White House rejects Keystone expansion to U.S.
Thursday, 19 January 2012 16:02

COLLIN GALLANT

Rumours that the United States State Department was to prepared to reject the Keystone XL pipeline expansion turned into more disappointment for businesses and elected officials in small centres along the line's of the Canadian route on Wednesday.
On Tuesday, the White House rejected Trans-Canada Pipelines' application to build the U.S. section, citing a rejection of the 60-day deadline imposed by congress.
The Obama Administration would reportedly prefer to wait until after the presidential election in November. Trans-Canada pipelines said in a release that it stands behind the 2,600-kilometre pipeline project and reapply for approval.
Meanwhile, operators of hotels, gas stations, restaurants, bars, and stores throughout east central Alberta and southwestern Saskatchewan are still waiting for a boom that harkens back to the construction of the first Keystone line in 2009.
"When the first line went through, the grocery stores were pretty much empty, and you wouldn't bother trying to go out to a restaurant for diner," said Paul Christianson, the mayor of Oyen.
"I don't think the environmentalists in the States know what's going on," said Christianson. "They talk about Nebraska being sensitive area, but between Oyen and Medicine Hat... ranchers here say (Trans-Canada) leaves he land in better shape than when they found it."
Oyen, with it's population of 1,015, would likely be the staging centre of a crew of up to 600 workers employed by Michels Canada to construct the Alberta portion of the line.
Shaunavon, Sask, (pop. 700) would be home to Banister Majestic Pipeline's spread for a construction season expected to last up to eight months.
"We're fortunate right now that oil (drilling) is booming," said Jay Meyer, the town administrator in Shaunavon.
"Service companies are moving in regardless. Right now there's a 59-room hotel going up, that's an $8-$9 million dollar as well as another 30 unit hotel and a new fuel station that would benefit from that huge influx of another 500 people."
"But we're very busy as it is."
The line, approved by the National Energy Board in March 2010, would transport crude bitumen from Hardisty, near Wainwright, to Oyen and Bindloss, then across the Saskatchewan boundary to travel near Burstall, Fox Valley, Piapot, and Shaunavon before crossing into Montana. Eventually the crude would link up to a distribution point in Oklahoma.
I.W. Kuhn Environmental, based in Acadia Valley, Alta., did the environmental and reclamation work on the original Keystone line and has the contract for the same work in both Alberta and Saskatchewan on the expansion.
"Absolutely we'd sure like to see this go by the fall of 2012 or early 2013," said Roger Didychuk, a vice president with I.W. Kuhn, who projects hiring up to an additional 50 workers during the project's eight-month time frame.
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"For us this is a huge project, and I'd sure like to see it go through."
Even nearby centres that aren't on the direct line are excited about reaping the rewards of nearby construction.
"We would probably get a lot of spin off out of it," said Barry Rudd, the mayor of Maple Creek, near Piapot. "Especially the grocery stores, restaurants, motels, fuel stations. You're going to get that spin off when they're that close."
"It would be a big economic boost for the town, even if we're just getting some of that business."
A TransCanada official told Southern Alberta Newspapers in October that work began in October to bore underneath the South Saskatchewan and Red Deer Rivers.
Work on pulling the 36-inch diametre pipe from one shore to the other is expected to be finished by the end of the month.
An additional major river crossing is to be completed on the Frenchman River in Saskatchewan, to the east of Cypress Hills Interprovincial Park.

 



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