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EXECUTIVE SUMMARY
Final Environmental Impact Statement
 for the Proposed Keystone XL Project




             August 26, 2011
               g




             United States Department of State
             Bureau of Oceans and International
             Environmental and Scientific Affairs
Keystone XL Project                                                                                                           Executive Summary − Final EIS



                                                            Table of Contents
  INTRODUCTION.................................................................................................................................................. ES-1
  PRESIDENTIAL PERMITTING PROCESS .......................................................................................................... ES-1
  SUMMARY OF THE KEYSTONE XL PROJECT .................................................................................................. ES-1
    Transport of Canadian Oil Sands Crude Oil ..................................................................................................... ES-2
    Transport of U.S. Crude Oil .............................................................................................................................. ES-3
    Other Connected Actions ................................................................................................................................. ES-3
  PURPOSE OF AND NEED FOR THE KEYSTONE XL PROJECT ........................................................................ ES-5
  PROJECT DESIGN AND SAFETY .......................................................................................................................ES-6
    Pipe Design and Manufacturing ....................................................................................................................... ES-7
    System Design, Construction and Testing ....................................................................................................... ES-7
    Operations, Maintenance, and Monitoring........................................................................................................ ES-7
    Reporting, Record Keeping, and Certification .................................................................................................. ES-7
  SPILL POTENTIAL AND RESPONSE .................................................................................................................. ES-8
    Estimated Frequency of Spills .......................................................................................................................... ES-8
    Spills from the Existing Keystone Oil Pipeline System ..................................................................................... ES-8
    Maximum Spill Volume ..................................................................................................................................... ES-9
    Emergency Planning ........................................................................................................................................ ES-9
    Local Emergency Planning Committees (LEPCs) ............................................................................................ ES-9
  POTENTIAL ENVIRONMENTAL IMPACTS OF OIL SPILLS ................................................................................ ES-9
    General Types of Potential Impacts ................................................................................................................. ES-9
    Potential Impacts to the Ogallala Aquifer and other Groundwater Areas ....................................................... ES-10
    Potential Environmental Justice Concerns ..................................................................................................... ES-10
  ALTERNATIVES CONSIDERED........................................................................................................................ ES-10
    No Action Alternative ...................................................................................................................................... ES-11
    System Alternatives ....................................................................................................................................... ES-11
    Major Route Alternatives ................................................................................................................................ ES-12
    Route Variations and Minor Realignments ..................................................................................................... ES-12
    Other Alternatives Considered ....................................................................................................................... ES-14
    Agency Preferred Alternative ......................................................................................................................... ES-14
  ENVIRONMENTAL ANALYSES......................................................................................................................... ES-14
    Environmental Justice .................................................................................................................................... ES-14
    Greenhouse Gas Emissions........................................................................................................................... ES-15
    Geology and Soils .......................................................................................................................................... ES-15
    Water Resources ........................................................................................................................................... ES-16
    Wetlands ........................................................................................................................................................ ES-16
    Terrestrial Vegetation ..................................................................................................................................... ES-18
    Wildlife............................................................................................................................................................ ES-18
    Fisheries Resources ...................................................................................................................................... ES-19
    Threatened and Endangered Species ............................................................................................................ ES-20
    Cultural Resources ......................................................................................................................................... ES-20
    Air Quality and Noise ..................................................................................................................................... ES-21
    Land Use, Recreation, and Visual Resources ................................................................................................ ES-21
    Socioeconomics ............................................................................................................................................. ES-22
    Cumulative Impacts ........................................................................................................................................ ES-22
    Environmental Impacts in Canada ................................................................................................................. ES-22
  EIS CONTENTS..................................................................................................................................................... ES-24




                                                                                   ES-i
Keystone XL Project                                         Executive Summary − Final EIS




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Keystone XL Project                                                                        Executive Summary − Final EIS




INTRODUCTION                                                       with expertise in key areas of concern related to the
                                                                   proposed Project.
In September 2008, TransCanada Keystone Pipeline,
LP (Keystone) filed an application for a Presidential                The determination of national interest involves
Permit with the U.S. Department of State (DOS) to                    consideration of many factors, including energy
build and operate the Keystone XL Project. The                       security; environmental, cultural, and economic
proposed Project would have the capacity to transport                impacts; foreign policy; and compliance with relevant
700,000 barrels per day (bpd) of crude oil to delivery               federal regulations. Before making a decision, DOS
points in Oklahoma and southeastern Texas.                           will consult with the eight federal agencies identified
                                                                     in Executive Order 13337: the Departments of
This Executive Summary of the final environmental                    Energy, Defense, Transportation, Homeland Security,
impact statement (final EIS) summarizes the                          Justice, Interior, and Commerce, and the
proposed Project, including the purpose of and need
                                                                     Environmental Protection Agency (EPA). DOS will
for the Project, and the major conclusions and areas                 also solicit public input on the national interest
of concern raised by agencies and the public. More                   determination by accepting written comments and
detailed information on the proposed Project,
                                                                                      holding comment meetings in the six
alternatives to the proposed Project,                                                 states traversed by the proposed
                                                 Aboveground Facilities
and      the     associated      potential                                            route and in Washington, D.C.
environmental impacts is presented in       30 pump stations on 5- to15-acre
the final EIS that is provided in the CD     sites                                    Figure ES-1 lists the major events,
                                            Delivery facilities at Cushing,          public outreach activities, and other
in the sleeve on the back page.              Oklahoma and Nederland and
                                             Moore Junction, Texas                    details of the environmental review
PRESIDENTIAL PERMITTING                     Densitometer sites located at all        and national interest determination
PROCESS                                      injection points and at all delivery     processes.
                                                points
All facilities which cross the                112 mainline valves along pipeline     SUMMARY OF THE KEYSTONE
international borders of the United             and 2 mainline valves at each
                                                pump station                          XL PROJECT
States require a Presidential Permit.
                                              Tank farm at Cushing, Oklahoma
For liquid hydrocarbon pipelines, the           on a 74-acre site
                                                                                      The proposed Keystone XL Project
President, through Executive Order                                                    consists of a crude oil pipeline and
                                                   See Section 2.2 for further        related facilities that would primarily
13337, directs the Secretary of State to     information on aboveground facilities.
decide whether a project is in the                                                    be used to transport Western
national interest before granting a Presidential Permit.                              Canadian Sedimentary Basin crude
                                                                     oil from an oil supply hub near Hardisty, Alberta,
As part of the Presidential Permit review process,                   Canada to delivery points in Oklahoma and Texas.
DOS determined that it should prepare an EIS                         The proposed Project would also be capable of
consistent with the National Environmental Policy Act
                                                                     transporting U.S. crude oil to those delivery points.
(NEPA). DOS is the lead federal agency for the                       The U.S. portion of the pipeline would begin near
NEPA environmental review of the Proposed Project                    Morgan, Montana at the international border of the
because the need for a Presidential Permit is the
                                                                     United States and extend to delivery points in
most substantial federal decision related to the                     Nederland and Moore Junction, Texas. There would
Proposed Project. To assist in preparing the EIS,                    also be a delivery point at Cushing, Oklahoma.
DOS retained an environmental consulting firm,
                                                                     These three delivery points would provide access to
Cardno ENTRIX, following DOS guidelines on third-                    many other U.S. pipeline systems and terminals,
party contracts. The DOS environmental and safety                    including pipelines to refineries in the U.S. Gulf Coast
review of the proposed Project that lead to the final                region. Market conditions, not the operator of the
EIS was conducted for nearly 3 years and included                    pipeline, would determine the refining locations of the
consultations with the third-party contractor,
                                                                     crude oil.
cooperating agencies, and scientists and engineers




