Canada's dearth to deluge
Not long ago the oil sands looked hemmed in by a lack of pipeline capacity. Now they may have too much
It is a prospect that seemed unthinkable for oil sands producers just a few months ago: Canada, which faced a dire shortage of space on its ageing transportation network, might now be over-piped. Two major pipeline expansions have been approved, a third is moving through the regulatory process; throw in a revived Keystone XL (KXL), and suddenly producers may get 2m b/d of new capacity flowing east, west and south. It started in late November when prime minister Justin Trudeau gave the green light for KinderMorgan's controversial C$6.8bn ($5.2bn) TransMountain expansion (TMX) line, while turfing Enbridge's Northern Gateway proposal at the same time. TMX will triple to 0.9m b/d the capacity on
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