Texas oil producers react to Obama’s rejection of the Keystone XL Pipeline

Oil producers from the Texas are not happy about President Barack Obama’s decision to reject the controversial Keystone XL Pipeline. TransCanada Corp.’s proposed pipeline would have moved crude oil from the “tar sands” region of Central Canada to the Texas Gulf Coast.

During a Friday announcement, President Obama said he informed Canadian Prime Minister Justin Trudeau of his decision to reject the proposed pipeline.

“The pipeline would not make a meaningful, long-term contribution to our economy,” President Obama said. Flanked by Vice President Joe Biden and U.S. Secretary of State John Kerry, President Obama said the pipeline would not increase energy security and would not lower gasoline prices.

• “Today, in 41 states, drivers can find at least one gas station selling gas for less than $2 a gallon,” President Obama said.
• San Antonio-based refining company Valero Energy Corp. publicly supported the controversial pipeline project but company officials did not return calls or e-mails for comment.
• Other groups, however, where more vocal.
• With more than 3,000 members across the United States, the Austin-based Texas Independent Producers & Royalty Owners Association supported the project.
• Known as TIPRO, the group’s president Ed Longanecker decried the decision by stating that the United States already has 2.5 million miles of safe oil and natural gas pipelines.

“The decision by President Obama is purely political and has no basis in science,” Longanecker said. “While some organizations seek an outright ban on the use of hydrocarbons in the United States, and certain politicians incorrectly accept their flawed ideology, our country and world runs on fossil fuels and pipelines are without question the safest and most environmentally sound way of moving oil and natural gas.”