                                                            ES-1
Keystone XL Project                                                                   Executive Summary − Final EIS




                                          Figure ES-1
  U.S. Department of State Environmental and National Interest Determination Review Processes




The proposed Keystone XL pipeline would consist of              the bitumen to a point where it liquefies and can be
approximately 1,711 miles of new 36-inch-diameter               pumped to the surface.
pipeline, with approximately 327 miles of pipeline in
                                                                Bitumen is treated in several ways to create crude oil
Canada and 1,384 miles in the U.S. Figure ES-3
                                                                suitable for transport by pipeline and refining. The
depicts the three segments of the proposed Project in
                                                                types of Canadian crude oil that would be transported
the U.S. As noted in that illustration, the proposed
                                                                by the proposed Project would primarily consist of
Project would connect to the northern and southern
                                                                synthetic crude oil and diluted bitumen.
ends of the existing Cushing Extension of the
Keystone Oil Pipeline System.                                   Synthetic crude oil is produced from bitumen using
                                                                refining methods – a process termed upgrading – that
Figure ES-4 illustrates the construction sequence that
                                                                in general converts bitumen into lighter liquid
would be followed for the proposed Project. The
                                                                hydrocarbons. In other words, the bitumen is
proposed Project would also include 30 electrically
                                                                converted into a crude oil similar to conventional
operated pump stations, 112 mainline valves, 50
                                                                crude oil.
permanent access roads, and a new oil storage
facility in Cushing, Oklahoma. If market conditions                              Figure ES-2
change, the capacity of the proposed Project could be                  36-Inch-Diameter Crude Oil Pipe
increased to 830,000 bpd by increasing pumping
capacity at the proposed pump stations.
The overall proposed Keystone XL Project is
estimated to cost $7 billion. If permitted, it would
begin operation in 2013, with the actual date
dependant on the necessary permits, approvals, and
authorizations.
Transport of Canadian Oil Sands Crude Oil
The proposed Keystone XL Project would primarily
transport crude oil extracted from the oil sands areas
in Alberta, Canada. Oil sands (which are also
referred to as tar sands) are a combination of clay,
sand, water, and bitumen, which is a material similar
to soft asphalt. Bitumen is extracted from the ground
by mining or by injecting steam underground to heat

                                                         ES-2
Keystone XL Project                                                                      Executive Summary − Final EIS




                                      Figure ES-1 (Cont.)
  U.S. Department of State Environmental and National Interest Determination Review Processes




Diluted bitumen – often termed dilbit – consists of                These fields have experienced high growth in the last
bitumen mixed with a diluent, which is a light                     few years as new technology has allowed the oil to be
hydrocarbon liquid such as natural gas condensate or               profitably extracted. Keystone currently has long-
refinery naphtha. The bitumen is diluted to reduce its             term commitments for transporting 65,000 bpd of
viscosity so that it is in a more liquid form that can be          crude oil in the proposed Keystone XL Project from
transported via pipeline. Dilbit is also processed to              the Bakken Marketlink Project.
remove sand, water, and other impurities. The
                                                                   The Cushing Marketlink Project would allow transport
diluents in dilbit are integrally combined with the
                                                                   of up to 150,000 bpd on the proposed Project from
bitumen to form a crude oil that is a homogenous
                                                                   the Cushing, Oklahoma area to the proposed
mixture that does not physically separate when
                                                                   Keystone XL Project delivery points in Texas.
released.
Both synthetic crude oil and dilbit are             Pipe Specifications           Other Connected Actions
similar in composition and quality to the     • Material: High-strength X70     In addition to the Marketlink projects,
crude oils currently transported in             steel pipe, API 5L
                                                                                there are two other types of connected
pipelines in the U.S. and being refined       • Outside diameter: 36 inches
                                              • Operating Pressure: 1,308 psig  actions associated with the proposed
in Gulf Coast refineries. Neither type of                                       Project: electrical distribution lines and
                                              • External Coating: fusion-bonded
crude oil requires heating for transport        epoxy                           substations that would provide power
in pipelines.                                                                   for the pump stations, and an electrical
                                              See Section 2.3.1 for further
                                           information on pipe specifications.  transmission line that would be required
Transport of U.S. Crude Oil
                                                                                to ensure transmission system reliability
In late 2010, Keystone Marketlink, LLC announced                  when the proposed Project is operating at maximum
plans for two separate projects that would enable                 capacity. Those projects would not be built or
crude oil from domestic sources to be transported in              operated by Keystone, and the permit applications for
the proposed Keystone XL Project. Those two                       those projects would be reviewed and acted on by
projects, the Bakken Marketlink Project and the                   other agencies. Although only limited information was
Cushing Marketlink Project, are considered                        available on the design, construction, and operation
“connected actions” under NEPA. The Bakken                        of the projects, DOS assessed the potential impacts
Marketlink Project would allow transport of up to                 of the projects based on currently available
100,000 bpd of crude oil from the Bakken formation in             information.
the Williston Basin in Montana and North Dakota.



                                                            ES-3
Keystone XL Project                             Executive Summary − Final EIS


                           Figure ES-3
                      Proposed Pipeline Route




                               ES-4
Keystone XL Project                                                                    Executive Summary − Final EIS


                                                  Figure ES-4
                                   Typical Pipeline Construction Sequence




