Thursday, 21 November 2019

Alberta's oil sands’ proven reserves equal about 
165.4 billion barrels (bbl).

Why is our Resource-Rich Canadian Government Always Poor

It’s time to tell the truth

Economic cheerleading by federal and provincial politicians and the mainstream media on behalf of the oil industry
is doing the public a great disservice

Prime Minister Justin Trudeau
 Spend C$4.5bn (US$3.45bn) Plus
To purchase
Kinder Morgan’s Trans Mountain Pipeline


The existing 300,000 barrel per day pipeline

Prime Minister Justin Trudeau’s repeated claims
that the pipeline was essential for Canada’s future.

Declaring the Trans Mountain pipeline was a matter of national interest

It's all because Canada lost the Keystone XL pipeline South


Obama administration halted construction on 

The remainder of the Keystone XL pipeline

A 800,000 barrels a day pipeline of crude to
 Terminals on the Gulf Coast.


Why is the Trans Mountain pipeline so valuable 

Alberta oil products shipped through the Trans Mountain pipeline supplied 28.5 per cent of 
Washington’s petroleum needs in 2017.

In fact, Today the majority of product now moved through the
Trans Mountain pipeline ends up in Washington hands.”


Washington refineries buying Alberta bitumen have some of the largest profit margins in the world  
up to $45 US per barrel 

Not surprisingly,
Vancouver also has some of the highest retail gasoline prices in North America.”
 


Kinder Morgan Bait & Switch:
 Backdoor pipeline to Washington State 

The Trans Mountain pipeline has a southern leg – 
called Puget Sound Pipeline 
which splits off at Kinder Morgan’s Sumas Terminal in Abbotsford, B.C. and delivers tar sands to several refineries in Washington State,
including the Ferndale Refinery (owned by Phillips 66),

 the Cherry Point Refinery (owned by BP),
the Andeavor Anacortes Refinery (now owned by Marathon Petroleum), and

 the Shell Anacortes Refinery (owned by Shell Oil). 

The Puget Sound Pipeline currently has a capacity of 170,000 barrels per day (bpd), but in the documents filed for its IPO in May 2017, 
Kinder Morgan indicated that they want to significantly increase that amount, according to 
Sven Biggs of Stand. Earth's Bellingham, Washington office.

Westridge Marine Terminal 
 Located within Port Metro Vancouver the marine terminal is capable of accommodating ships up to Aframax-size

The truth is

 The Port of Vancouver can’t even physically fit 

The size of tanker required to economically compete 

With other shippers of oil to Asia.

It cost 4 to 8 times more to ship oil from Vancouver to Asia

Vancouver will never be one of those ports. 

No VLCC or ULCCs will ever arrive to offload foreign oil,
Then upload Alberta bitumen for a backhaul trip to foreign refineries.

So the pending Trans Mountain pipeline plan to triple oil sands exports, 

And increase oil tanker traffic under the
Lions Gate Bridge up to seven-fold,

Is doomed.



 So is the plan to expand oil sands output by 40 per cent. 


No amount of cheerleading, or demonizing, 

Or pixie dust will change the raw laws of
 global oil economics.



BC.Gasoline and Diesel Prices Inquiry said

The Trans Mountain pipeline it never had anything to do with



Asian markets 

Economist Robyn Allan told DeSmog Canada. 


“Virtually no exports go to any markets other than the U.S.,” 



It's Bankruptcy in Canada and Incredibly Profitable in USA
And they will do anything to keep it that way 
If this does not end Canada will be the next Venezuela

With a $260 billion bill to clean up Alberta’s oil patch

Our nation has an employed population of 18.4 million, 

Meaning the average working person would have to pony up $14,000 to pay for
Alberta’s special relationship with the oil industry.


We have to stop the blame game;


How many booms and busts does it take for a

Conservative government, in power for 44 years, 

To acknowledge they have failed to both recognize the need for alternate markets for our oil

Now we are building the Trans Mountain pipeline to the south

Essentially we are giving oil away for free

This is why Canada will be the next Venezuela

It's time to recognize that

Alberta is a oil state, with all its advantages,
entitlements, hubris and decades of quid pro quo
between the oil industry and the people in power


For 44 years

The Conservative government has been
Neglecting Alberta’s long-term well-being

Nor is blaming the federal government
(in power for just over one term) for the lack of pipelines. 

