- Most of the heavy Canadian crude planned to flow through the Keystone XL pipeline (NYSE:TRP) would be refined inside the U.S., and the resulting gasoline, diesel and other petroleum products would be consumed domestically too, according to a new analysis from consulting firm IHS.
- The report debunks a major argument of Keystone's detractors, as well as Pres. Obama, who have cast the project as an “export pipeline” that would only ferry crude through the U.S. en route to other countries.
- IHS says Gulf coast refiners are hungry for the heavy crude that would come out of Canada’s oil sands - diluted to flow through Keystone XL - and likely would displace heavy high-sulfur crudes now imported from Venezuela and Mexico.
- Meanwhile, the White House appears set to quietly kill off the forthcoming bill aimed at approving the controversial pipeline via a presidential pocket veto, sending the bill back to Congress after 10 days without a signature.