Enbridge in the jaws of the buzzsaw?

16 Aug 2012

I  feel just a little sorry for Enbridge who has been taking a beating in the press and courts and then in the halls of Washington DC because of their 2010 spill in the Kalamazoo River.  Then, they had their Wisconsin spill last month and gas prices shot up all over the midwest (I notice they haven’t really come back down – funny how that works).

Now comes word that the Canadian Province of British Columbia or other Canadian regulators may put the kibosh on a $5.5 Billion, 1100 mile, 36″ “Northern Gateway” pipeline which was planned to carry an average of 525,000 barrels of petroleum per day from Edmonton to the Pacific for refinement and transport to China and elsewhere. It really doesn’t help when the US Government refers to your operations as like the “Keystone Kops.”

This pipeline was to be a “sister” to the much better known (here anyway) Keystone XL pipeline and both are intended to help with the development of the so-called Alberta tar sands (which were the subject of this scathing article in Esquire magazine) which could turn Canada into a major competitor for Saudi Arabia.

I suspect that they will get the pipeline approved but it will take a lot more work than Enbridge expected two years ago.

Back here in Michigan, Enbridge is taking another black eye publicly as it tries to fix its pipeline for possibly overstepping its bounds in clearing trees on a property through which it had an easement.  I understand the property owner’s point of view but those Enbridge executives had better hope they read their easement very carefully before starting work.  All-in-all, they don’t appear to be having a fun summer.

Leave a Comment Below

Leave a Reply