Workers survey the damage of a pipeline leak in a field near Edinburg, N.D. (TC Energy Corp. via the Canadian Press)

Western oil prices slip as Keystone pipeline leak cleanup continues in North Dakota

TC Energy says about 4,300 barrels recovered from the 9,120 barrels estimated to have leaked

Prices for Western Canadian Select oil continued to soften on Monday as TC Energy Corp. reported recovering about half the crude that leaked from its Keystone pipeline in North Dakota last week.

Spokesman Terry Cuhna says about 4,300 barrels of oil have been recovered from the 9,120 barrels initially estimated to have leaked from the pipeline into a field near Edinburg, N.D., but there’s still no firm estimate of when it will be restored to service.

About 200 personnel are on site working on cleanup and remediation. TC Energy says the company expects to expose and extract the damaged section of pipe by the end of the week and send it to a government-approved laboratory for inspection.

Meanwhile, the loss of 590,000 barrels per day of pipeline capacity is being linked to deeper discounts for WCS, a blend of oilsands bitumen and lighter oil.

Oil brokerage Net Energy Exchange reports the discount to New York-traded West Texas Intermediate widened to US$22.35 per barrel on Monday, its weakest level this year. That’s up from US$22.00 on Friday and more than $5 higher than before the pipeline incident.

READ MORE: Keystone XL opponents point to North Dakota spill

In a note, analyst Michael Tran of RBC Capital Markets says there’s enough unused storage in the western Canadian oil handling system to mitigate impact of the outage for about 20 days but more rail would be needed to relieve pressure if the pipeline remains offline much longer.

The Canadian Press

Just Posted

Wolf Creek Public Schools appoints new facilities manager

Kevin Henderson to take over after Len Landry’s retirement

Ponoka UFA celebrates grand opening

New farm and ranch supply store is larger, has new features

Four Maskwacis residents charged with 38 crimes Nov. 9

Maskwacis RCMP: four arrested following armed robbery, pursuit and home invasion

Ponoka Broncs fall to Wetaskiwin in final home match

Five graduating players honoured, recognized for their contributions

At least 3 hurt in California school shooting, gunman sought

Los Angeles County Sheriff’s Department looking for a male suspect in black clothing was seen at the location

Premier vows to fight for oilpatch as drillers forecast almost no growth in 2020

The CAODC said it expects the Canadian drilling rig fleet to continue to shrink

NDP Leader Jagmeet Singh to meet with Trudeau today to discuss throne speech

Top ask will be for Liberal support for the immediate creation of a national universal pharmacare program

Jagmeet Singh says he’ll vote against throne speech if NDP requests not met

Singh is to meet with Prime Minister Justin Trudeau on Thursday

PHOTOS: Ponoka Legion’s Remembrance Day ceremony

Guest speaker Ron Labrie recounts moving story of fallen Ponoka airman

Small group of Cherry fans protest his firing at Rogers HQ

One sign at the Toronto rally: ‘Rogers cancels Don, we cancel Rogers’

Ideas for Alberta independence would increase costs, Nenshi says

Province has formed panel to examine how to get what a ‘fairer deal’ from Confederation

UPDATED: Alexandra Lewis has been located

UPDATED: Alexandra Lewis has been located, safe and well. ORIGINAL STORY: Ponoka… Continue reading

Most Read