Keystone XL Is A Big Oil Tax Free Rip-Off Scam

One of the most important facts that never seems to get mentioned when I read stories about the Keystone XL pipeline is that a key purpose of TransCanada is to allow tar sands producers to send Canadian crude to Gulf Coast refineries located in “tax-free Foreign Trade Zones.”  From those refineries, oil would then be sold to international buyers without paying taxes. And that is exactly what Valero, one of the largest potential buyers of Keystone XL's oil, has told its investors it will do.

Keystone XL is a pipeline to export oil out of the USA without paying taxes

The idea that Keystone XL will improve U.S. oil supply is a giant scam being played on the American people by Big Oil and its Republican friends in Washington DC. On Tuesday, the US Senate defeated a motion to pass the Keystone Pipeline bill and send it to President Obama for approval. GOP Senator Mitch McConnell has vowed to bring the bill back for a vote as soon as possible in January, 2015. It seems very likely that it won’t matter as President Obama is almost certain to veto it.

TransCanada needs ports to export oil to worldwide markets

Ever wonder why diesel prices remain high while gas is dropping fast?  I do every time I fill up our Silverado.  Well, here’s one reason: Valero has been exporting over 200,000 barrels a day sending diesel fuel to Europe. During the other season, they send diesel fuel to South America. Tar sands oil is particularly suited for diesel so guess where most of that refined diesel will be going tax free and guess whose going to be paying for it? You are if the Keystone XL pipeline ever gets approved.

Keystone XL is a tar sands export pipeline through the United States, not to it.

To help disguise this blatant sellout to Big Oil, Republicans claim the pipeline will create thousands of jobs.  It won’t.  TransCanada, the company that would build the pipeline has already told the U.S. State Department the pipeline would create 35 to 50 permanent jobs. That’s about the same as it takes to run a McDonalds! There would be about 1,950 temporary jobs for construction workers for the two years it takes to build the pipeline and then they’ll be gone.

TransCanada’s new proposed Energy East Pipeline if Keystone XL fails to go

There are 175 billion barrels of proven oil reserves in Alberta’s Athabasca Tar Sands. That's second only to Saudi Arabia's 260 billion. But, geologists estimate there could be as much as 2 trillion barrels of oil trapped there. That’s why TransCanada is so desperate to find countries other than the USA to export oil to. And, naturally, Big Oil and elected Republicans are only to willing to help but this is a profit scheme that needs to be rejected. It may well come down to President Obama’s veto.

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