The People of America's Oil and Natural Gas Indusry

Executive Order Permits New Pipeline

Jane Van Ryan

Jane Van Ryan
Posted August 20, 2009

In a move to improve U.S. energy security, the U.S. State Department today issued a Presidential Permit to Enbridge Energy, Limited Partnership allowing the construction of the Alberta Clipper pipeline. This pipeline--which will be built on an existing Enbridge right-of-way--will bring a steady supply of Canadian crude oil to refineries in the United States.

As the State Department's announcement explained, the Alberta Clipper pipeline will help the United States by "shortening the transportation pathway for crude oil supplies and increasing crude oil supplies from a major non-Organization of Petroleum Exporting Countries producer. Canada is a stable and reliable ally and trading partner of the United States, with which we have free trade agreements which augment the security of this energy supply."

The approval of this project is a win-win for America. Not only will it improve U.S. energy security, but also the construction of this shovel-ready pipeline will create thousands of jobs. More information about the government's decision can be found here.

On a daily basis, the United States imports more than 2 million barrels of crude oil a day from Canada, and about one-half of the oil is derived from Alberta's oil sands. It's estimated that the size of Canada's oil reserves is second only to Saudi Arabia's. To learn more about Canada's oil sands, check out our posts from the recent tour of Alberta's oil sands region.