Canada Indicates They’ll Sell Oil to China if the United States Doesn’t Want It; Updated

In a post last month, I predicted that Obama’s mindless dithering on the Keystone Pipeline would result in the Canadians simply shipping the oil to China:

What we do know, though, is that there’s no logical argument against granting TransCanada the permit to build the pipeline.  It’s a certainty that the oil in the Canadian Oil Sands will be extracted from the ground.  The only question is this: To whom will it be sold?  TransCanada can easily pipe it to the west coast for shipment in oil tankers to increasingly thirsty Asian markets.

Canadian Prime Minister Stephen Harper confirmed this in a recent interview:

Canada could sell its oil to China and other overseas markets with or without  approval of the Keystone XL oil pipeline in the United States, says Prime  Minister Stephen Harper.

In a year-end television interview, Harper indicated he had doubts the  $7-billion pipeline would receive political approval from U.S. President Barack  Obama, and that Canada should be looking outside the United States for  markets.

“I am very serious about selling our oil off this continent, selling our  energy products off to Asia. I think we have to do that,” Harper said in the Monday interview with CTV National News with Lisa  LaFlamme.


Even though the project could still win approval from the Obama administration,  Harper appeared to believe the pipeline would not be completed, meaning Canada  would have to look elsewhere to trade its oil.

Harper looks at the Obama Administration and understands that they have no intention of ever increasing the supply of proven energy sources.  With Obama and the far Left, of course, attempting to discern a logical reason for what amounts to economic suicide is a fool’s errand.  It’s not like the pipeline hasn’t been “studied” for years, so Obama’s excuse that more time is needed is ludicrous.  The other objection, as far as I can tell, is that many Lefties think that the oil sands shouldn’t be developed at all, as if stopping the Keystone Pipeline would achieve that result.  It won’t, regardless of what Obama’s Hollywood brain trust says.  The fact is that output from the Canadian Oil Sands will triple in the next 25 years. The only question is who will benefit from its development: Canada and the U.S. — or Canada and China?  For any president other than the current one, this would be nothing more than a rhetorical question.

We certainly can’t blame the Canadians.  They understand the linkage between energy production and economic growth and are only doing what’s in their best interest, as they should.  Meanwhile Obama thinks subsidizing a piece of junk like the Chevy Volt to the tune of $250,000 per car qualifies as sound energy policy.  For video of Harper discussing Canada’s options, go here (the key quote begins at the 27 second mark).   I associate myself with Governor Palin’s description of Obama’s energy policy as “terrifyingly naive”:

Update: Ed Morrissey has more on this issue here.

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