PURPOSE OF AND NEED                      FOR      THE            Cushing, Oklahoma in the existing Keystone Oil
KEYSTONE XL PROJECT                                              Pipeline Project. If the proposed Project is approved
                                                                 and implemented, Keystone would transfer shipment
The primary purpose of the proposed Project is to                of crude oil under those contracts to the proposed
provide the infrastructure necessary to transport                Project. Although there is sufficient pipeline capacity
Western Canadian Sedimentary Basin heavy crude                   from Canada to the U.S. in general to accommodate
oil from the U.S. border with Canada to delivery                 projected additional imports of Canadian crude in the
points in Texas in response to the market demand of              short to medium term, there is extremely limited
Gulf Coast refineries for heavy crude oil. This market           pipeline transport capacity to move such crude oils to
demand is driven by the need of the refiners to                  Gulf Coast refineries.
replace declining feed stocks of heavy crude oil
obtained from other foreign sources with crude oil               The 58 refineries in the Gulf Coast District provide a
from a more stable and reliable source. Keystone                 total refining capacity of approximately 8.4 million
currently has firm, long-term contracts to transport             bpd, or nearly half of U.S. refining capacity. These
380,000 bpd of Canadian crude oil to the Texas                   refineries provide substantial volumes of refined
delivery points.                                                 petroleum product, such as gasoline and jet fuel, via
                                                                 pipeline to the Gulf Coast region as well as the East
An additional purpose of the proposed Project is to              Coast and the Midwest.
transport Canadian heavy crude oil to the proposed
Cushing tank farm in response to the market demand               In 2009, Gulf Coast refineries imported approximately
of refineries in the central and Midwest U.S. for heavy          5.1 million bpd of crude oil from more than 40
crude oil. Keystone also has firm contracts to                   countries. The top four suppliers were Mexico,
transport 155,000 bpd of Canadian crude oil to                   Venezuela, Saudi Arabia, and Nigeria. Of the total

                                                          ES-5
Keystone XL Project                                                                    Executive Summary − Final EIS

volume imported, approximately 2.9 million bpd was               been incorporated into the Special Permit. However,
heavy crude oil similar to the crude oil that would be           in August 2010, Keystone withdrew its application to
transported by the proposed Project; Mexico and                  PHMSA for a Special Permit. However, to enhance
Venezuela were the major suppliers. However,                     the overall safety of the proposed Project, DOS and
imports of heavy crude oil from these two countries              PHMSA continued working on Special Conditions
have been in steady decline while Gulf Coast refining            specific to the proposed Project and ultimately
capacity is projected to grow by at least 500,000 bpd            established 57 Project-specific Special Conditions.
by 2020, with or without the proposed Project.                   As a result, Keystone agreed to design, construct,
                                                                 operate, maintain, and monitor the proposed Project
PROJECT DESIGN AND SAFETY                                        in accordance with the more stringent 57 Project-
                                                                 specific Special Conditions in addition to complying
The Pipeline and Hazardous Materials Safety
                                                                 with the existing PHMSA regulatory requirements.
Administration (PHMSA), a federal agency within the
U.S. Department of Transportation, is the primary                In consultation with PHMSA, DOS determined that
federal regulatory agency responsible for ensuring the           incorporation of the Special Conditions would result in
safety of America's energy pipelines, including crude            a Project that would have a degree of safety greater
oil pipeline systems. As a part of that responsibility,          than any typically constructed domestic oil pipeline
PHMSA established regulatory requirements for the                system under current regulations and a degree of
construction, operation, maintenance, monitoring,                safety along the entire length of the pipeline system
inspection, and repair of hazardous liquid pipeline              that would be similar to that required in high
systems.                                                         consequence areas as defined in the regulations.
                                                                 Key aspects of the Special Conditions are
In 2009, Keystone applied to PHMSA for a Special
                                                                 summarized below. Appendix U of the EIS presents
Permit to operate the proposed Project at a slightly
                                                                 the Special Conditions and a comparison of the
higher pressure than allowed under the existing
                                                                 conditions with the existing regulatory requirements.
regulations. DOS worked with PHMSA to develop
Project-specific Special Conditions that would have

                                                   Figure ES-5
                                             Pipeline Cross-section




                                                          ES-6
Keystone XL Project                                                                        Executive Summary − Final EIS




Pipe Design and Manufacturing                                                            Figure ES-6
                                                                                          Smart Pig
The first nine Special Conditions present design
standards to be used in manufacturing the pipe and
requirements for pipe materials, pipe inspections at
the mill and in the field, performance tests, and quality
control procedures.

System Design, Construction and Testing
Conditions 10 through 23 address design and
construction of the proposed Project, including testing
of Project components. Those Conditions present
requirements for aspects of the proposed Project
such as field coatings, depth of cover over the
pipeline, temperature and overpressure control,
welding procedures, and testing prior to operations.
Testing requirements include hydrostatic testing, a                 Pipeline pressure is the primary indicator used by the
process which involves filling the line with water and              SCADA system to detect an oil spill. If the monitoring
increasing the pressure within the pipeline to test the             system identifies a pressure change in the pipeline,
pipeline’s ability to withstand pressure. If the test               the controller would evaluate the data to determine if
water pressure drops, further testing must be                       it is a false alarm or an actual spill. Using pipeline
conducted and reported to PHMSA, and faulty                         pressure allows the operator to detect leaks down to
pipeline sections must be repaired or replaced.                     approximately 1.5 to 2 percent of pipeline flow rate.
Operations could not begin until the entire system has
passed the required hydrostatic testing.                            The proposed Project would also include a computer-
                                                                    based system that does not rely on pipeline pressure
Operations, Maintenance, and Monitoring                             to assist in identifying leaks below the 1.5 to 2 percent
                                                                    detection thresholds.
Conditions 24 through 49 present the requirements
for the Supervisory Control and Data Acquisition                    In addition to computer monitoring, there would be
(SCADA) system that would be used to remotely                       scheduled patrols of the pipeline right-of-way as well
monitor and control the pipeline, as well as                        as public and landowner awareness programs.
requirements for internal corrosion inspection,                     Communities along the pipeline would be given
cathodic protection, identification of the location of the          information to facilitate the reporting of suspected
pipeline with aboveground markers, internal pipeline                leaks and events that could suggest a threat to
inspections using electronic sensing devices termed                 pipeline safety.
“smart pigs,” visual monitoring of the pipeline corridor,
and repair procedures. The SCADA system would                       Reporting, Record Keeping, and Certification
alert the Operations Control Center of an abnormal                  The final eight conditions present requirements for
operating condition, indicating a possible release of               maintaining detailed records, development a right-of-
oil. The system would include automatic features that               way management plan, reporting to PHMSA, and
would ensure operation within prescribed pressure                   providing PHMSA with certification from a senior
limits. There would also be a complete backup                       officer of Keystone that it has complied with the
system.                                                             Special Conditions.




