Stoaty
Well-known member
http://www.nbcnews.com/news/us-news/obama-announce-rejection-keystone-xl-pipeline-proposal-n458651
Purely a coincidence, I'm sure :lol:jpadc said:The final decision announced just days after the last national election before the end of the president's term, unexpectedly :!:
Given the length of time that it would take to build the pipeline, and the likely changes in oil prices in the interim, I don't know that that's the case. This isn't like stopping drilling rigs when the price of oil drops for six months or a year; the lead time is large, and they have to try and predict future demand years in advance for when the pipeline would have come on line. If the Republicans take over in 2017, combined with or in addition to a rise in the price of oil, we can expect to see this again unless RE is undercutting everything else by then (highly unlikely).evnow said:Likely other consideration was the Paris climate summit.
Anyway, given the oil price, it is unlikely the pipeline would have been built anyway.
evnow said:While it is true that the pipeline takes a long time and we don't knows what the oil price looks like when it is finished - the low oil price raises a lot of questions making raising capital for this difficult. A while back CW was that oil prices will remain high making this kind of pipeline useful going forward. Not anymore, they have to consider idling the pipeline whenever the price falls. This makes the pipeline ROI uncertain.
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