Obama Block!

 Should have put money on it… In a perfectly political and foreseeable manner the current administration of Chief Executive Barack Obama has officially rejected the Keystone XL pipeline proposed by Canadian pipeline operator TransCanada Pipelines. Sad… yes for the World… sad for everybody in the World?… hum not so sure.

Let’s look at who are the winners here. The greenies are the obvious winners. What they’ve won or accomplished? I don’t really know, only a partial reading of the science on climate change and a total lack of understanding of the modern energy global supply chain, can help explain this spurious victory. Oil traders in the US…. say what? The price differential between West Texas Intermediate crude oil and Brent crude oil in Europe creates some serious arbitrage opportunities for the savvy speculator. The pipeline was suppose to help alleviate that price differential… oops I guess some opportunities are worth lobbying for, right! The Chinese may eventually be the big winners here. Should Keystone XL continually be pushed backed and Northern Gateway obtain the go-ahead, China’s consumers might actually get some breathing room at the gas pump… much to their American friends’ dismay and loss 😦