The final part of TransCanada’s Keystone XL project might be stalled by delays from the U.S. government, but the price of Canadian tar sands crude – the product the project is designed to transport – is on the move.
The Wall Street Journal reports that price of Canadian oil-sands crude has risen nearly 60 percent since November. That same report also said that the current price gap of around $20 between Canadian oil and the benchmark West Texas Intermediate grade is “about right,” according to industry observers. The number of refineries capable of processing the heavy crude is limited, so industry analysts think that the current lack of transport infrastructure for the product isn’t a problem at present, the report said.
Meanwhile, a pro-Keystone XL caucus in the U.S. Senate continues its effort to call a vote to support the project. The vote would be largely symbolic, since the federal agency responsible for deciding on Keystone XL, the State Department, is not beholden to the Senate.
Such a vote could come in the form of a vote on a pro-Keystone XL amendment to a larger energy bill currently being worked out in the Senate.
“If they want to vote on Keystone, they can vote Keystone, but enough is enough,” said Senate Majority Leader Harry Reid, declaring amendments on the energy efficiency bill off limits.
CNN reported that Republicans insisted they be allowed four or five amendments to the bill and warned they would filibuster the energy bill if they didn’t get them.
“We haven’t had a fulsome energy debate in the Senate since 2007. Seven years ago,” Sen. Mitch McConnell said. “What we’re asking for here is four or five amendments related to the subject of energy, one of the biggest issues in our country. That is hardly obstructionism.”
