Alberta-Quebec Oil Pipeline Reversal Study Done by June
Alberta and Quebec’s study on the effects of Enbridge (ENB) Inc.’s plan to boost the flow of oil from Western to Eastern Canada should conclude by about June, Quebec Premier Pauline Marois said.
A working group of provincial officials studying the environmental and economic implications of the proposed pipeline flow reversal should be done by “the end of spring,” Marois said in an interview at Bloomberg headquarters in New York yesterday.
“We want to see the advantages and the drawbacks, and after that we will take the decision,” she said. “Some people say the pipeline can’t receive oil from the tar sands because it’s too heavy.”
Enbridge, based in Calgary, has proposed reversing Line 9B and using it to help ship crude from Alberta’s oil sands to Montreal. Suncor Energy Inc. (SU) and Valero Energy Corp. (VLO), owner of the only two refineries in Quebec, may benefit from the reversal and more access to cheaper Canadian crude instead of using oil shipped from overseas.
The population of Quebec may be more inclined to support the proposal if Enbridge and other companies are willing to make investments in renewable energy in the province, she said.
Enbridge has invested more than C$350 million ($355 million) in green energy in Quebec with its 50 percent interest in the Lac Alfred wind farm, spokesman Graham White said in an email.