TransCanada: Keystone XL Draft Supplemental Environmental Impact Statement
WASHINGTON, D.C. -- (Marketwire) -- 03/01/13 -- TransCanada
Corporation (TSX:TRP) (NYSE:TRP) (TransCanada) welcomed the U.S.
Department of State's (DOS) release today of the Draft Supplemental
Environmental Impact Statement (DSEIS) on Keystone XL. The company
remains strongly committed to obtaining approval to safely build and
operate the pipeline, and will continue to be engaged in the process
as the DOS enters its final stages of reviewing the project.
While TransCanada is still reviewing the DSEIS, it builds on more
than 10,000 pages of review already completed for Keystone XL. The
DSEIS reaffirmed that "there would be no significant impacts to most
resources along the proposed Project route." It noted that Keystone
XL would result in no "substantive change in global GHG emissions"
and it is "unlikely to have a substantial impact on the rate of
development in the oil sands, or on the amount of heavy crude oil
refined in the Gulf Coast area." Finally, it also noted that "the
denial of a Presidential Permit would likely result in actions by
other firms in the United States (and global) petroleum market, such
as use of alternative modes to transport WCSB and Bakken crude."
"Completing the Draft Supplemental Environmental Impact Statement for
Keystone XL is an important step towards receiving a Presidential
Permit for this critical energy infrastructure project," said Russ
Girling, TransCanada's president and chief executive officer. "No one
has a stronger interest than TransCanada does in making sure that
Keystone XL operates safely, and more than four years of exhaustive
study and environmental review show the care and attention we have
placed on ensuring this is the safest oil pipeline built to date in
the United States."
The August 2011 Final Environmental Impact Statement (FEIS) further
notes that TransCanada has also agreed to adopt 57 special safety
measures for the pipeline developed by the U.S. federal pipeline
safety regulator (PHMSA), which the FEIS said would give the pipeline
"a degree of safety over any other typically constructed domestic oil
pipeline system under current code." The 57 conditions include
burying the pipe a minimum of four feet below the su
pipeline inspections and a greater number of remote-controlled valves
that can shut down the pipeline within minutes.
Throughout 2012, TransCanada completed the process established by the
State of Nebraska and Nebraska's Department of Environmental Quality
to develop a revised route through Nebraska that avoids the Sandhills
area and minimizes potential impacts on other
environmentally-sensitive features in the state. The revised route
was approved in January 2013 by Governor Dave Heineman.
TransCanada's existing Keystone Pipeline has safely and reliably
delivered more than 389 million barrels of crude oil from Canada to
refinery markets in the U.S. Midwest since it began operation in July
Keystone XL will directly employ 9,000 people during two years of
construction. Once complete, it will generate millions of dollars in
tax revenues for local communities along the pipeline route and will
transport up to 830,000 barrels per day of Canadian and American
crude oil that can replace higher-priced oil imported from countries
like Venezuela, Saudi Arabia, Nigeria, and Iraq. In addition,
TransCanada began construction on the 780-kilometre (485-mile) Gulf
Coast Pipeline Project from Cushing, Oklahoma to Nederland, Texas in
August. That $2.3-billion project is more than half complete and has
directly employed 4,000 skilled American workers.
Combined, Keystone XL and the Gulf Coast Pipeline projects will
invest about $7.6 billion in the United States, directly support
20,000 construction and manufacturing jobs and enhance America's
energy security by supplying refineries in the U.S. Midwest and Gulf
Coast refining hubs with Canadian and American oil to displace crude
from other countries and regions.
"The latest forecasts from the International Energy Agency and the
U.S. Energy Information Agency indicate that the United States will
continue to import 3.5 million to 7 million barrels of oil a day to
meet its domestic needs until 2035 and beyond," Girling said. "It
makes sense for this oil to come from a stable, democratic neighbour
such as Canada that shares common values and an integrated economy
with the United States."
"President Obama and others have talked about the importance of
moving towards a less carbon-intense economy - we agree. TransCanada
has invested over $5 billion in emission-less energy over the past
few years. But we also know a complete transition to renewable energy
will take decades," concluded Girling.
The facts also show that Keystone XL is the safest, most
environmentally responsible way to deliver the oil that refineries
and consumers need to fuel our economy, businesses, homes and
maintain our quality of life.
Today, oil sands production accounts for about one-tenth of one
percent of global greenhouse gas emissions. Additionally, the
environmental performance associated with oil sands production
continues to improve and producers have reduced per barrel emissions
by 26 per cent since 1990. Canada's greenhouse gas emission reduction
targets are aligned with the United States and the Canadian federal
government has committed to phasing out all coal-fired power
facilities if they are unable to meet new regulations and standards.
Alberta, where the oil sands are located, was the first jurisdiction
in North America to introduce a carbon tax on industrial emitters,
and the provincial government has already collected $312 million to
fund environmental research that is focused on reducing impacts
associated with greenhouse gas emissions.
Keystone XL is the most studied cross-border pipeline ever proposed.
TransCanada continues to believe that it remains in America's
national interest to approve a pipeline that will enhance American
energy security, provide thousands of good jobs, stimulate additional
economic benefits and have a minimal impact on the environment.
With more than 60 years' experience, TransCanada is a leader in the
responsible development and reliable operation of North American
energy infrastructure including natural gas and oil pipelines, power
generation and gas storage facilities. TransCanada operates a network
of natural gas pipelines that extends more than 68,500 kilometres
(42,500 miles), tapping into virtually all major gas supply basins in
North America. TransCanada is one of the continent's largest
providers of gas storage and related services with more than 400
billion cubic feet of storage capacity. A growing independent power
producer, TransCanada owns or has interests in over 11,800 megawatts
of power generation in Canada and the United States. TransCanada is
developing one of North America's largest oil delivery systems.
TransCanada's common shares trade on the Toronto and New York stock
exchanges under the symbol TRP. For more information visit:
www.transcanada.com or check us out on Twitter @TransCanada or
FORWARD LOOKING INFORMATION
This publication contains certain information that is forward-looking
and is subject to important risks and uncertainties (such statements
are usually accompanied by words such as "anticipate", "expect",
"would" or other similar words). Forward-looking statements in this
document are intended to provide TransCanada security holders and
potential investors with information regarding TransCanada and its
subsidiaries, including management's assessment of TransCanada's and
its subsidiaries' future financial and operation plans and outlook.
All forward-looking statements reflect TransCanada's beliefs and
assumptions based on information available at the time the statements
were made. Readers are cautioned not to place undue reliance on this
forward-looking information. TransCanada undertakes no obligation to
update or revise any forward-looking information except as required
by law. For additional information on the assumptions made, and the
risks and uncertainties which could cause actual results to differ
from the anticipated results, refer to TransCanada's Management's
Discussion and Analysis filed February 13, 2013 under TransCanada's
profile on SEDAR at http://www.sedar.com/ and other reports filed by
TransCanada with Canadian securities regulators and with the U.S.
Securities and Exchange Commission.
Shawn Howard/Grady Semmens
403.920.7859 or 800.608.7859
Investor & Analyst Enquiries:
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