North American Oil & Gas Pipelines

FEB 2017

North American Oil & Gas Pipelines covers the news shaping the business of oil and gas pipeline construction and maintenance in North America, including pipeline installation methods, integrity management innovations and managerial strategies.

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6 North American Oil & Gas Pipelines | FEBRUARY 2017 PUBLISHER Bernard P. Krzys EDITORIAL Editor: James W. Rush Managing Editor: Brad Kramer Contributing Staff Editors: Sharon Bueno • Chris Crowell • Andrew Farr Keith Gribbins • Mike Kezdi • Pam Kleineke SALES+MARKETING Marketing Director: Kelly Dadich Advertising Sales Manager: Ryan Sneltzer Advertising Account Manager/Brand Ambassador Trenchless Technology: Dan Sisko Events Sales Manager: Brittany Cline PRODUCTION+FULFILLMENT Production Manager: Chris Slogar Graphic Artists: Sarah Haughawout • Deb McManus Joan Satow • Elizabeth Stull Web/Interactive Manager: Mark Gorman Circulation & Fulfillment Specialist: Lillian Lopeman REPRINTS Wright's Media Ph: (877) 652-5295 • Fax: (281) 419-5712 EDITORIAL ADVISORY BOARD Todd Porter President, Geospatial Energy Services LLC Eric Skonberg Principal Engineer, Trenchless Engineering Corp. Don W. Thorn Principal Partner, DJT Consulting LLC Kevin Waschuk Vice President, Waschuk Pipe Line Construction Ltd. Bob Westphal Senior Strategic Advisor, Michels Corp. Chief Executive Officer: Bernard P. Krzys President: Robert Krzys Controller: Marianne Saykes 10050 Brecksville Rd. Brecksville, OH 44141 USA (330) 467-7588 • Fax: (330) 468-2289 I don't want to toot my own horn, but I total- ly predicted this would happen in last month's editor's message. A few years ago, it seemed like all I ever wrote about was Trans- Canada's Keystone XL pipeline. The massive project was going to bring crude oil from the Canadian oil sands, as well as provide an outlet for the landlocked Bakken crude. After more than seven years of ex- tensive review and assurances that the pipeline would be among the safest ever constructed, the bottom fell out. Former President Barack Obama denied the project a crucial permit for pipelines that cross the U.S.-Ca- nadian border. TransCanada sued. The project was relegated to the backburner. But with one swipe of his pen, newly elected President Donald Trump turned the heat back up on the burner for the long-simmering project. On Jan. 24, the president signed an executive order that in- vited TransCanada to once again apply for a Presidential Permit and mandated the project receive ex- pedited treatment. Two days later, TransCanada accepted that invite and reapplied for the permit to ap- prove the Keystone XL pipeline. I know it's been a long time, so in case you've forgotten, here's a quick recap of the controversial pipeline. The proposed project involves the construction of a 1,179-mile, 36-in. diameter crude oil pipeline from Hardisty, Alberta, to Steele City, Ne- braska. At an estimated cost of $5.3 billion (USD), the pipeline will transport crude oil from Canada, as well as the Bak- ken shale region of Montana and North Da- kota. The pipeline will have the capacity to transport 830,000 barrels per day (bpd) to Gulf Coast and Midwest refineries. According to Trump's executive order, the U.S. State Department has 60 days from Jan. 26 — the date TransCanada submitted its new application — to review the project and render a deci- sion on the Presidential Permit. On the same day, Trump also signed an executive order to revisit Energy Transfer Partners' Dakota Access Pipeline. The proposed 30- in. pipeline runs 1,172 miles from the Bakken/Three Forks production area in North Dakota to refining fa- cilities in Patoka, Illinois. The proj- ect is largely built except of a short portion that was to be installed at a minimum of 95 ft below Lake Oahe. The project has already cost more than $3.5 billion to construct. With two major pipeline projects receiving a second look in the ear- ly going of 2017, not to mention a number of smaller projects on deck for the year, the pipeline industry appears poised to get back on the upswing after more than two years of downturn. By the end of March, we will have clarity about the future of the Keystone XL project. That sets up nicely for the summer construc- tion season. Let's embrace the good in 2017 and continue to improve North America's oil and gas trans- mission infrastructure. Brad Kramer Managing Editor Twitter: @NAOGP1 Second Chance Brings Back the Keystone Editor's Message 1 9 9 2 - 2 0 1 7 th 2

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