Trump calls Trudeau 'two-faced' at Nato summit.

Image source, Google. What did they discuss? Biden 'to cancel Keystone pipeline on first day' Trump's Trudeau jibes bring Canadians and Americans together World leaders hope for 'new beginning' under Biden. This video can not be played To play this video you need to enable JavaScript in your browser.

A few months later, the State Department granted the permit. In , the National Academy of Sciences released a study that said diluted bitumen which composes the majority of tar sands oil differed from the other types of oil traveling through US pipelines in a way that makes it more susceptible to hazardous leaks. In , , gallons of oil leaked from the existing Keystone pipeline in South Dakota. Demand for oil, which had already been declining for some time, was hit hard in by falling investment, severe storms that hurt production, and the coronavirus pandemic.

But for many Indigenous groups, climate activists, and people from communities impacted by fossil fuel infrastructure, the fight is bigger than Keystone. Keystone XL is dead, but the Indigenous-led fight to halt the Line 3 pipeline project is already here. The battle has been heating up since December when Enbridge, the Canadian multinational responsible for the project, began construction. If completed, the roughly mile pipeline expansion project will transport 1 million barrels of tar sands oil per day from Alberta across much of northern Minnesota to Superior, Wisconsin.

The company also told Vox via email that it has done everything required under the law to receive approval for the pipeline and ensure it operates safely. But Indigenous activists are calling on Biden to cancel Line 3 like he did Keystone XL because they say it poses a significant risk of oil spills that could destroy precious water resources, wetlands, and ancestral lands. According to one report , opening Line 3 will have the equivalent climate impact of bringing 50 new coal plants online.

The intensity of opposition to the pipeline reached a crescendo earlier this week as thousands of protesters converged on Minnesota. Close to people were arrested. An informed electorate is essential to a functioning democracy. It would mirror an existing pipe, also called Keystone, but would take a more direct route, boosting the flow of oil from Canada.

At the coast there are additional refineries and ports from which the oil can be exported. The pipeline was set to be privately financed, with the cost of construction shared between TransCanada, an energy company based in Calgary, Alberta, and other oil shippers.

US-produced oil would also be transported by Keystone XL, albeit in smaller quantities than Canadian. Canada already sends , barrels of oil per day to the US via the existing Keystone pipeline. The oil fields in Alberta are landlocked and as they are further developed require means of access to international markets.

Many of North America's oil refineries are based in the Gulf Coast, and industry groups on both sides of the border want to benefit. An increased supply of oil from Canada would mean a decreased dependency on Middle Eastern supplies. According to market principles, increased availability of oil means lower prices for consumers.