Royalties have declined from roughly 30 per cent in Lougheed’s time

To close to one per cent in the last few years; and yet the

Big Five 

(Suncor, CNRL, Cenovus, Imperial and Husky)
continue to post billions in profits.

Albertans aren’t told that 

More than two-thirds or 71% of the ownership of oil sands production in 

Canada is now owned by foreign entities 

When the Trans Mountain pipeline is finish

Most of the benefits go to Foreign Entities and Big Businesses 

The only benefit Canadians get is a Job to pay for roads, schools and hospitals

Plus

Canada is now Number ONE in the world for Subsidies

Canada subsidized the fossil fuel industry to the tune of almost $60 billion per year— approximately $1,650 per Canadian. 

Canada has one of the World’s lowest oil royalty rate structures .”

It's Jobs over the Environment

Alberta oil Jobs are backsliding

Only 6 percent of the provincial total now.

In 2017, approximately 140,300 people were employed in Alberta’s upstream energy sector. 

Source: Statistics Canada, Survey of Employment, Payrolls and Hours.

Last year, the oil patch shed 14 per cent of its workforce.

An oil drillers' industry group predicts more than 13,700 job losses between 2018 and 2020.



For Canadians this was a Climate Crisis Election,

Alberta’s total emissions, 

And by that measure the province is doing terribly.

Its oil sands alone did more damage to the climate last year than the entire economy of B.C., 

And Alberta’s per capita carbon emissions of 62.4 tonnes dwarf those of

 The U.S. (15.53 tonnes) or even Saudi Arabia (16.85 tonnes). 

This is why 

Canada was just ranked 51st out of 60 countries in the

 2018 Climate Change Performance Index

Election Shows Canadians Aren't Joking About 

Wanting Real Action On Climate Change


More than 63% of voters supported parties with substantial climate change platforms.

“Canada is truly divided now,”

For  Alberta, Saskatchewan, it was 100%  Pipeline 


The election divided Alberta and Saskatchewan into Conservative majorities


Conservative's economic plan based on 


Oil and the Tar Sands


The Conservative caucus grew from 95 to 121 thanks mainly to gains in B.C.,
 Alberta, Saskatchewan, and New Brunswick. 

But Andrew Scheer and his party lost support in the riding-rich Greater Toronto Area, and more widely across Ontario and Quebec.


Andrew Scheer: Big Oil's secret weapon

Asked about concerns over Trans Mountain pipeline's future due to minority govt, 

Alberta Premier Jason Kenney says if the prime minister means what he said on election night about listening to the people of Alberta & Sask., 

The clearest way is to commit to pipeline's completion

Canadian producers want pipelines simply so they can capture the discount they currently lose on Canadian oil because their access is right now limited to only one export customer, the U.S.

The truth is 


The Trans Mountain pipeline will only make Canadian producers problem worst 

When the Trans Mountain pipeline is finish 

It would follow the existing secondary route from Sumas, B.C. into Washington state,

Taking Alberta oil to the three existing refineries in Cherry Point and Anacortes, Wash.

Canadian oil would still be held ransom to a single, monopsony buyer in the U.S. at a discounted price; 

It will cost Canadians $10 to $15 billion to get the
Oil to the
Three U.S. refineries with no value added in Canada.


The campaign against Alberta oil is more about


American economic interests than protecting the environment.



“About $90 million over the last 10 years has gone towards various efforts to restrict oil and gas development and export



In an effort to land-lock Alberta oil so it cannot reach overseas markets, where it would attain a higher price per barrel.


Yet, it has also struck many of us as an odd thing that,
for the most part, those who are most vocally against one ship a day serving

 Canadian interests happen to be the branch-plant operations of powerful 

American environmental organizations.

Those groups, and the various billionaire foundations, seem to believe they know better than Canadians do about what Canada's economic future should look like.