                                                             ES-7
Keystone XL Project                                                                         Executive Summary − Final EIS

SPILL POTENTIAL AND RESPONSE                                         Center (NRC) database for releases and spills of
                                                                     hazardous substances and oil.
Spills could result from many causes, including
corrosion (external or internal), excavation equipment,              Based on those data, DOS calculated that there could
defects in materials or in construction, over-                       be from 1.18 to 1.83 spills greater than 2,100 gallons
pressuring the pipeline, and geologic hazards, such                  per year for the entire Project. The estimated
as ground movement, washouts, and flooding.                          frequency of spills of any size ranged from 1.78 to
Although the leak detection system would be in place,                2.51 spills per year.
some leaks might not be detected by the system. For
example, a pinhole leak could be undetected for days                 Keystone submitted a risk analysis that also included
or a few weeks if the release volume rate were small                 an estimate of the frequency of spills over the life of
and in a remote area.                                                the proposed Project. Keystone’s analysis was for
                                                                     the pipeline only and did not include releases from
In most cases the oil from a small leak would likely                 pump stations, valve stations, or the tank farm.
remain within or near the pipeline trench where it
could be contained and cleaned up after discovery.                   Keystone initially calculated a spill frequency of 1.38
As a result, for most small leaks it is likely that the oil          spills per year based only on the historical PHMSA
would be detected before a substantial volume of oil                 spill incident database available in 2008 when the
reaches the surface and affects the environment.                     application was submitted. Keystone also calculated
Spills may be identified during regular pipeline aerial              a Project-specific spill frequency for the pipeline that
inspections, by ground patrols and maintenance staff,                considered the specific terrain and environmental
or by landowners or passersby in the vicinity of the                 conditions along the proposed Project corridor,
spill.                                                               required regulatory controls, depth of cover, strength
                                                                     of materials, and technological advances in the
For larger spills, the released oil would likely migrate             design of the proposed Project. Using those factors,
from the release site. However, DOS analysis of                      Keystone estimated that there could be 0.22 spills per
previous large pipeline oil spills suggests that the                 year from the pipeline.
depth and distance that the oil would migrate would
likely be limited unless it reaches an active river,                 Spills from the Existing Keystone Oil Pipeline
stream, a steeply sloped area, or another migration                  System
pathway such as a drainage ditch.
                                                                     The existing Keystone Oil Pipeline System has
Estimated Frequency of Spills                                        experienced 14 spills since it began operation in June
                                                                     2010. The spills occurred at fittings and seals at
In spite of the safety measures included in the design,              pump or valve stations and did not involve the actual
construction, and operation of the proposed Project,                 pipeline. Twelve of the spills remained entirely within
spills are likely to occur during operation over the                 the confines of the pump and valve stations.         Of
lifetime of the proposed Project. Crude oil could be                 those spills, 7 were 10 gallons or less, 4 were 100
released from the pipeline, pump stations, or valve                  gallons or less, 2 were between 400 and 500 gallons,
stations.                                                            and 1 was 21,000 gallons.
Although a large spill could occur at the proposed                   The spill of 21,000 gallons occurred when a fitting
Cushing tank farm, each of the three 350,000-barrel                  failed at the Ludden, North Dakota pump station. As
tanks would be surrounded by a secondary                             a result, PHMSA issued a Corrective Action Order,
containment berm that would hold 110 percent of the                  halting pipeline operation. Keystone was required to
contents of the tank plus freeboard for precipitation.               consult with PHMSA before returning the pipeline to
Therefore, there would have to be a concurrent failure               operation. In that incident, most of the oil was
of the secondary containment berm for a tank-farm                    contained within the pump station, but 210 gallons
spill to reach the area outside of the tank. Such an                 discharged from the pump station to adjacent land.
event is considered unlikely.                                        The land affected was treated in place in compliance
DOS calculated estimates of spill frequency and spill                with North Dakota Department of Health land
volumes. Those estimates included potential spills                   treatment guidelines.
from the pipeline, pump stations, and valve stations.
The calculations used data from the PHMSA spill
incident database for hazardous liquid pipelines and
crude oil pipelines, and from the National Response

                                                              ES-8
Keystone XL Project                                                                     Executive Summary − Final EIS

Maximum Spill Volume                                             planning for low income and minority populations.
                                                                 The LEPCs would participate in emergency response
Keystone conducted an assessment of the maximum
                                                                 consistent with their authority under the Right-to-
potential pipeline spill volume from a complete
                                                                 Know Act and as required by their local emergency
pipeline structural failure. Keystone estimated that
                                                                 response plans.
the maximum spill volume would be approximately
2.8 million gallons, which would be possible along
less than 1.7 miles of the proposed pipeline route due
                                                                 POTENTIAL ENVIRONMENTAL IMPACTS OF
to topographic conditions. For approximately 50                  OIL SPILLS
percent of the proposed pipeline route (approximately            Impacts from an oil spill would be affected by
842 miles), the maximum spill volume would be                    variables such as the weather, time of year, water
approximately 672,000 gallons.                                   level, soil, local wildlife, and human activity. The
               Figure ES-7                                       extent of impact would also depend on the response
 Pump Station on the Existing Keystone Oil                       time and capabilities of the emergency response
             Pipeline System                                     team.
                                                                 The greatest concern would be a spill in
                                                                 environmentally sensitive areas, such as wetlands,
                                                                 flowing streams and rivers, shallow groundwater
                                                                 areas, areas near water intakes for drinking water or
                                                                 for commercial/industrial uses, and areas with
                                                                 populations of sensitive wildlife or plant species.

                                                                 General Types of Potential Impacts
                                                                 There are two primary types of impacts that occur
                                                                 with a spill of crude oil – physical impacts and
                                                                 toxicological impacts. Physical impacts typically
                                                                 consist of the coating of soils, sediments, plants, and
                                                                 animals. The coating of organisms can result in
                                                                 effects such as preventing them from feeding or
Emergency Planning                                               obtaining oxygen, reducing the insulating ability of fur
                                                                 or feathers, and adding weight to the organism so that
As required by PHMSA regulations, Keystone must                  it cannot move naturally or maintain balance. In
submit an Emergency Response Plan and a Pipeline                 addition, oil may coat beaches along rivers or lakes
Spill Response Plan to PHMSA for review prior to                 and foul other human-use resources.
initiation of operation of the proposed Project. These
plans would not be completed until the final details of          Toxicological impacts of an oil spill are a function of
the proposed Project are established in all applicable           the chemical composition of the oil, the solubility of
permits.                                                         each class of compounds in the oil, and the sensitivity
                                                                 of the area or organism exposed. Crude oil may be
If a leak is suspected, the Emergency Response Plan              toxic when ingested. Ingestion typically occurs when
and Pipeline Spill Response Plan would be initiated.             an oiled animal attempts to clean its fur or feathers.
After confirmation that a spill occurred, the operator           Some of the possible toxic effects include direct
would shut down pumps and close the isolation                    mortality, interference with feeding or reproductive
valves, actions that would require approximately 12              capacity, disorientation, reduced resistance to
minutes.                                                         disease, tumors, reduction or loss of various sensory
                                                                 perceptions, and interference with metabolic,
Local Emergency Planning Committees (LEPCs)                      biochemical, and genetic processes.
LEPCs were established as a part of the Emergency                Birds typically are the most affected wildlife due to an
Planning and Community Right-to-Know Act.                        oil spill. Oil on feathers causes hypothermia or
Keystone has committed to a communication program                drowning due to the loss of flotation, and birds may
to reach out to LEPCs along the proposed pipeline                suffer both acute and chronic toxicological effects. In
corridor during development of the Emergency                     addition, dead oiled birds may be scavenged by other
Response Plan and the Pipeline Spill Response Plan,              animals.
with particular consideration given to emergency

