Newspaper Owner Has Plan To Build Oil Refinery In Kitimat
By 250 News
The new refinery would produce 550,000 barrels a day making it one of the top ten refineries in the world.By comparison the Husky refinery in Prince George produces 12,000 barrels a day, while the Chevron, Burnaby facility produces 55,000 barrels.
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Enbridge’s pipe line is proposed to be finished construction by 2017.
Quite an assumption, I did not know that the pipeline was a go.
I'm sorry, but the refined oil will still be shipped in supertankers. It's just a different product that will end up in the ocean.
I smell a rat, perhaps several of them. This warrants an in depth investigation, and I'm going to do it.
If we are going to move that stuff, a Canadian refinery makes sense for a better bottom line and a greater variety of potential customers.
1. The alberta bitumen will still be transported by the Enbridge Pipeline across BC, with all the attendant risks of a spill from a ruptured pipe, so that part of it is completely unchanged.
2. Diesel, gasoline and kerosine will be shipped by tanker. To understand the consequences of a tanker spill like the Exxon Valdez, check out the consequences of diesel spills in BC. Wasn't there one in the Malahat not too long ago when a tanker truck overturned and spilled its load into a river? How long until that was cleaned up? How much did it cost a) the company, b) the taxpayer? How did it effect peoples' lives in BC?
Not to mention that the Enbridge Northern Gateway Pipeline;if approved, will have been in operation 3 yrs prior to the refinery opening its doors.
I'm with Sine Nomine on this one....This has the stink of spin to it.
The only way this proposal passes the smell test to me is if the product is actually destined for the Canadian market but even then it makes no sense because the demand is in Eastern Canada so it would be pure idiocy to build the refinery near Kitimat.
A newspaper baron building a refinery? Why wouldn't big oil do it if there was such demand?
This sounds like another big horse s..t story to me. Much like the Railway to Alaska, the Rocky Mountain Trench project, and of course the huge meat packing plant for pigs, and beef in the Vanderhoof area, and dont forget the Pulp Mill that was going to be built in Vanderhoof when Alcan was pushing for Kemano Two.
This man deserves serious credit for putting forth proposals as a private business entity. Instead of whining with no solutions, he is willing to put billions on the line for job creation that will process a canadian resource into much needed products. The orient isnt canada's only customer in this situation, the U.S.'s oil reserves are depleted badly and they have massive hydrocarbon loading/offloading facilities up the pacifac coast. This project would eliminate the need for the KeytoneXL pipeline and provide the US the option of buying refined fuels. Our resource=our jobs.
Before we rip Mr Black a new one, give him some credit for a compromise solution between the ones that want no pipeline, no jobs and living on solar power and those who want to " log it, burn it, pave it" and F*&^ the environment.
And it sure as heck creates more jobs than the 100 Enbridge promises, 3 000 jobs in the Northwest would kill their unemployment problems and if they bring the First Nations into it, reduce the cycle of dependence that so many people on this board complain about
These are some excerpts from it -
“The refinery will have the capacity to process all of the output of the planned Enbridge Northern Gateway pipeline.”
“The refined fuels will be piped forty kilometers south of the Dubose property to a marine terminal site on the Douglas Channel. Enbridge currently plans to use this site as its proposed crude oil shipping terminal.”
“First, the refinery removes the threat of offshore pollution from a heavy crude oil spill. Transportation of refined fuels is much safer. Gasoline, kerosene and diesel all evaporate. No extensive remediation would be required if there ever were an accident.”
For the rest check the link. Again this is not for Canadian markets.
And we still have a pipeline to leak and destroy our environment. No thank you.
Another excerpt -
"Building an oil refinery requires a massive amount of labour. Canada’s labour rates normally rule out the construction of a refinery here. The capital costs become so high that the refinery is uncompetitive with others around the world. But if the refinery location is on tide water much of it can be built offshore in large modules using many different suppliers in lower cost areas of the world, thereby speeding up the construction period a great deal and reducing capital costs hugely. Kitimat has that advantage. Even so the capital cost is estimated at $13 billion. While that will still be higher than in a country like China, the capital cost per barrel will be competitive because the Kitimat refinery will be so large. It will be among the top ten in the world."
He plans to buy the refinery Lego style off shore and assemble it on site. So much for Canadian construction jobs.
Truer words have never been spoken but they are only words. However this guy sounds like an Enbridge puppet.
The Countries with the lowest costs, and the smartest managers will get these refineries. I think this leaves us out of the picture.
1. We can reap the benefit of a value added resource.
2. It lessens the damage of a tanker spill off the BC coast, as the refined product will be lighter and will float aiding in cleanup of the inevidable spill.
3. However it still does not fix the problem of a pipeline leak of a heavy oil into any of our lakes and streams across British Columbia.
I think heavy oils should not be transported, perhaps an environmental law reflecting that is required. Enbridges own Kalamazoo spill in Michigan is the evidence of this. Heavy oils should be refined at or near source for safer transport.
Shipping refined product from inland refineries will involve more than two pipelines. For all you folks that don't like pipelines that does not make much sense.
Tankers have sailed the BC coast for decades.
I am not a miner nor am I in the oil industry but, I am a logger that is against raw log export even tho as a logger I see little value personaly after the logs are removed from the truck. However, as a Canadian tax payer I very much feel the lack of value we Canadians gain by exporting anything in its rawest form. If Canada made a commtment to Canadians that value had to be added in order for export, for sure some of our exporting would slow down but, much would not and the increased monetary gain would more than offset. With all our resourses leaving the country in their rawest form Canada is sending a strong message to the rest of the world to come and get it cheap, I think they can come and get it, but for a price.
That's what Canadian business and Canadian govt is all about.....themselves!
But all we can come up with to build a better fuel system is a couple hundred million every 5 years or so.
I'm far from being a enviromentalist (I own a Jeep Cherokee) but come on,really.
“Black, who owns more than 150 newspapers in Western Canada and the U.S., made it clear he would not be investing in the refinery himself, noting even a one-per-cent stake would cost $130 million.”
He also states –
“I’m hoping this will jump-start a change in the debate,” he told reporters at a press conference in downtown Vancouver.“
He also admits he doesn’t have support from oil producers, financial backers, he has no partners and has not discussed the idea with potential Asian customers. He has had only brief discussions with a pair of first nations in the Kitimat area.
The CBC interviewer asks him why he is interested in building a refinery. His answer is “I don’t”, he wants to encourage the industry to do so.
Read the article, listen to the interview it sure sounds like a bunch of daydreaming and smoke blowing.
Perhaps he is trying to get people to think out of the box but this idea won't fly. Build the refinery in Alberta if they want to so we do't have to take the risk of that pipeline here. A multipurpose pipeline containing several smaller pipelines all bundled together might be a safer way to go. The outer pipe could contain any leaks.