The truth is 

The Kenney war room it is partially funded by foreign oil companies. 

BC.Gasoline and Diesel Prices Inquiry said

The Trans Mountain pipeline it had nothing to do with



It has everything to do with enriching

U.S-.based refineries with no value added in Canada.

That is exactly what they are doing 

It's Bankruptcy in Canada and Incredibly Profitable in USA


“The Big Five” 

Were performing relatively well 

"incredibly profitable corporations," 

Banking and paying out to shareholders
 $13.5 billion last year.

Alberta’s oil and gas companies have figured out how to pull off 



Prime Minister Justin Trudeau 

Said the pipeline will be expanded 

However, the Liberals still need to find $10 to $15 billion to build the pipeline.

It will create 2,500 temporary construction jobs over two years with 90 permanent jobs.

 But instead of ending at the Vancouver terminus,

It would follow the existing secondary route from Sumas, B.C. into Washington state,

Taking Alberta oil to the aforementioned three existing refineries in
 Cherry Point and Anacortes, Wash.

This will cost Canadians Billions

Why

For marine safety reasons, 

Oil Tankers In Canadian Waters

The B.C. government proposed limiting any increase in shipments 

Of diluted bitumen amid concerns about spills.'

The maximum oil tanker cargo allowed through B.C.’s
Burrard Inlet is an Aframax class ship at 80 per cent capacity

Carrying 550,000 barrels, 

Only about one-quarter the load of a VLCC.

They can carry two million barrels at a time

Plus ULCCs are the largest tankers in the world and 

They carry up to 4 million barrels of oil.

It cost 4 to 8 times more to ship oil from Vancouver to Asia

Refiner in Asia would have to book and pay for four to eight tankers

Where would that leave Canadian interests? 

Whatever risk there is to the Pacific Coast would simply be moved 60 miles south and put under American control; 

Whatever economic and environmental benefits

Canadians might have enjoyed would be lost

Every planned drop of oil will still be produced;

Canadian oil would still be held ransom to a single, 
Monopsony buyer in the U.S. at a discounted price;

Those refineries are currently supplied by oil shipped down from the Alaska North Slope fields by boats that regularly transit B.C. waters. 

Production from that field is expected to decline by more than 150,000 barrels per day between now and 2026.

Oil tankers have been departing the Westridge marine terminal in Vancouver weekly since 1956. 

Additionally, bulk tankers come from Alaska, down the west coast of Vancouver Island, through the Juan de Fuca strait, past Victoria and into oil refineries in 
Cherry Point and Anacortes in Washington state


D2Ybx5iUcAAfTVd.jpg
Set aside the political argument for buying the 

Kinder Morgan pipeline and you’re left with a deal that makes no business sense.

(The pipeline is 67 years old.) 

Without so much as a basic cost-benefit analysis,

Prime Minister Justin Trudeau
 Spend C$4.5bn (US$3.45bn) Plus
To purchase
Kinder Morgan’s Trans Mountain Pipeline
The existing 300,000 barrel per day pipeline

 Export Development Canada’s administration of a nearly
 $5 billion loan to support the government’s controversial purchase and operation of the 

Trans Mountain pipeline a 67-year-old infrastructure

Kinder Morgan estimates the useful life of its pipelines at
30 to 64 years

According to Kinder Morgan’s financial statements.

Kinder Morgan pipeline is not worth much more than
$1 billion,

 It's all because Obama administration halted construction on 

The remainder of the Keystone XL pipeline

A 800,000 barrels a day pipeline of crude to

 Terminals on the Gulf Coast.

Arguing approval would compromise America’s effort to reduce its greenhouse gas emissions.

Prime Minister Justin Trudeau’s repeated claims
that the pipeline was essential for Canada’s future.


The Pipeline has everything to do with enriching

U.S-.based refineries with no value added in Canada.


“Virtually no exports go to any markets other than the U.S.,”






This Pipeline will only make Canada's problem worst 

Oil will only go South to

U.S. refineries with no value added in Canada.

