TransCanada Seeks Pipeline Permit

The U.S. State Department is considering issuing a presidential permit for a pipeline to move oilfrom Alberta to refineries in Texas, creating thousands of new jobs in the Ports-to-Plains region,but they need to hear from you.TransCanada Company is currently seeking the presidential permit to begin construction on theKeystone XL Pipeline. It would be very beneficial for the state department to hear from Ports-to-Plains residents voicing their support for this project.

Keystone XL will create more than 13,000 high-wage construction and manufacturing jobs duringthe project’s 2011-2012 construction schedule. Many of those jobs will be created in Ports-to-Plains states and rural areas where too many residents continue to find it difficult to find goodjobs. With Keystone XL, they will have an opportunity to rebuild their lives by working on theproject or for businesses that provide supplies, goods and services for its construction andoperation.

In addition to the jobs Keystone XL will create, the project will generate substantial economicbenefits for the United States and in states and communities along the proposed route. In manycases these are areas where economic performance has stagnated or is shrinking. It is ourunderstanding that TransCanada commissioned a study to measure the project’s economicstimulus to the U.S. and the states along the route. The study found that in the U.S., Keystone XLwould generate $20.9 billion in total expenditures, $9.6 billion in output (gross product), personalincome of $6.5 billion and 118,935 person years of employment (jobs). In addition, the reportconcluded that during construction, Keystone XL would generate $486.36 million in tax revenuefor state governments along the route and $99.1 million for local taxing entities where the pipelineis located.

In Texas, the study found Keystone XL expenditures during construction would total $5.4 billionand generate an economic gross product of nearly $2.86 billion. Keystone XL construction alsowould generate more than $64.5 million in tax revenue for local government and $152 million forstate government.Furthermore, the delivery of secure and affordable supplies of Canadian energy to Americanconsumers would have minimal impacts on the environment. This is a vital project that willstrengthen U.S. energy security and reduce our dependence on unstable foreign sources of oil. Canada is already the largest supplier of energy to the United States, meeting 12 percent ofcurrent U.S. petroleum-consumption needs and representing 18 percent of U.S. petroleumimports. Canadian oil sands production is a growing source of reliable crude oil supply for theUnited States. Canada’s 175 billion barrels of oil reserves is second only to Saudi Arabia. Oilsands account for more than 97 percent of that vast reserve: 170 billion barrels of oil with thepotential for more than 100 years of production.

Canada has more than 50 percent of the non-state controlled reserves in the world. Long-termsupply is critical in a world where supply risks are growing, whether due to declining productionfrom a once-reliable source, an unstable geo-political climate, or uncertainties in key oil producingregions. Construction of additional pipeline facilities such as the Keystone XL Project, to transport oilsands production to the vitally important Gulf Coast area is critical. These refineries also haveexcess capacity as a result of reduced production from Mexico, where heavy oil production is insteep decline, and Venezuela, which is moving to other markets. Turning to Canada for a secureoil supply is a logical step.

We enthusiastically support the Keystone XL Pipeline Project and encourage the Department ofState to confirm the findings of the Draft Environmental Impact Statement, which found that theproposed Keystone XL Pipeline would have “limited adverse environmental impact duringconstruction and operation.”We look forward to the issuance of a Final Environmental Impact Statement followed by aPresidential Permit that allows the construction of Keystone XL and enables our counties, theState of Texas, and the United States to collect the substantial economic benefits Keystone XLwould create.

If you would like to send a letter supporting the Keystone XL project, please address them to:

Elizabeth Orlando

Keystone XL Project Manager

U.S. Department of State

OES/ENV Room 2657

Washington, DC 20520