In 2020, the Keystone XL Pipeline project was extended by the Calgary-based TC Energy Corporation, thanks to much-needed financial support from the Alberta government. The project would provide an environmentally safe, efficient, and reliable way to deliver local crude oil to the U.S Gulf Coast refineries. It was also a sure way of creating local jobs and boosting the local oil field clothing industry.
However, after the new U.S government’s arrival, on January 20, 2021, the U.S administration revoked the presidential permit for the Keystone XL border crossing. Despite this decision, the Alberta Government intends to advance this project and encourage the Canadian government to continue with the initial plan.
As a leading supplier of safety clothing and workwear for the oil and gas industry across Alberta, SFM Workwear expresses its strong support for continuing the KXL project. Now, we will discuss some of the Keystone XL Pipeline project’s key benefits and see how it can revolutionize Albertan lives.
Benefits Of The KXL Pipeline Project
The construction of the pipeline alone created approximately 2500 jobs for construction workers in Alberta and the U.S. Apart from that, the project also promised enhanced economic activity and the creation of thousands of jobs in other industries as well. Some of the markets destined to benefit from this project include construction-related trades, hospitality, and services, to name a few.
Upon successful completion, the KXL Pipeline project would contribute around $2.4 billion to the Canadian economy and lead to the collection of property taxes over $7.0 million during its first year in service. According to another estimation, the pipeline would generate $30 billion in taxes and royalty revenues for Alberta’s current and future generations.
The KXL project guarantees to offer North America a safe and stable crude oil supply. This would lessen the increased reliance on OPEC (The Organization of Petroleum Exporting Countries) for supplying oil to North America. It would have the capacity to deliver 830,000 barrels of crude oil daily from Western Canadian oil fields to U.S refineries present in the Gulf Coast.
This extensive crude oil supply would then help meet various markets’ needs for producing essential products, including pipeline sweaters, medicine, appliances, smartphones, different household items, and more.
In addition to other projects, like Enbridge’s Line 3 and the Trans Mountain Expansion Project, the KXL Pipeline plan would also prove to be a major step in the right direction, enhancing Alberta’s oil supplying capacity and access to international markets. This would not only result in attracting new investment but also help protect the value of Alberta’s energy resources.
The Impact Of Revocation On The Keystone XL Presidential Permit
The executive decision taken by the U.S administration to revoke the Keystone XL Presidential permit will undoubtedly have wide-ranging effects on lives on both sides. Besides missing out on an opportunity to enhance North American energy security, the project's suspension would result in the loss of thousands of jobs on both Canadian and U.S sides.
Renowned energy research firms already have projected that oil demands will skyrocket in the next 20 years or so, which calls for making fresh investments, similar to the KXL Pipeline, to prevent future oil supply shortages. We, at SFM Workwear, love Canadian oil and ask governments on both sides to continue with the KXL project for enhanced economic growth in the region.
About SFM Workwear
SFM Workwear is proud to provide the entire Alberta oil and gas community with premium oil field clothing and accessories. Visit our website to learn more about our high-quality products or contact us for personalized service.