This is why

Alberta

The Five Big Canadian Companies


 Together they now control almost 

80 per cent of bitumen production

British Columbia


 Control approximately 90 per cent of the 

Market in Southern B.C. 

Therefore, the wholesale gasoline and diesel market is an oligopoly.”

These companies control all 15 primary storage terminals in the province “and, along with 

Federated Co-op Limited, control all the Bulk Terminals.

 (Bulk terminals handle smaller volumes of fuel supplied by truck.)


The companies’ dominance makes it effectively impossible for competitors to enter the market, the report found.

 “This oligopolistic wholesale market has the characteristics of a natural monopoly,” 

We had 100 years of Alberta oil

Canada should be one of the Richest Nations in the World 

In addition to oil.

Canada has many other valuable natural resources 

Here are the world rankings of Canada's natural resources:

Potash, #1

Uranium, #2

Oil, deposit #3 (production #6)

Nickel, #4

Diamond, #5

Salt, #5

Zinc, #6

Gold, #9

Copper, #9

The Canadian budget makes it abundantly clear where its revenues come from

It's not from Canada's natural resources 


It comes from you



Today Canada is just teetering on the boundary



Today our Current Outstanding Public Debt of Canada is approximate: 

697,735,366,381.26 CDN.



Believe it or not

Alberta


That the province tied royalty rates to the volatile price of oil.

  Today Alberta  

Will be $67 billion of debt by the time the 


Alberta is on pace to be $96 billion in debt by 2024


This is a dramatics change in fortunes for a province  

That celebrated being debt free 20 years earlier


PLUS


Canada Buys back the oil at Full Market Price 





The Alberta government collected more



That it did in royalties from oil companies 


Canada is now Number ONE in the world for Subsidies




In 2015, Barry Rogers of Edmonton-based Rogers Oil and Gas Consulting 

Warned the government that low royalties for bitumen simply encouraged 

The industry to export the heavy oil to
U.S. refineries with no value added in Canada.

That is exactly what they are doing 

It's Bankruptcy in Canada and Incredibly Profitable in USA

The growing discount has cost Alberta’s provincial treasury dearly 


Canada’s non-renewable energy resources 


Calgary Oil and Gas Execs want to keep it that way this is

Why



Canada oligopolistic wholesale market has the characteristics of a natural monopoly

It's the lack of Competition and Gouging to

 Because of "Air Barrels" 

Alberta is losing billions every year 

To Fight “Air Barrels”  


The government estimates Alberta is losing

$80 million a day due to this discount,


Alberta will never be able to stop “Air Barrels”

Instead of fixing the problems


Plus


“The Big Five” 

Were performing relatively well 

"incredibly profitable corporations," 

Banking and paying out to shareholders
 $13.5 billion last year.


 It's Jobs over the Environment

Alberta oil Jobs are backsliding

Only 6 percent of the provincial total now.



For decades, the oil industry denied climate science or that global warming was caused by burning fossil fuels. 

Today, they acknowledge climate change is happening,
 but are doing everything possible behind the scenes to ensure no action is taken, according to InfluenceMap. and everyone in Canada 

This “soft” climate denialism appears to have been embraced by Scheer and the Tories.

Anyone close to industry knows the
Western Sedimentary Basin is virtually empty and conventional companies have been losing money since 2009,

 Transferring low-producing wells to junior companies,
With growing numbers taking what they can and walking away
from clean-up obligations;

Again, our governments continue to turn a blind eye to the contractual clean-up obligations of the oil industry.

 Government and its so-called “arms-length” regulators
(specifically the Alberta Energy Regulator)
have been captured by the industry and the
Orphan Well Association (OWA), largely controlled by the industry,
is now lost in a sea of insolvencies, begging for public money.

Ironically, this lack of foresight, integrity and political will have contributed to distrust and loss of confidence from investors.

Every Man,Woman and Child will be Stuck

 With a $260 billion bill to clean up Alberta’s oil patch


The Alberta Tar Sands have been dubbed the largest 


Industrial project in human history




The Cleanup bill is greater than the value 


‘Hidden danger’:
582px version of InactiveWellsGraph.jpgThe Supreme Court of Canada said

Owners must deal with old oil wells so

The governing Alberta NDP and the official Opposition

Told the provincial legislature Tuesday

Alberta’s oil patch isn’t an emergency now,

Because they now over 70 years to 

Figure out how to clean up their tailings and reclaim the land.