                                                          ES-9
Keystone XL Project                                                                        Executive Summary − Final EIS

Fish and aquatic invertebrates could also experience                impacts are typically limited to several hundred feet or
toxic impacts of spilled oil. The potential impacts                 less from a spill site. An example of a crude oil
would generally be greater in standing water habitats               release from a pipeline system into an environment
− such as wetlands, lakes and ponds − than in flowing               similar to the Northern High Plains Aquifer system
rivers and creeks.                                                  occurred in 1979 near Bemidji, Minnesota.
Crude oil spills are not likely to have toxic effects on            While the conditions at Bemidji are not fully
the general public because of the many restrictions                 analogous to the Sand Hills region, extensive studies
that local, state and federal agencies impose to avoid              of the Bemidji spill suggest that impacts to shallow
environmental exposure after a spill.                               groundwater from a spill of a similar volume in the
                                                                    Sand Hills region would affect a limited area of the
Potential Impacts to the Ogallala Aquifer and                       aquifer around the spill site. In no spill incident
other Groundwater Areas                                             scenario would the entire Northern High Plains
DOS recognizes the public’s concern for the Northern                Aquifer system be adversely affected.
High Plains Aquifer System, which includes the                      In addition to the Northern High Plains Aquifer
Ogallala aquifer formation and the Sand Hills aquifer               system, there are other groundwater areas along the
unit.                                                               proposed route, including shallow or near-surface
The Northern High Plains Aquifer system supplies 78                 aquifers. DOS in consultation with PHMSA and EPA
percent of the public water supply and 83 percent of                determined that Keystone should commission an
irrigation water in Nebraska and approximately 30                   independent consultant to review the Keystone risk
percent of water used in the U.S. for irrigation and                assessment.      The independent review will be
agriculture. Of particular concern is the part of the               conducted by a firm approved by DOS in concurrence
aquifer which lies below the Sand Hills region. In that             with PHMSA and EPA, and would focus on a review
region, the aquifer is at or near the surface.                      of valve placement and the possibility of deploying
                                                                    external leak detection systems in areas of
DOS assessed the potential impacts of the proposed                  particularly sensitive environmental resources, but
Project on many aquifer systems. The aquifer                        would not be limited to those issues. The specific
analysis included the identification of potable                     scope of the analysis will be approved by DOS,
groundwater in water wells within 1 mile of the                     PHMSA, and EPA. DOS, with concurrence from
proposed centerline of the pipeline. More than 200                  PHMSA and EPA, will determine the need for any
Public Water Supply wells, most of which are in                     additional mitigation measures resulting from the
Texas, are within 1 mile of the proposed centerline,                analysis.
and 40 private water wells are within 100 feet of the
centerline. No sole-source aquifers, or aquifers                    Potential Environmental Justice Concerns
serving as the principal source of drinking water for
                                                                    Low income and minority communities could be more
an area, are crossed by the proposed pipeline route.
                                                                    vulnerable to health impacts than other communities
The potential for a crude oil spill to reach groundwater            in the event of a spill, particularly if access to health
is related to the spill volume, the viscosity and density           care is less available in the release area. Exposure
of the crude oil, the characteristics of the environment            pathways could include direct contact with the crude
into which the crude oil is released (particularly the              oil, inhalation of airborne contaminants, or
characteristics of the underlying soils), and the depth             consumption of food or water contaminated by either
to groundwater. The depth to groundwater is less                    the crude oil or components of the crude oil.
than 10 feet for about 65 miles of the proposed route               Keystone agreed to remediate spills, restore the
in Nebraska and there are other areas of shallow                    affected areas, and provide alternative water supplies
groundwater in each state along the proposed route.                 if a spill contaminates groundwater or surface water.
Diluted bitumen and synthetic crude oil, the two types              Keystone also agreed to develop communications
of crude oil that would be transported by the proposed              directed at bilingual communities, such as signage in
Project, would both initially float on water if spilled.            both English and Spanish languages, and emergency
Over time, the lighter aromatic fractions of the crude              communications in both languages.
oil would evaporate, and water-soluble components
could enter the groundwater.                                        ALTERNATIVES CONSIDERED
Studies of oil spills from underground storage tanks                DOS considered the following three major alternative
indicate that potential surface and groundwater                     scenarios:

                                                            ES-10
Keystone XL Project                                                                     Executive Summary − Final EIS

 No Action Alternative – potential scenarios that                and reliable sources of crude oil, including the Middle
  could occur if the proposed Project is not built and            East, Africa, Mexico, and South America.
  operated;
                                                                  As a result of these considerations, DOS does not
 System Alternatives − the use of other pipeline                 regard the No Action Alternative to be preferable to
  systems or other methods of providing Canadian                  the proposed Project.
  crude oil to the Cushing tank farm and the Gulf
  Coast market;                                                   If the proposed Project is not implemented, Canadian
 Major Route Alternatives − other potential pipeline             producers would seek alternative transportation
  routes for transporting heavy crude oil from the                systems to move oil to markets other than the U.S.
  U.S./Canada border to Cushing, Oklahoma and                     Several projects have been proposed to transport
  the Gulf Coast market.                                          crude oil out of using pipelines to Canadian ports.

