• 4 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 7 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 11 minutes Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 14 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 19 mins Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 6 mins Is $60/Bbl WTI still considered a break even for Shale Oil
  • 2 hours Theresa May to Step Down
  • 5 hours Old - New Kim: Nuclear Negotiations With U. S. Will Never Resume Unless Washington Changes Its Position
  • 1 hour IMO 2020 could create fierce competition for scarce water resources
  • 4 hours India After Elections: Economy And Hindu Are The First Modi’s Challenges
  • 1 hour IMO2020 To scrub or not to scrub
  • 6 hours Total nonsense in climate debate
  • 1 hour Devastating Sanctions: Iran and Venezuela hurting
  • 12 hours Level-Headed Analysis of the Future of U.S. Shale Oil Industry
  • 10 hours Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 3 hours Apple Boycott in China
  • 3 hours Compensation For A Trade War: Argentina’s Financial Crisis Creates An Opportunity For China

Breaking News:

Tesla Shares Rebound On Leaked Musk Email

B.C. Wants Its Piece Of Trans Mountain Despite Opposition

pipeline

British Columbia’s government still wants a US$780-million (C$1-billion) payment pledge to it by Kinder Morgan for the expansion of the Trans Mountain crude oil pipeline, despite its staunch opposition to the project, the Globe and Mail reports.

Kinder Morgan earlier this week agreed to sell the project to the federal Canadian government but a clause in the original contract with the previous B.C. government stipulated the province is due a payment of up to C$1 billion on a profit-sharing basis over a period of 20 years.

The interesting thing is that the payment was granted to a government that approved of the project in full, while the NDP cabinet in power now has been very active in trying to delay the project. In fact, it was these delays that eventually led Kinder Morgan to drop the project, leaving it to anyone willing to pick it up and try to make it work.

This turned out to be the federal government, which approved in back in 2016 and has been supporting it ever since without, however, finding a way to put an end to the opposition.

The Globe and Mail quoted B.C. Attorney General David Ebby as saying “The province is fully living up to its commitments under the agreement, and we expect that any future owner of the project would live up to theirs,” noting that the original agreement between the province and Kinder Morgan included no condition that the provincial government cannot change its mind about the Trans Mountain expansion.

Related: IEA: EVs Could Cut Oil Demand By 2.5 Million Bpd By 2030

This change of mind was no surprise after the NDP won the right to form a minority government campaigning that it would do anything within legal limits to stop the project. This strategy has worked: the provincial government has approved 220 out of 756 permit applications by Kinder Morgan and is reviewing another 435.

The rest are yet to be submitted, which will now be the job of the investors that the federal government is seeking to sell the project on. All this smacks of further delays, effectively making B.C. the winner in the battle for Trans Mountain for the time being.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News