Wednesday, June 4, 2014

Test Run: First Alberta Tar Sands Oil Arrives in Europe!

Proponents of the Keystone XL Pipeline tell us the pipeline will enhance access to Canadian oil and significantly increase U.S. and North American energy security.  (While improving the landscape?)

At that point, the defining of energy security gets very sketchy. Read the document carefully, then write down what you derived from this gibberish.

On the other hand, those who did their homework saw the pipeline was nothing more than a conduit through the US to overseas markets!

A "test run" from Alberta to Europe has just been completed!

Last Thursday, May 29th, a Russian tanker, Aleksey Kosygin, arrived in Bilbao, Spain,  delivering 600,000 bbls (25,199,999US gal lqd) of Western Canada Select (WCS,) commonly referred to as Tar Sands Crude from Alberta.

The Kosygin loaded at Freeport Texas, and departed for Spain on May 21st.

"Repsol will test the first batches of Canadian crude at its Spanish refineries later this month as the oil major takes advantage of a provision that allows Canadian crude to be re-exported through U.S. ports, said a source with knowledge of the deal. 

(Ed Note:  Repsol S.A. is a Spanish multinational oil and gas company based in Madrid, Spain. It is the 15th largest petroleum refining company according to the Fortune Global 500 list, employing over 40,000 people worldwide.)

"Repsol bought a cargo of Western Canada Select (WCS) heavy blend crude to be used as a test for several refineries. 

"The 600,000 barrels of WCS were loaded at Freeport [Texas] after obtaining the license to export them from the United States. Mexican Maya was also loaded to optimize the freight. 

"To export Canadian crudes from the United States such as the WCS, a heavy sour blend with 20 API degrees made of more than a dozen Canadian crudes, the seller needs to ask to the U.S. Department of Commerce for a license for every cargo. The export of U.S. crudes, however, is banned in almost all cases." [1]

According to an oil analyst, "as long as Canadian tar sands prove economic, EU refineries will be happy to import it.

"To the refiner, it'll just be the price you can get and the product you get after refining it, so they wouldn't care what the source is. "They wouldn't think about the carbon content at all." [2]

How did the oil get from Alberta to Texas? 

Enbridge completing the Seaway Pipeline Reversal project was key in making the shipment from Freeport possible. As originally designed, the Seaway Pipeline pumped crude oil north from the Gulf of Mexico from Freeport, Texas,  to Cushing, Oklahoma.

Reversal of the 30" pipeline was completed in June 2012, flowing crude from an interchange with the original Keystone pipeline at Cushing south to Freeport.

Seems as though this test run to Spain galvanizes the argument that the Keystone XL pipeline could be a conduit through the US to Europe, and serves no benefit to the US.

[1]  Respol test
[2]  First shipment to EU

1 Comments - Click here: said...

This is an extremely important article exposing what is really happening re: Keystone/tar sands/and the US getting screwed again by big business. Exposes a lot of lies. Safety and environmental issues are surely on the bottom of the list for these exports to foreign lands. Where does this benefit US, economy and all the work it should have provided. Thanks for extensive research and fact finding. Not in vain!

Post a Comment

"Comment" is for sharing information related to this article. "Anonymous" comments are not published.