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Subscribe to RSSCUSHING, Okla. -- Touting an "all-of-the-above" energy policy, President Barack Obama traveled to this oil town on Thursday to show his support for the southern leg of the controversial Keystone oil pipeline proposed from Canada to refineries along the Gulf Coast.
"I am directing my administration to cut through red tape, break through bureaucratic hurdles, and make this project a priority," he said with dozens of pipes stacked up behind him at a yard used by TransCanada, the company proposing the Keystone pipeline.
But neither the oil industry, which insists Obama could send stronger market signals to lower prices at the pump, nor environmentalists, who cite the climate impact of fossil fuels, were on board.
"A true all-of-the-above energy strategy would include greater access to areas that are currently off limits, a regulatory and permitting process that supported reasonable timelines for development, and immediate approval of the Keystone XL pipeline to bring more Canadian oil to U.S. refineries," Jack Gerard, president of the American Petroleum Institute, said in a statement. "This would send a positive signal to the market and could help put downward pressure on prices."
Obama in his speech noted that domestic production has risen during his term. "America is producing more oil today than at any time in the last eight years," he said. "Over the last three years, I've directed my administration to open up millions of acres for oil and gas exploration across 23 different states. We're opening up more than 75 percent of our potential oil resources offshore. We've quadrupled the number of operating oil rigs to a record high."
The southern leg would help drain a glut of crude in Cushing, the storage hub for U.S. crude oil traded on the futures market, easing deliveries to refineries along the Gulf Coast.
As for the overall Keystone project, Obama said the delay in the northern leg came about because Nebraska lawmakers -- both Republicans and Democrats -- raised concerns about the potential impact on the state's water supply if a spill happened. "So to be extra careful that the construction of the pipeline in an area like that wouldn't put the health and safety of the American people at risk, our experts said that we needed a certain amount of time to review the project," he said Thursday.
FirstRead on Obama's support for Keystone's southern leg
Data show increasing US oil supply won't lower prices
Keystone pipeline could raise oil prices for some
Environmentalists, for their part, oppose the pipeline because it promotes the expanded use of fossil fuels, which emit greenhouse gases tied to global warming. The activist group 350.org planned to make that case by protesting Obama's visit to Ohio State University later Thursday.
David Greenberg, of Greenberg Capital, discusses oil's direction and President Obama's energy plan.
Some have even made the argument that Keystone's southern leg won't help domestic oil producers much since most of the oil will be coming from Canada.
It "simply is not designed to move significant volumes of domestic crude," Anthony Swift, an international law attorney for the Natural Resources Defense Council, wrote in a blog post. "The 900,000 barrel per day (bpd) pipeline only has two comparatively small on-ramps in the United States," he added, citing company documents filed with the U.S. "The first, in Montana, includes an on-ramp for a maximum of 100,000 bpd of crude. The second in Cushing, Oklahoma, allows a maximum of 150,000 bpd ... That means that at most, little more than a quarter of the oil on Keystone XL would be from domestic producers."
Republicans dismissed Obama's move as a publicity stunt that made little difference to the timeline of the southern project or the problem of U.S. energy security. "He's taking credit for going forward on the only portion of the pipeline that he doesn't need to approve," said Sen. John Hoeven, R-N.D., at a press conference. "This is literally straddling both sides of the issue." Hoeven has led the charge in the Senate to pass legislation that would bypass the administration and approve the full pipeline.
Rep. Ed Markey, D-Mass., wants the oil coming from Canada to stay in the United States and not be exported.
Construction of Keystone's 485-mile southern leg is expected to start in a few months, once TransCanada gets a permit from the Army Corps of Engineers.
"We have been working with them for weeks and we hope to have the permit in place to allow us to begin construction mid-year," a TransCanada spokesman Terry Cunha told NBC News. "As the president highlighted, they are supportive of the project as it helps move domestic oil to the refineries."
The Army Corps of Engineers said Wednesday it could not estimate how long approval would take since it had not yet seen an application from the company.
TransCanada plans to submit a new proposal for the 1,200-mile northern leg, after which federal agencies will weigh in.
NBC's Shawna Thomas and Reuters contributed to this report.
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We need another option is that survey: "Doing the WORST balancing job possible!"
When it comes to energy, the president is all about cheap publicity stunts, remember last year's release from the SPR?
The truely sad part is that compared to his opponents (Drill, baby, drill!), he is looking like a genius
So let me get this straight......no one has a damn job, and the DimWits are worried about Health care.....
Gas was less than $1.90 when Obama took office, now it's pushing $5.00. Guess the unemployed will have to walk to those doctor visits!!!
CHANGE YOU CAN BELIEVE IN!!!
Gas was less than a buck when bush took office and drummed up the faux war on terror in Iraq...but don't let the facts get in the way
Gas in 2000 was $1.70\gal. In 2008 it was $3.01\gal average. Now gas is pushing $5.00. But don't let the facts get in the way.
Yep, too many on welfare and handouts BP oil, Montaso, GE this list goes on. Not to mention all the welfare recipients at the Pentagon...
