American Elephants


Consequences, Consequences, Consequences. by The Elephant's Child

When President Obama rejected the Keystone XL pipeline, Canadian Prime Minister Stephen Harper said that he would have to look elsewhere for  sales of Canadian oil.  Mr. Harper headed to Beijing earlier this week for a four-day trade mission in which he is expected to seek a deal to sell millions of barrels of Canadian oil to China.  China has been aggressively pursuing energy deals around the world, so Harper will probably come home with a signed deal.

According to the Ottawa Citizen, China is pushing for a free-trade agreement, though Canada isn’t sure they’re quite ready for that.

The development came as China and Canada declared Thursday that bilateral relations have reached “a new level” following a series of multibillion-dollar trade and business agreements to ship additional Canadian petroleum, uranium and other products to the Asian superpower.

The two countries have agreed that a joint economic study being conducted will be completed by May 2012, “after which Canada and China will proceed to exploratory discussions on deepening trade and economic relations.”

President Obama rejected Keystone and its 20,000 jobs, as well as the estimated 250,000 spin-off jobs, over purported environmental concerns, but those had been addressed fully during the three-year long review by the state Department. Just two years ago, the State Department approved a similar pipeline. State said at that time approval was granted because “the department found that the addition of crude oil pipeline capacity between Canada and the United States will advance a number of strategic interests of the United States.”

Meanwhile in the U.S., gas prices have been the highest ever for a January, and prices usually rise in February and March.  Expectations for this summer are in the $4 range. If it gets along toward the election, Obama will probably open up the strategic reserve again.  After all, with all the wars over, and the defense establishment cut way back, we won’t need all that oil, will we?

China wants to buy Canadian uranium too.  Harper has said that building the Northern Gateway pipeline to the West Coast and a separate one for liquified natural gas is a national priority for Canada as they look to ship their natural resources to Asia. Harper has to look out for Canadian national interests.

Our president is in full campaign mode, and Big Environment threatened  that they might withhold their money.  And as usual, it’s all about him.


2 Comments so far
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Harper can play the China card all he wants, but in Canada the provinces have a lot of power. And there, just as in the United States, environmental groups are not ignorred. That the Northern Gateway pipeline will get built any time soon is hardly certain. See
Hundreds rally against Enbridge Northern Gateway pipeline
, for example.

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Comment by Subsidy Eye

sound like the whole north american continent is intent on cutting its own throat to me……………….

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Comment by greatgodpan




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