Current TRP Stock Info

After Six Years, $8 Billion Keystone XL Awaits One Final Signature

TransCanada Moving Ahead with $6 Billion in Other Capital Projects in 2015

Project start-ups may be lower than usual in the revamped commodity market, but TransCanada’s (ticker: TRP) operations are on the upswing. The Calgary-based pipeline company is moving forward with a CA$46 billion capital program through 2020, installing midstream equipment of all shapes and sizes to a variety of awaiting clients. Nearly $4 billion of new projects were placed into operation in 2014 and another $6 billion is slotted for 2015, but the company’s largest potential project, the Keystone XL, is still on the starting blocks.

Keystone XL Pipeline Oil & Gas 360TransCanada reported its Q4’14 results on February 13, 2015 – just days after the company sent a letter to the United States Department of State criticizing its actions on the Keystone Pipeline. TRP management mentioned in the call how the majority of cross-border pipeline applications take about two years to complete, but the Keystone XL is approaching its seventh year without approval. The company has explored shipping-by-rail options in lieu of KXL, but remains committed to the $8 billion pipeline project.

In the conference call, Russ Girling, President and Chief Executive Officer of TransCanada, briefly addressed the Keystone situation. Parts of the transcript are included below.

“We continue to see strong bipartisan support for Keystone XL both in the Senate and the House. The American people also continue to support the pipeline with 30 polls since 2011 showing two-thirds in favor of the project. The final environmental impact statement that was issued last year by the Department State indicated the project would have a minimal impact in the environment. It would not increase GHG emissions. It would create jobs. It would have a positive impact on the economy, and it would enhance both energy and national security. We continue to believe the Keystone Pipeline is very much in the national interest in United States.

“And to be totally clear, TransCanada and its shippers remained 100% committed to building the Keystone XL Pipeline and we continue to believe it will be ultimately approved.”

The TransCanada conference call may be heard here.

Important disclosures: The information provided herein is believed to be reliable; however, EnerCom, Inc. makes no representation or warranty as to its completeness or accuracy. EnerCom’s conclusions are based upon information gathered from sources deemed to be reliable. This note is not intended as an offer or solicitation for the purchase or sale of any security or financial instrument of any company mentioned in this note. This note was prepared for general circulation and does not provide investment recommendations specific to individual investors. All readers of the note must make their own investment decisions based upon their specific investment objectives and financial situation utilizing their own financial advisors as they deem necessary. Investors should consider a company’s entire financial and operational structure in making any investment decisions. Past performance of any company discussed in this note should not be taken as an indication or guarantee of future results. EnerCom is a multi-disciplined management consulting services firm that regularly intends to seek business, or currently may be undertaking business, with companies covered on Oil & Gas 360®, and thereby seeks to receive compensation from these companies for its services. In addition, EnerCom, or its principals or employees, may have an economic interest in any of these companies. As a result, readers of EnerCom’s Oil & Gas 360® should be aware that the firm may have a conflict of interest that could affect the objectivity of this note. The company or companies covered in this note did not review the note prior to publication. EnerCom, or its principals or employees, may have an economic interest in any of the companies covered in this report or on Oil & Gas 360®. As a result, readers of EnerCom’s reports or Oil & Gas 360® should be aware that the firm may have a conflict of interest that could affect the objectivity of this report.

Legal Notice