Page 7 - NorthAmOil Week 30 2022
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NorthAmOil                            PIPELINES & TRANSPORT                                      NorthAmOil

















































       Keystone pipeline



       returns to normal service





        NORTH AMERICA    THE Keystone pipeline, which carries crude  of $900mn for the second quarter of 2022, down
                         from Canada’s oil sands to the US, resumed nor-  from net income of $1.0bn in 2021.
                         mal service on July 23 following a nearly week-  The company said the Keystone system had
                         long reduction in capacity that had resulted from  delivered nearly 610,000 bpd during the second
                         damage to a third-party electric substation.  quarter after bringing around 30% of contracts
                           The damage was attributed to vandalism to  from its 2019 open season into service, effective
                         a transformer at an East River Electric Power  from April 1. Additional volumes are anticipated
                         Cooperative substation in South Dakota that  between now and the end of the year, TC Energy
                         services Keystone.                   added.
                           It resulted in the pipeline’s operator, TC   The company also noted that it had finalised
                         Energy, declaring force majeure on July 18. The  contracts for around 580 MW of wind power
                         company did not specify by how much it had  and 240 MW of solar in 2022 to date that would
                         reduced the pipeline’s capacity while repairs to  be used to power portions of the Keystone sys-
                         the transformer were completed.      tem. It added that it expects to finalise additional
                           A criminal investigation was reported to be  contracts later this year.
                         underway into the damage to the transformer.  Elsewhere, TC Energy continues to make
                           Keystone has a capacity of 590,000 barrels  progress on other projects, including the Coastal
                         per day (bpd) and continued to transport oil fol-  GasLink gas pipeline that will serve the LNG
                         lowing the incident, albeit at a reduced capacity.  Canada export terminal. The company said it
                         Owing to the short-lived nature of the disrup-  had reached revised project agreements with
                         tion, pricing impacts were reported to be limited.  LNG Canada for the pipeline, which was now
                           On July 28, TC Energy reported net income  around 70% complete.™





       Week 30   31•July•2022                   www. NEWSBASE .com                                              P7
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