U.S. Sen. Jim Inhofe was spot on in saying construction of an oil pipeline from Cushing to the Texas Gulf was a “no brainer.” Heck, even the Obama administration agrees it makes sense — no small thing.
Inhofe, R-Tulsa, and others realize that there is a huge glut of crude oil at the supply hub in Cushing, and that being able to more quickly move it to refineries in this country benefits U.S. consumers by making more domestically produced oil available, instead of having to rely so much on foreign product.
But TransCanada's announcement Monday that it plans to build the Cushing-to-Texas Gulf portion of the Keystone XL pipeline carries great news for Oklahoma in particular, because it will mean perhaps 1,000 or more temporary construction jobs — and soon. TransCanada says it has negotiated most of the voluntary easements in our state.
Mike Terry, president of the Oklahoma Independent Petroleum Association, notes that the Cushing glut has served to tamp prices of West Texas Intermediate crude, which translates into lower gross production taxes for the state and less revenue for Oklahoma royalty owners and producers. So unclogging the hub will show up in individual and state coffers.