ByCharles Kennedy– Apr 14, 2025, 9:30 AM CDT
The Keystone oil pipeline, which was shut last week after a leak, is expected to resume service by Tuesday, April 15, or at least this is the targeted start date announced by pipeline operator South Bow.
The Keystone pipeline, with a capacity to carry more than 600,000 barrels per day (bpd) of oil from Alberta, Canada, to the United States, was shut last week following an oil leak near Fort Ransom, North Dakota.
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Last Wednesday, South Bow said that the affected segment was isolated, and the release was contained. The estimated release volume is approximately 3,500 barrels.
Since then, the Pipeline and Hazardous Materials Safety Administration (PHMSA) has issued a Corrective Action Order (CAO) requiring South Bow to undertake certain corrective actions in response to the incident.
Keystone is targeting the restoration of service and energy deliveries by Tuesday, April 15, 2025, under the requirements of the CAO. South Bow will require approval from PHMSA prior to restarting the pipeline, the operator said.
The CAO includes South Bow to undertake the following actions: shutdown of the accident segment until PHMSA authorizes restart; operating pressure restriction; review of prior in-line inspection results; mechanical and metallurgical testing; root cause failure analysis; special permit evaluation; and remedial work plan.
The Keystone pipeline was built to the specifications of a special permit that allows the line to operate at higher-than-normal pressures. PHMSA ordered the maximum operating pressure to be reduced following a crude oil leak in December 2022 in Washington County, Kansas. The CAO requires an evaluation of the special permit to determine if additional or modified conditions are necessary to prevent similar incidents.
The 2,687-mile Keystone Pipeline System plays a key role in connecting Alberta’s crude oil supplies to U.S. refining markets in Illinois, Oklahoma, and Texas, as well as connecting U.S. crude oil supplies from the Cushing, Oklahoma hub to refining markets on the U.S. Gulf Coast through the Marketlink Pipeline System.
By Charles Kennedy for Oilprice.com
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