North American energy company TransCanada Corporation (TSE:TRP, Mkt cap 34.60B, P/E – , Div/yield 0.56/4.57, EPS -1.75, Shares 702.34M) has cut the power at its Keystone pipeline following an oil spill in South Dakota, a spokesman for the firm has confirmed.
TransCanada’s Mark Cooper revealed that the spill was spotted by a local landowner around noon local time on Saturday who swiftly made the matter known to the company.
Following the call, the pipeline was brought to a halt in a matter of minutes, according to Cooper.
“As soon as we got that report in we immediately began efforts to shut down the pipeline and crews were immediately dispatched to the site,” he said.
Cooper then proceeded to play down the extent of the spillage, stating that it covered a “small surface area” and no significant impact to the environment was observed.
The company will continue to investigate the source of the spill, which was found about six kilometres from TransCanada’s Freeman pump station, which sits roughly 60 km southwest of Sioux Falls, S.D.
Cooper confirmed that it has also informed landowners and local agencies in the area as well as regulatory agencies including the National Response Center and the Pipeline and Hazardous Materials Safety Administration.
The Keystone pipeline, which carries about 500,000 barrels of oil a day, begins its journey at Hardisty, Alta., east through to Manitoba before it turns south to markets in the American Midwest and U.S. Gulf Coast.
This latest incident will have done little to help TransCanada’s cause to push through its proposed 4,600-kilometre Energy East Pipeline that would ship Alberta crude to New Brunswick.
TransCanada Corporation is a Canadian energy infrastructure company with head offices in Calgary, Alberta. The Company operates through three segments: Natural Gas Pipelines, Liquids Pipelines and Energy. Natural Gas Pipelines and Liquids Pipelines consist of its respective natural gas and liquids pipelines in Canada, the United States and Mexico, as well as its regulated natural gas storage operations in the United States. Its natural gas pipeline network transports natural gas to local distribution companies, power generation facilities and other businesses across Canada, the United States and Mexico. Its existing liquids pipeline infrastructure connects Alberta and the United States crude oil supplies to the United States refining markets in Illinois, Oklahoma and Texas, as well as connecting the United States crude oil supplies from the Cushing, Oklahoma hub to refining markets in the United States Gulf Coast. Energy includes its power operations and the non-regulated natural gas storage business in Canada. More from Reuters »
What is Successful Investing? Learn more here>>
Download Our Free Special Report – How to Hunt For Value Stocks. Michael Sprung will share with you 5 stocks set for long-term gains here>>
We believe that clients gain from our focus on the long-term fundamentals and not chasing short-term trends. Like to learn more? Please contact us here>>
The opinions expressed here are ours alone. They are provided for information purposes only and are not tailored to the needs of any particular individual or company, are not an endorsement, recommendation, or sponsorship of any entity or security, and do not constitute investment advice. We strongly recommend that you seek advice from a qualified investment advisor before making any investment decision.