Crude flows resume through parts of Keystone Pipeline

Canadian energy company TC Energy said yesterday that it has restarted crude flows at the unaffected section of the Keystone Pipeline that runs from Canada’s Alberta through to the US’ Wood River in Illinois.

MAP: TC Energy has allowed crude flows to resume at the unaffected section of the Keystone Pipeline. TC Energy

TC Energy shut the entire Keystone Pipeline last Wednesday, after an oil leak of about 14,000 bbls was detected in a creek in Washington County in Kansas, US. 

The section of the pipeline that runs through Kankas to Cushing, Oklahoma, where the oil leak occurred, still remains closed.

TC Energy says the source of the leak is still being investigated and flows at this section will only resume until all investigation, repair and clean-up activities are completed. A restart will also require approval from US Pipeline and Hazardous Material Safety Administration (PHMSA).

According to Wall Street Journal report, the weeklong shutdown has already started to impact production at Gulf Coast refineries. Some market participants think that it will take weeks for the Keystone Pipeline to fully resume, and that it could deplete crude stocks at Cushing, a major US crude storage hub.

By Nithin Chandran

Please get in touch with comments or additional info to news@engine.online