                                                                  Whether or not the proposed Project is implemented,
No Action Alternative
                                                                  Canadian producers would seek alternative
Under the No Action Alternative, the potential adverse            transportation systems to move oil to markets other
and positive impacts associated with building and                 than the U.S. Several projects have been proposed
operating the proposed Project would not occur.                   to transport crude oil out of the oil sands area of
However, there is an existing market demand for                   Alberta using pipelines to Canadian ports.
heavy crude oil in the Gulf Coast area. The demand
for crude oil in the Gulf Coast area is projected to              System Alternatives
increase and refinery runs are projected to grow over
                                                                  System alternatives would use combinations of
the next 10 years, even under a low demand outlook.
                                                                  existing or expanded pipeline systems, pipeline
A report commissioned by the Department of Energy                 systems that have been proposed or announced, and
(DOE) indicated that whether the proposed Project is              non-pipeline systems such as tank trucks, railroad
built or not is unlikely to impact the demand for heavy           tank cars, and barges and marine tankers to transport
crude oil by the Gulf Coast refineries. Even if                   Canadian heavy crude oil to Gulf Coast refineries.
improved fuel efficiency and broader adoption of                  None of the pipeline systems considered would be
alternative fuels reduced overall demand for oil,                 capable of transporting Canadian crude oil to Gulf
demand for Canadian heavy crude oil at Gulf Coast                 Coast delivery points in the volumes required to meet
refineries would not be substantially affected.                   Keystone’s commitments for transporting 380,000
At the same time, three of the four countries that are            bpd to delivery points in Texas. Therefore they would
major crude oil suppliers to Gulf Coast refineries                not meet the purpose of the proposed Project. A
currently face declining or uncertain production                  combination of the pipeline systems considered
horizons. As a result, those refineries are expected to           could, over time, deliver volumes of Canadian oil
obtain increased volumes of heavy crude oil from                  sands crude oil in volumes similar to the volumes that
alternative sources in both the near term and further             would be transported by the proposed Project.
into the future. Implementation of the No Action                  However, that would not meet the near-term need for
Alternative would not meet this need.                             heavy crude oil at the Gulf Coast refineries.
                                                                  Expanding the pipeline systems that were considered
If the proposed Project is not built and operated, Gulf           to meet the purpose of the proposed Project or
Coast refineries could obtain Canadian crude oil                  construction of new components or a combination of
transported through other new pipelines or by rail or             those systems would result in impacts similar to those
truck transport. Other pipeline projects have been                of the proposed Project.
proposed to transport Canadian crude oil to the Gulf
Coast area, and both rail transport and barge                     The trucking alternative would add substantial
transport could be used to meet a portion of the need.            congestion to highways in all states along the route
In addition, the Gulf Coast refineries could obtain               selected, particularly at and near the border crossing
crude oil transported by marine tanker from areas                 and in the vicinity of the delivery points. At those
outside of North America. Many of the sources                     locations it is likely that there would be significant
outside of North America are in regions that are                  impacts to the existing transportation systems.
experiencing declining production or are not secure               Trucking would also result in substantially higher
                                                                  greenhouse gas emissions and a higher risk of
                                                                  accidents than transport by pipeline.

                                                          ES-11
Keystone XL Project                                                                         Executive Summary − Final EIS

Development of a rail system to transport the volume                 The Western Alternative was eliminated since it was
of crude oil that would be transported by the proposed               financially impracticable. Although the other four
Project would likely produce less impact from                        route alternatives could have been eliminated based
construction than would the proposed Project                         on consideration of economical and technical
because it could be done using existing tracks.                      practicability and feasibility without further evaluation,
However, there would be greater safety concerns and                  they were nonetheless examined further with an
greater impacts during operation, including higher                   emphasis on groundwater resources. The I-90
energy use and greenhouse emissions, greater noise                   Corridor and Keystone Corridor alternatives would all
impacts, and greater direct and indirect effects on                  avoid the Sand Hills; however, they would not avoid
many more communities than the proposed Project.                     the Northern High Plains Aquifer system, and they
                                                                     would not avoid areas of shallow groundwater.
As a result of these considerations as described in                  Instead, these routes would shift risks to other areas
Section 4.2 of the EIS, system alternatives were                     of the Northern High Plains Aquifer system and to
considered either not reasonable or not                              other aquifers.
environmentally preferable.
                                                                     In addition, these alternatives would be longer than
Major Route Alternatives                                             the proposed route and would disturb more land and
The analysis of route alternatives considered 14                     cross more water bodies than the proposed route. In
major route alternatives. Figure ES-8 depicts the                    addition, I-90 Corridor Alternatives A and B require
alternative routes considered. The analysis of                       crossing Lake Francis Case on the Missouri River
alternatives routes was conducted following the                      which would pose technical challenges due to the
approach to assessments of alternative pipeline                      width of the reservoir and the slope of the western
routes used by the Federal Energy Regulatory                         side of the crossing area.
Commission. As a result, the analysis began with a
                                                                     Keystone Corridor Alternatives 1 and 2 would cost
screening process that first established criteria for
                                                                     about 25 percent more than the proposed Project
screening alternatives, then identified potential
                                                                     (about $1.7 billion more) and implementation of either
alternatives that met the criteria, and determined
                                                                     of those alternatives would compromise the Bakken
whether or not they would (1) meet the purpose of
                                                                     Marketlink Project and the opportunity to transport
and need for the proposed Project, and (2) be
                                                                     crude oil from the producers in the Bakken formation
technically and economically practicable or feasible.
                                                                     to markets in Cushing and the Gulf Coast.
For those alternatives meeting the criteria, DOS
assessed whether or not the alternative offered an                   Based on the above considerations and as described
overall environmental advantage over the proposed                    in Section 4.3 of the EIS, DOS eliminated the major
route.                                                               potential route alternatives from further consideration.
Due to public concern regarding the Ogallala Aquifer
(Northern High Plains Aquifer system) and the Sand                   Route Variations and Minor Realignments
Hills region, 5 of the alternative routes were                       A route variation is a relatively short deviation from a
developed to either minimize the pipeline length over                proposed route that replaces a segment of the
those areas or avoid the areas entirely. These                       proposed route. Variations are developed to resolve
alternative routes consisted of I-90 Corridor                        landowner concerns and impacts to cultural resource
Alternatives A and B, Keystone Corridor Alternatives                 sites, wetlands, recreational lands, and terrain.
1 and 2 (which are parallel to all or part of the route of
the existing Keystone Oil Pipeline System), and the                  DOS consulted with the Bureau of Land Management
Western Alternative.                                                 and state agencies to negotiate route variations and
                                                                     minor realignments, including nearly 100 in Montana
The assessment considered the environmental                          and about 240 minor realignments in other states
characteristics of the areas that these alternatives                 along the proposed route. Additional route variations
would cross, including the presence of aquifers, the                 and minor realignments may be added in response to
depth of wells, developed land, forested areas,                      specific conditions that may arise throughout the
wetlands, and streams and rivers.                                    construction process.




                                                             ES-12
Keystone XL Project                              Executive Summary − Final EIS

                            Figure ES-8
                      Major Route Alternatives




                               ES-13
Keystone XL Project                                                                     Executive Summary − Final EIS