The NDP and the United Conservative Party

Made the statements as they teamed up 

To shut down emergency debate on the issue,

Proposed by Liberal MLA David Swann. 

While Suncor’s mine will close down in 2033,

They have been granted until after 2100 to 

Figure out how to clean up their tailings and reclaim the land.

The NDP. Government of Alberta

Approved a tailings management plan for
Suncor Energy Incorporated, 

The oldest mining company in the Canadian tar sands. 

By approving this plan, 

Suncor will get an additional 70 years after their operations

Shut down to clean up the 

Environmental mess that they have created over
60 years of oil extraction. 

Canada's most shameful environmental secret 

They have been granted until after 2100 to
Figure out how to clean up their tailings and reclaim the land.

 It could take nearly 300 years for the industry to abandon 

All of its wells, let alone clean them up, 


Oil and gas companies can receive certificates for site clean up  


With the click of a button, 



Canada will not be able to live up to its

Canada was just ranked 51st out of 60 countries in the


Weighed down in large part by a certain oily elephant north of Edmonton. 





“That’s catastrophic levels of change in a short period of time.”

This is making Canada the laughing stock of the world

This is not normal':






Canada subsidized the fossil fuel industry to the tune of almost $60 billion — approximately $1,650 per Canadian.

Today it will cost you to clean up

Alberta's oil patch? $260 billion
$200 billion more than has been publicly reported.

In 100 years only $1.2 billion has been invested in Clean up

The Cleanup bill is greater than the
Value of the entire oil and gas industry

“Canada wants to be a climate champion and"

Canada does not have the money to clean up the oil fields so

Canada is sweeping the problem under Water

Because there is shockingly poor regulatory oversight and lack of ambition on 

Tailings management progress in Alberta,

 Tailings Ponds are Worse Than Ever

National Geographic said
This is the world's most destructive oil operation


This is due to an
Alberta policy unique in North America. 

Companies have no deadlines to clean up abandoned wells.

Oil sands waste is collected in sprawling toxic ponds.

To clean them up, oil companies plan to pour water on them


David Schindler, a former University of Alberta professor
 and renowned freshwater scientist and officer of the
 Order of Canada. 


Two Alberta courts previously ruled that private creditors of bankrupt 

Redwater Energy Corp. 

Were first in line for liquidated assets, 

Ahead of its obligation to pay for environmental cleanup.
This is the problem of taxpayers and Landowners.

The oil and gas companies aren’t setting aside the money to clean up 

Their own Mess

Guess who is going to pay for it?  

You guessed it: The rest of us so


In 1974 the Basel Committee was established by the central-bank

 Governors of the Group of Ten countries of the member central banks of the

 Bank for International Settlements (BIS), which included Canada. 

A key objective of the Committee was and is to maintain
“monetary and financial stability.” 

To achieve that goal,

 The Committee discouraged borrowing from
A nation’s own central bank interest-free


 All in the name of “maintaining the stability of the currency.”

Our Current Outstanding Public Debt of Canada is approximate:

$629,572,079,450.28 CDN.

Rather than creating money through the Bank of Canada interest-free.

Canadian taxpayers have paid one trillion, 

($1,100,000,000,000) in interest on the federal debt to private lenders.

 This accumulated debt was monies borrowed to service the debt,

Essentially a payment of interest on interest 

To understand how ridiculous the present situation is,

Consider the 1993 Auditor General of Canada report 


This “subsidy” to the private lenders must end.

The solution to this problem is simply for the government to stop borrowing
money from private lenders at interest and borrow from the
Bank of Canada at no interest. 

The private banks should also be prevented from creating money. 

That right should be returned to the People of Canada 

Through the Bank of Canada.



This is one reason why Canada is the next Argentina

The Government and the Oil industry has good reason to be alarmed. 

Young People Will Vote

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