Monday, May 28, 2018

The Kicker In The Kinder Morgan Surprise.



Monday 7:30pm Pacific - See Update at bottom of post

Why no details on the 'deal' that the good Mr. Morneau has forged?

Because, as per usual in these publicize all the risk-type deals, it's a double-secret probationary/I see nothing! 'commercializationers-must-be-protected-from-competitors-at-all-costs-to-the-taxpayers' thingy.


From the MoCo's breathless report of all the news that's fit to break:

...Details of the announcement were being held close on Monday because Kinder Morgan is a publicly traded company and the pipeline discussions are subject to a non-disclosure agreement...


It's like Railgate all over again...And, of course, once it goes before the courts all will be sub-judiced for the duration.
Update...Speculation from Bloomberg is that, we, the Canuckistanian people, will buy the whole damned thing...Wonder if former Bush Ranger Bobby Kinder has called his ol' buddy GW yet to give him the fantabulous news of Enronian proportions...Double sheesh!.



Lew said...

Wally had his feathers all puffed up and was squawking about judicial independence in 2009. In 2010 his government did an end run around the judge in the same case to the extent that she accepted guilty pleas she shouldn’t by law have accepted, and then stood by silently when she unknowingly made false statements based on what an equally duped special prosecutor told her.

“Sub-judiced”, BC style.

RossK said...

Absolutely Lew.

And, for the after-effects of this particular stomping, please see update to the post.


Hugh said...

"Crews cleaning up oil spill at Kinder Morgan station north of Kamloops, B.C."

RossK said...

Thanks for the heads-up Hugh.


Lew said...

A quick Google tells me that Kinder Morgan is the largest independent terminal operator and the largest independent transporter of petroleum products in North America.

So it makes perfect sense that Justin Trudeau can build and operate Trans Mountain profitably while Kinder Morgan can’t.

North Van's Grumps said...

Well now we know why Canada will not be getting 65 F-35 stealth fighter jets at a cost of $45.8 billion. Nine billion of that money has been squandered on Kinder Morgan.

Chuckstraight said...

Amazing how a 39.5% majority can do this? And from a gov`t that promised the end of FPTP?
And with taxpayers money?

Lew said...

If Trudeau really wanted to get into the fossil fuel business, wouldn't he have been wiser to wait and see what Kinder Morgan was going to do first? KM had options. Go ahead and build it with their own money despite darkening economic prospects for Alberta tar, try to sell it to another private entity (good luck with that), or cancel it. KM was sitting there with all kinds of commitments and inventory, including hundreds of miles of pipe. It was not in a good negotiating position.

But KM got lucky. A panicked government with a public chequebook was sitting across the table.

Now the TrudeauMorneau pipeline will be built with public funds and Kinder Morgan can always buy it back at a discount from whoever holds the keys ten years down the road. Something tells me it won't be a sellers' market.

Lulymay said...

You won't see this 4 plus billion listed as a line item of the Federal Government debt list. No, no, it will be an innocuous line item on the annual financial report from the management of Canada Pension Plan.

CPP, up to now, has a reputation as being one of the best managed, at least financially, in the world. It is especially good at investing the assets of this plan. It looks like this asset will now be used to rescue Kinder Morgan from is poor financial decisions. Of course, KM is run by ex-Enron gurus and I think we all know that sorry tale.

As far as all these jobs, jobs, jobs, and the economic benefits we will all accrue from this project goes, I can only tell you what I saw this past year. The Natural Gas line running through Coquitlam was being replaced and a construction work yard was not far from where I live. Driving by, it wasn't hard to notice that all the pick-up trucks had Alberta licence plates. Most of the workers were being brought to the job via bus (hotels are cheaper a little further out in the valley). Once, when coming home across the Port Mann, I got held up by a huge transport truck struggling up Mariner Way with a heavy load of metal piping. Noticed it, too had AB plates on it and it too turned into the same works yard. I can only assume that the jobs were primarily filled with Alberta citizens and that most of the expensive supplies/equipment also were purchased in Alberta.

So much for any economic benefits accruing to BC!!!

North Van's Grumps said...

Will the NEB now take its marching orders from the Liberals instead of from Kinder Morgan? Was there, will there, be any NEB independence on the pipeline?

John's Aghast said...

And Lulymay, you can bet your sweet buns that there wasn't any PST paid on the goods either.

Anonymous said...

CLAC’s big role in the Trans Mountain expansion:
Another political pipeline problem in the making?
- by David Climenhaga,

a.k.a. sour gas in the tarsands pipeline

Lew said...

Anon @11:01

When the federal government bought Kinder Morgan’s stake in the pipeline it presumably bought the agreement Kinder Morgan signed with Christy Clark. The BC Liberals told us that the agreement included:

“Agreement that British Columbians will be first in line for jobs – with more than 75,000 person-years of employment created by the project.”

Christy either forgot to tell us about the CLAC agreements, or didn’t do her homework.

Bennett Jones should take note.

RossK said...


One can only wonder if BJones will take note with a post-it.