The variations and minor realignments would replace                 Keystone would comply with all applicable laws
short segments of the proposed Project, are relatively               and regulations;
close to the proposed route, and would be
implemented in accordance with applicable regulatory                The proposed Project would be constructed,
requirements of federal, state, or local permitting                  operated, and maintained as described in the
agencies. DOS considers the variations and minor                     EIS;
realignments selected to have been evaluated                        Keystone has agreed to incorporate the 57
sufficiently to meet the environmental review                        Project-specific Special Conditions developed by
requirements of the National Environmental                           PHMSA into the proposed Project;
Protection Act.
                                                                    Keystone has agreed to implement the measures
Other Alternatives Considered                                        designed to avoid or reduce impacts described in
                                                                     its application for a Presidential Permit and
DOS also considered several other scenarios in                       supplemental filings with DOS, the measures in
response to comments on the draft EIS. The                           its Construction, Mitigation, and Reclamation
alternative pipeline designs considered consisted of                 (CMR) Plan presented in Appendix B of the EIS,
an aboveground pipeline and a smaller diameter pipe                  and the construction methods for the Sand Hills
to decrease the volume of oil released from a spill.                 region described in Appendix H to the EIS; and
DOS also considered alternative sites for the major
aboveground facilities of the proposed Project,                     Keystone would incorporate the mitigation
including pump stations, mainline valves, and the                    measures required in permits issued by
Cushing tank farm. None of the alternative designs or                environmental permitting agencies into the
facility locations were considered safer or                          construction, operation, and maintenance of the
environmentally preferable to the proposed Project                   proposed Project.
design.
                                                                 Environmental Justice
Agency Preferred Alternative                                     Executive Order 12898 requires federal agencies to
DOS did not find any of the major alternatives to be             address and mitigate potential adverse impacts to
preferable to the proposed Project for the reasons               minority and low income populations. In consultation
presented in the final EIS and summarized above. As              with EPA, DOS identified these communities within a
a result, the agency-preferred alternative is the                4-mile-wide corridor centered on the pipeline using
proposed Project route with the variations and minor             census and county level data.
route realignments described in the EIS, and the                 Potential Construction Impacts: The assessment
proposed location of the Cushing tank farm.                      suggested that potential impacts to minority and low
                                                                 income populations could occur primarily in Harris,
ENVIRONMENTAL ANALYSES                                           Jefferson, and Angelina Counties in Texas and in
Four levels of impact duration were considered in the            Lincoln County, Oklahoma. During construction,
analysis of potential environmental impacts due to               potential impacts include exposure to increased dust
construction and normal operation of the proposed                and noise, disruption of traffic patterns, and increased
Project: temporary, short-term, long-term, and                   competition for social services in underserved
permanent. Temporary impacts generally occur                     populations. At any given location along the
during construction, with the resources returning to             proposed pipeline route, the duration of the
pre-construction conditions almost immediately                   construction period would typically range from 20 to
afterward. Short-term impacts could continue for                 30 working days. As a result, the impacts to minority
approximately 3 years after construction, and impacts            and low-income populations due to construction
were considered long term if the resources would                 would be temporary and minor.
require more than 3 years to recover. Permanent                  Medical Services: Areas along the pipeline route that
impacts would occur if the resources would not return            are medically underserved may be more vulnerable
to pre-construction conditions during the life of the            during construction periods. These communities have
proposed Project, such as impacts to land use due to             been identified as Health Professional Shortage
installation of pump stations.                                   Areas or Medically Underserved Areas/Populations.
Conclusions in the EIS are based on the analysis of              However, construction-related disruptions in those
environmental impacts and the understanding that:                areas would be temporary and minor. In areas in


                                                         ES-14
Keystone XL Project                                                                      Executive Summary − Final EIS

Montana and South Dakota, minor medical needs of                   the proposed Project and is currently refined in large
workers would be handled in construction camps to                  quantities by Gulf Coast refineries.
avoid or minimize the need for medical services from
                                                                   The proposed Project is not likely to impact the
the surrounding communities.
                                                                   amount of crude oil produced from the oil sands.
Air Emissions Related to Environmental Justice                     However, for illustrative purposes, the DOS-
Issues: The refineries that are likely to receive oil              commissioned study estimated that incremental life-
transported by the pipeline are already configured to              cycle U.S. greenhouse gas emissions from displacing
process heavy crude oil, and in the future would seek              reference crude oils with Canadian oil sands crude
to continue processing heavy crude oil whether or not              oils imported through the proposed Project would be
the proposed pipeline is constructed. The analysis in              between 3 and 21 million metric tons of carbon
the EIS, including a DOE-commissioned study,                       dioxide emissions annually. This range is equivalent
indicates that the proposed Project would not likely               to annual greenhouse gas emissions from the
affect the overall quality or quantity of crude oil                combustion of fuels in 588,000 to 4,061,000
refined in the Gulf Coast region, and, as a result,                passenger vehicles.
would not likely effect refinery emissions.
                                                                   In addition, current projections suggest that the
                                                                   amount of energy required to extract all crude oils is
Greenhouse Gas Emissions
                                                                   projected to increase over time due to the need to
DOS commissioned a detailed study of greenhouse                    extract oil from ever deeper reservoirs using more
gas life-cycle emissions that compared Canadian oil                energy intensive techniques. However, while the
sands crude with other selected reference crudes.                  greenhouse gas intensity of reference crude oils may
This study was a thorough review of recent scientific              trend upward, the projections for the greenhouse gas
literature on greenhouse gas life-cycle emissions for              intensity of Canadian oil sands crude oils suggests
Canadian oil sands crude including extraction,                     that they may stay relatively constant. Although there
upgrading, transportation, refining, and combustion.               is some uncertainty in the trends for both reference
The study’s major conclusion was that, throughout its              crude oils and oil sands derived crude oils, on
life cycle, oil sands crude is, on average, more                   balance it appears that the gap in greenhouse gas
greenhouse gas intensive than the crude oil it would               intensity may decrease over time.
replace in the U.S. However, the relative greenhouse
                                                                   Geology and Soils
gas intensity varies depending on (1) study design
factors, such as the reference crudes selected for                 Geologic Hazards: Potential geologic hazards
comparison with Canadian oil sands crudes (e.g.,                   assessed in the EIS include seismic hazards
2005 U.S. average crude oil, Venezuelan                            (earthquakes), landslides, or subsidence (sink holes).
Bachaquero, Middle East Sour, and Mexican Heavy)                   The proposed route extends through relatively flat
and the timeframe selected, and (2) study                          and stable areas and the potential for these events is
assumptions, such as the extraction method and the                 low. The pipeline would not cross any known active
mix of crudes that would be transported by the                     faults with confirmed surface offsets.         During
pipeline.                                                          construction, land clearing could increase the risk of
                                                                   landslides and erosion. Keystone agreed to construct
For example, the Department of Energy’s National
                                                                   temporary erosion control systems and revegetate the
Environmental Technology Lab (NETL) study
                                                                   right-of-way after construction.
indicated that the life-cycle greenhouse gas
emissions of gasoline produced from Canadian oil                   There is a risk of subsidence (sink holes) where the
sands crude are approximately 17 percent higher                    proposed route potentially crosses karst formations in
than gasoline from the 2005 average mix of crude oil               Nebraska, Oklahoma, and Texas. Site-specific
consumed in the U.S. The NETL study serves as a                    studies would be conducted as necessary to
key input for analyses conducted by EPA and DOE.                   characterize the karst features, if they are
In comparison, a study conducted by TIAX, LLC,                     encountered, and evaluate and modify construction
found that the greenhouse gas emissions from                       techniques as necessary in these areas. The overall
gasoline produced from Canadian oil sands crude are                risk to the pipeline from karst-related subsidence is
only 2 percent higher when compared to gasoline                    expected to be minimal.
from Venezuelan heavy crude, a type of crude oil that
                                                                   Soils and Sediments: Potential impacts to soils
is similar to the crude oil that would be transported by
                                                                   include soil erosion, loss of topsoil, soil compaction,
                                                                   soil contamination, damage to existing tile drainage

