Houston, Texas-based ConocoPhillips (COP) is the third largest oil company in the US, and along with TransCanada (TRP) will spend around $5.2 billion on the Keystone pipeline to transport 590,000 barrels per day by 2009 across the continental US to the Midwest refineries.
The first phase of the Keystone pipeline will move around 530,000 barrels a day of Alberta sands crude to the US Midwest by 2009, is now under construction, and will eventually extend from Illinois west to Nebraska, merging the two phases to head south. The capacity addition would facilitate the processing of output from the Alberta oil- sands by Gulf Coast refiners, who account of around half of the US refining capacity. The second phase would follow by around 2012.
COP will release its second-quarter earnings on Wednesday, July 23, at 8:30 a.m. Eastern. The news release will be issued through Business Wire.
A follow-up conference call with Chairman and Chief Executive Officer Jim Mulva and Investor Relations General Manager Gary Russell will be held Wednesday, July 23, at 11 a.m. Eastern.
Valero Energy Corp. (VLO), the largest refiner in the US said that it had agreed to be a potential shipper. The new line will also cut down transportation time by around 15-20 days.
The project will allow TransCanada's to boost its earnings through increased exposure to oil, and decided to go ahead with the project when customers committed to ship 300,000 barrels per day on the line across an 18-year period.
Read more at http://conquerthewallstreet.blogspot.com/2008/07/keystone-pip...
$83.705 (07/17/08)
