Keystone pipeline to reopen in few days

June 01, 2011 | Government & Regulations

Transcanada_Keystone_Pipeline

TransCanada Corp. said on Tuesday it will take a few more days to reopen its 591,000-barrel-a-day Keystone oil pipeline after its second spill in less than a month shut the line, pushing oil prices higher. The line was shut on Sunday after a half-inch fitting failed at the Severance pumping station in Kansas.

The fitting leaked less than 10 barrels (420 gallons) of oil, said company spokesman Terry Cunha, down from an earlier estimate of a 40-barrel spill. A problem with a larger fitting was blamed for a 500-barrel leak earlier this month at another Keystone pumping station in North Dakota. That shut the line for six days while the company replaced similar fittings at its other pumping stations.

Canada is the largest supplier of oil to the United States, shipping about two million barrels a day.