Canada Pledges to Sell Oil to Asia After Obama Rejects Keystone Pipeline

Laborers’ International Union of North America hold up signs in support of the Keystone XL pipeline during a rally in Washington, D.C. Photographer: Andrew Harrer/Bloomberg

As I reported yesterday on this site, Canada has decided the Obama administration is too unstable to work with on matters of economy, energy and job creation.

Canada has turned to China as a partner to help supply the world’s energy needs.

As I was working on yesterday’s post on this subject Obama was in Orlando delivering his speech about curing the unemployment problem in this country by making it easier for Chinese tourists to visit Disney World.

How does trying to entice more visitors to an already full to capacity theme park create more jobs?

When Obama promised thousands of “shovel ready jobs” he obviously didn’t mean 20,000 high paying construction jobs that build infrastructure, reduce our dependance on mid-eastern oil, create permanent employment for people from Canada to Texas constructing and maintaining the pipeline and and all of it’s off shoot support jobs. He meant minimum paying parking lot attendant and grounds keeping jobs at Disney World.

I have nothing against Disney World. It is a wonderful theme park, but that’s what it is. It is not the backbone of American industry.

It’s the place where we go to take a week off and relax.

Canadian Prime Minister Stephen Harper expressed disappointment with President Barack Obama’s decision to reject a permit for TransCanada’s Keystone XL pipeline. Photo: Pete Marovich/Getty Images
President Barack Obama’s decision yesterday to reject a permit for TransCanada Corp.’s Keystone XL oil pipeline may prompt Canada to turn to China for oil exports.

Prime Minister Stephen Harper, in a telephone call yesterday, told Obama “Canada will continue to work to diversify its energy exports,” according to details provided by Harper’s office. Canadian Natural Resource Minister Joe Oliver said relying less on the U.S. would help strengthen the country’s “financial security.”

The “decision by the Obama administration underlines the importance of diversifying and expanding our markets, including the growing Asian market,” Oliver told reporters in Ottawa.
Currently, 99 percent of Canada’s crude exports go to the U.S., a figure that Harper wants to reduce in his bid to make Canada a “superpower” in global energy markets.
Canada accounts for more than 90 percent of all proven reserves outside the Organization of Petroleum Exporting Countries, according to data compiled in the BP Statistical Review of World Energy. Most of Canada’s crude is produced from oil-sands deposits in the landlocked province of Alberta, where output is expected to double over the next eight years, according to the Canadian Association of Petroleum Producers.

“I am sure that if the oil sands production is not used in the United States, they will be used in other countries,” Fatih Birol, chief economist at the International Energy Agency, said in an interview before a speech at Imperial College in London today.

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