Tags
Industry News
Pipelines

Oil industry associations express displeasure at loss of Energy East

Ripples from TransCanada's decision to shelve the Energy East and Eastern Mainline pipeline projects have continued to roll through Canada's energy industry, with several industry organizations and others continuing to express disappointment at the loss of the $15.7 billion project.

The Canadian Energy Pipeline Association acknowledged that the decision was difficult, but noted that Canada will lose out because of it.

"TransCanada was forced to make the difficult decision to abandon its project, following years of hard work and millions of dollars in investment. The loss of this major project means the loss of thousands of jobs and billions of dollars for Canada, and will significantly impact our country's ability to access markets for our oil and gas," the association said in a statement. 

Energy East was scrapped after a decision by the National Energy Board panel reviewing the project to include upstream and downstream greenhouse gas emissions in its considerations. 

"This is evidence of how a lack of clarity and an unclear decision-making process regarding pipeline projects in Canada are challenging the energy sector's ability to be competitive in the world market," CEPA stated. "Pipelines are the only viable way to move large quantities of oil and natural gas to markets, safely and responsibly. With global demand for energy expected to rise and extensive supply potential in Western Canada, Canada will be missing out on a significant economic opportunity if governments do not see value in pipeline projects such as Energy East."

The Canadian Association of Oilwell Drilling Contractors lay the blame for the loss of the pipelines squarely at the feet of the federal government. 

"We are extremely disappointed, but not surprised," said CAODC President Mark Scholz.

Scholz said that the NEB changed its process based on a public comment period when, according to the announcement regarding GHG emissions in August, around 820 public submissions were received. 

"It's sad, confusing, and frustrating when 820 letters can lead to derailing a project supported by thousands of Canadians across the country; a project with the potential to provide thousands of jobs and billions of dollars in royalties and tax revenues," he said. "This outcome sends a message to potential investors that the rules you spend considerable time, money and effort to follow in Canada are subject to continuous change at a moment's notice.

"Since 2012, Canada has spent over $100 billion importing oil from other countries, many of which have deplorable environmental and human rights records," Scholz continued. "Right now we can't even supply our domestic markets with Canadian oil and gas. It's disappointing that 820 letters can change circumstances in a way that leads to a loss of thousands of Canadian jobs, a compromised future for Canada's economy, and the cancellation of building a safer way to transport our responsible, ethical resources to Canadians and the rest of the world."

Meanwhile, the organization overseeing Ontario's construction workers also weighed in with its disappointment in the decision.

"This is a lost opportunity for nation-building and for the environment, and construction workers are deeply upset," said Patrick Dillon, Business Manager of the Provincial Building and Construction Trades Council of Ontario, in response to the cancellation of the Energy East pipeline. "We have worked with TransCanada laying the groundwork to provide enough trained and qualified workers to ensure that there would be no delays due to staffing. With this abandonment of the project, a rare opportunity to engage in nation-building has been lost." 

TransCanada projected that some 14,000 jobs would be generated nationally, including construction and operation of the lines. According to Dillon, those jobs would have had an impact on northern Ontario especially. 

"Energy East represented a lost opportunity to strengthen the country much as the creation of the Canadian Pacific Railway did nearly 150 years ago," said Dillon. "It is a shame that a cumbersome regulatory environment has caused a $15 billion investment to go south. We support stringent regulations that are balanced and fair that protects workers, communities and investors. However, the Energy East process tipped the scales too far in the wrong direction, to the detriment of construction workers and Ontario's economy."

Company Info

Latest News

Tags
Offshore Technology

Companies connect to create unique model for FLNG industry

Add Energy, an international energy consultancy provider, has partnered with Transborders Energy (TBE) and joined forces with TechnipFMC and MODEC to create a unique and fast deployment business model for the FLNG (floating liquefied natural gas) industry that will free up small-scale stranded resources around the world and establish a new concept in global gas field development.

Read More

Tags
Drilling & Production

Selecting the Right Solid Tires for Industry Specific Applications

Approximately twenty years ago, those of us working in the off-road heavy equipment industry regularly witnessed a high amount of failures in machines operating on cement or other hard surfaces. Extended steel rims were used with small, hard, rubber wheels. When these rubber tires chipped and chunked, vibrations and bouncing sent shockwaves into the machine, causing shortened life and expensive repairs, not to mention stress on operators. Drivetrain components (U-joints and articulation joints) in particular often suffered from stress cracks caused by vibrations and a bouncing machine. 

Read More

Cat to offer UTVs starting in 2018

Cat to offer UTVs starting in 2018

Caterpillar announces plans to enter the utility vehicle market. The company has entered into a manufacturing and supply agreement with Textron Specialized Vehicles Inc. and will offer UTV models sold through participating Cat dealerships starting in 2018.

Read More

FLO Components celebrates first winner in 40th Anniversary giveaway

FLO Components celebrates first winner in 40th Anniversary giveaway

Automatic Greasing Systems specialist FLO Components Ltd.'s announces the winner of the first draw in its 40th Anniversary Giveaway Contest. FLO's Marketing Specialist Gabriel Lopez announced: "Anisa Copeland of Cambridge, Ontario is the lucky winner of the first of three Lubrication Product Packages. Anisa's name was drawn randomly from all eligible entries and she successfully answered a skill testing question. Anisa received a Lincoln 1884 PowerLuber & Lincoln 5900 PowerLock Coupler Pack."  

Read More

Sage Oil Vac Launches All-New NextLube Monitor System

Sage Oil Vac, a leader in professional lube equipment, has announce the launch of its NextLube monitor system. While it might not be large in size, the all-new NextLube monitor system promises huge improvements in productivity and ease of use. The intuitive NextLube touch screen panel delivers a straightforward presentation of information to any job as an optional add on for Sage Oil Vac lube trucks and trailers. NextLube will display the gallons within the tanks, instead of the percentage, making the process easier for the technician to determine the amount of oil available to complete an exchange.

Read More

Tags
Drilling & Production

Churchill sees demand for dart-less activation

Churchill sees demand for dart-less activation

Churchill Drilling Tools has seen a growing demand for its technology with a record number of dart activations in August 2017. Operators are increasingly trusting Churchill's darts to activate downhole devices, with the company announcing the launch of a dart-less version of its Self Filling Float, the popular time-saving tool for running in hole in deep water drilling programs.  

Read More

Tags
Instrumentation, Systems & Automation

Honeywell expands gas measurement solution portfolio

Honeywell Process Solutions has expanded its portfolio of integrated gas measurement solutions in the U.S. The company is now offering the standard Honeywell Elster RABO meter combined with a mechanical totalizer or instrument drive (ID), along with the direct-mounted Honeywell Mercury Instruments TCI temperature corrector or EC 350 volume corrector. This combination will deliver advanced measurement, control, and analysis technology from a single source, and thus reduce costs and integration challenges for customers.

Read More