Keystone Haunts Trans Mountain

Keystone Redux Haunts Trans Mountain as Fight Shifts to Climate — Bloomberg – By Jeremy van Loon and Rebecca Penty Sep 1, 2014 9:00 PM PT

“The next fight over oil pipeline development in Canada is starting to look like Keystone XL version 2.0. This time the target is a $4.9 billion project by Houston billionaire Richard Kinder’s energy empire.

Kinder Morgan Energy Partners LP (KMP)’s expansion of the Trans Mountain conduit linking the oil sands to the Pacific is facing the same kind of backlash that turned TransCanada Corp. (TRP)’s proposed line to the Gulf Coast into a proxy battle against climate change. As with Keystone, Trans Mountain’s opponents argue it would boost development of the oil sands, Canada’s fastest-growing source of carbon emissions. …

Climate Battle

“The environmental movement has realized that one front in the climate change battle is trying to delay or deny pipelines,” said Jason Stevens, a Chicago-based analyst at Morningstar Inc. who rates the stock a hold. “If it gets stymied out for a long, long time, it’s a big chunk of cash flow five years out that won’t materialize.” …”

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