Top 30 most profitable companies got paid 10 billion in tax rebates 2008-2010...after posting a toal of 168 billion in profits during the same period...talk about welfare for GE and Exxon
Drill baby drill..in your backyard that is..just don't come to the rest of us when your land is left barren and worthless when th energy companies are done with it
"I am directing my administration to cut through red tape, break through bureaucratic hurdles, and make this project a priority,"
how about doing this to reduce gas prices?
obowmao is a big phoney..
he is still on his pakalolo..(hawaiian weed)
ABO2012
Because this won't reduce gas prices. If anything, it will raise gas prices, by all accounts.
maybe not..but at least put energy and leadership into trying to solve the high gas prices..
not saying "there is nothing i can do" and blame the oil companies..
there is a lot he can do..
this dingbat put a lot of energy into obamacare ..
he displayed leadership there but he skirted congressional rules..
ABO2012
END OF THE ERROR!
Obama has been such a failure as a President. I can't wait to see the new movie about him this summer called "2016:The Movie." It's supposed to tell us the TRUTH about him!!! WOW!!!
I was thinking that IF Obama wins the presidency this November, that we may have Democratic presidents from now on.
No one will want to touch the mess he made of this once wonderful country! I know I wouldn't. Eventually the "bill" will come due and Obama will be laughing and living it up in early retirement. he is a puppet. he talks out of both sides of his mouth. Lies lies lies....
"This would send a positive signal to the market and could help put downward pressure on prices."
And this is an outright lie.
The Associated Press conducted a statistical analysis of 36 years of monthly inflation-adjusted gasoline prices and U.S. domestic oil production and found no statistical correlation between oil that comes out of U.S. wells and the price at the pump. Over the last three years, domestic oil production has risen and gasoline prices rose sharply. In the 1980s and 1990s, U.S. production fell dramatically, and prices did too.
If his lips are moving it's a lie.
Conservatives are criticized by liberals. Liberals are criticized by conservatives. Moderates are criticized by both ends of the spectrum.
No no no. NO need to pander . It will not help consumers and will only cause long term harm. Better off fighting about deficit and against the Ryan budget garbage.
GrampaSimpleton - Where's Obama's plan?
He's playing such obvious election year politics it's scary. What will Obama do next?
Impeach the SOB before he really FuXX's up.
waaa impeach.. over what? Poor willlard has no chance
What did he do that is impeachable? Do you even know what that means?
OKies will not vote dem anyway.. WHy even stop there?
Get rid of Obama and the first lady who is another embarrasment. Who would vote for these? Libby/ low IQ/ welfare types. I answered my own question. Sorry.
Obama's energy policy? He has no energy policy.
Easing the oil flow from Cushing to Texas will result in raising gas prices in the midwest and provide additional oil to the south. Also - it's really only a political ploy to say speed the processing - TransCanada has not applied for any permits for the southern portion of the pipeline yet - so there is nothing for his bureaucratic team to work on anyway. He's trying to make his cake and eat it to!
This may sound counter-intuitive, but a policy is probably right if it makes both factions at either end unhappy.
Good reelection strategy -piss off everyone.
how do you know if Obama is lying? his mouth is open. didn't he oppose this just a few months ago a a bad move and he is now for it. I am confused did something change if it was a bad thing then why is it good now? He believes in breaking the federal laws by not deporting illegal to the point they get on TV and yell at the top of their lungs and block off the roads and say i am illegal and you can not do a thing about it. great leader not
It's called compromise. It's a thing that grown-ups do.
He wasn't opposed to it before, he was opposed to Republicans trying to rush it through without evaluating the consequences.
cameron ..
that is a flat out lie..
all of the environmental impact reviews were completed..
obungler did it to appease the environmentalists..
now he is in oklahoma to appease the union..
this guy has no morals and is a liar..
he flip-flops to get votes..
Flying around at a daily cost to the American taxpayers in the $1,000,000 range at taxpayer expense to lie to people who should know better. A real leader wouldn't need daily propping up by everyone, a real leader wouldn't divide people. What is so uniquely special, so different about this particular White House occupant that makes people work so hard to cover for him, so willing to embrace an astonishingly low standard by which to measure him. Could anyone explain what is so unique?
Everything you said exactly describes the clowns running for the GOP ticket. Hypocrite much?
cameron you are making yourself look foolish..
non of the republicans are flying around at taxpayer expense..
and not one of them are now the leader of this nation or occupy the white house..
media matters is not getting their money's worth from you, troll..
You'll get your pipeline. But first we need to ensure that the nation's precious wheat lands and water resources stay pure and pristine.
In the meantime, relax, cool your heels, and stop acting like Republicans.
To all those in favor of drilling and the pipeline: Are you going to come to my community and help clean the oil up after an inevitable spill? Would you want the pipeline running through YOUR backyard like it would be running through mine?
It's easier to support these things when you aren't the one inconvenienced and your clean water, air, recreation, wildlife, agriculture, livelihood and local economy aren't at risk. But the people in the states that the pipeline affects DO NOT want it.
Do you want to be able to drive your - FORD?
Why don't you google and see how many pipelines already run through this country. Please tell me how many oil spills these other pipelines have caused? Why don't you do some reasearch instead of spouting unfounded fear from your liberal talking points.
Why won't these people listen. The Gov. of Nebraska said no, halt this thing and do a reroute. It will impact there land and water supply. It will not bring down gas prices and will not bring in very many jobs, the jobs it does bring are temps. and will be from canada. Try reading the articles and going to the real websites for information. Lies will get you no where. Lies are easily proven. Reseach gas prices. The POTUS does not controll the price of gas. The global market, speculators and oil companies do. Google it, read something for yourself and then be honest.