                                                           ES-15
Keystone XL Project                                                                     Executive Summary − Final EIS

systems, and permanent increases in the proportion               crossing location and the requirements of the
of large rocks in the topsoil. However, Keystone                 permitting agencies.
agreed to construction procedures that are designed
                                                                 The open-cut wet method, which involves trenching
to reduce the likelihood and severity of Project
                                                                 while the stream is flowing, would result in temporary
impacts to soils and sediments, including topsoil
                                                                 increases in turbidity and bank erosion where
segregation methods, and to mitigate impacts to the
                                                                 vegetation is removed. The dry-cut method, which
extent practicable.
                                                                 involves diverting stream flow around the construction
Sand Hills Region: Of particular concern is the soil             site, results in lower increases in turbidity than the
of the Sand Hills region of Nebraska, which is                   open-cut wet method.
particularly vulnerable to wind erosion. To address
                                                                 Horizontal directional drilling would minimize impacts
this concern, Keystone developed and agreed to
                                                                 to the stream or river because it involves drilling well
construction, reclamation, and post-construction
                                                                 below the streambed. This method would be selected
procedures specifically for this area in consultation
                                                                 at large body crossings to avoid disturbing the
with local experts and state agencies. The goal of the
                                                                 streambeds and streamflow and to reduce the
Sand Hills region reclamation plan is to protect this
                                                                 potential that deep scour during flooding would
sensitive area by maintaining soil structure and
                                                                 endanger pipeline integrity. Figure ES-9 presents a
stability, stabilizing slopes to prevent erosion,
                                                                 cross section of a river crossing using the horizontal
restoring native grass species, and maintaining
                                                                 directional drilling method.
wildlife habitat and livestock grazing areas. Keystone
agreed to monitor the right-of-way through the Sand              At all water crossings, Keystone agreed to use
Hills region for several years to ensure that                    vegetative buffer strips, drainage diversion structures,
reclamation and revegetation efforts are successful.             and sediment barriers, and limit vegetation clearing to
                                                                 reduce siltation and erosion. After construction, the
Water Resources                                                  right-of-way would be restored and revegetated to
                                                                 reduce the potential for erosion of the stream bank.
Groundwater: Many of the aquifers along the
proposed route are isolated from the surface due to              Hydrostatic Test Water: Water used to pressure test
soil types above the aquifers that prevent or slow               the pipeline during construction would be discharged
downward migration of water. However, shallow or                 to its source waters or to an approved upland area
near-surface aquifers are also present along the                 within the same drainage and tested to ensure it
proposed route, as discussed above. Construction of              meets applicable water quality standards and
the proposed Project may result in temporary to short-           discharge rates.
term increases in suspended solids in the shallow
aquifers. The risk of dewatering shallow groundwater             Wetlands
aquifers during construction or reducing groundwater             The proposed Project route crosses emergent,
quality due to increased sediments in the water would            scrub/shrub, and forested wetlands that are protected
be temporary to short term.                                      by the U.S. Army Corps of Engineers (USACE) and
At some locations, groundwater may be used as a                  applicable state agencies under the review of EPA
source of water for pressure testing the pipeline                through Section 401 and 404 of the Clean Water Act.
during construction. Keystone must obtain all                    Specific plans regarding wetland avoidance and
applicable water withdrawal and discharge permits                minimization of impacts, and the development of
prior to testing, and the test water would be tested             mitigation to compensate for the permanent loss or
and discharged in accordance with permit                         conversion of forested to emergent wetlands would
requirements.                                                    be further developed during the permitting process.
                                                                 Wetland impacts presented in the EIS represent
River and Stream Crossings: Surface water bodies                 preliminary estimates based on the best available
would be crossed using one of three methods: the                 wetland information. DOS reviewed potential impacts
open-cut wet method, the dry-cut method, or the                  to wetlands and the avoidance, minimization, and
horizontal directional drilling method. The method               mitigation process that would be followed with
selected would be based on the characteristics of the            USACE and EPA.




                                                         ES-16
Keystone XL Project                                                                   Executive Summary − Final EIS


                                              Figure ES-9
                         Cross Section of Horizontal Directional Drilling Method




Most wetlands crossed by the proposed Project in                 Texas Bottomland Hardwood Wetlands: These are
Montana, South Dakota, and Nebraska are emergent                 forested wetlands with trees, such as Bald Cypress,
wetlands, and most wetlands crossed by the                       Water Oak, Water Hickory, and Swamp Tupelo that
proposed Project in Oklahoma and Texas are                       can exist in lowland floodplains in the Gulf Coast
forested wetlands. Construction of the pipeline would            states. Clearing bottomland hardwood trees during
affect wetlands and their functions primarily during             construction would result in long-term to permanent
and immediately after construction activities, but               impacts because forests require decades to re-
permanent changes also are possible. Keystone                    establish and would mature over the span of
agreed to use construction methods that avoid or                 centuries. DOS reviewed potential Project impacts on
minimize impacts to wetlands. These measures                     bottomland hardwood wetlands with EPA and
include installing trench breakers and/or sealing the            USACE. Preliminary mitigation measures to protect
trench to maintain the original wetland hydrology to             bottomland hardwood wetlands are discussed in the
avoid draining wetlands, using timber mats to protect            EIS and would be developed further by the USACE
wetlands during construction, and restoring wetland              during the wetland permitting process.
areas to a level consistent with the requirements of
the applicable permits.                                                         Figure ES-10
Most wetland vegetation communities would transition                 Texas Bottomland Hardwood Wetland
back into a community that would function similarly to
the previously undisturbed wetland. Because most
wetlands would be restored, the overall impact of the
proposed Project to wetlands would be minor to
moderate and would range in duration from short term
to the life of the proposed Project. However, some
forested and scrub-shrub wetlands over the pipeline
would be converted to herbaceous wetlands since
trees and shrubs would not be allowed to grow over
the pipeline for inspection and integrity purposes.
Keystone is working with each USACE district along
the proposed route to identify wetlands and to
develop wetland mitigation and compensation plans
for the permanent conversion of forested wetland to
herbaceous wetland.

                                                         ES-13
Keystone XL Project                                                                      Executive Summary − Final EIS

Terrestrial Vegetation                                             communities would result in long-term impacts
                                                                   because trees would be required to remain outside of
The proposed Project crosses primarily grasslands
                                                                   the 50-foot-wide permanent right-of-way. These
and rangelands, followed by croplands, upland
                                                                   impacts would last throughout the life of the proposed
forests, developed lands, and wetlands. After
                                                                   Project because trees would not be allowed to
construction, Keystone agreed to restore topsoil,
                                                                   reestablish within the permanent right-of-way and
slopes, contours, and drainage patterns to
                                                                   because forests require decades to re-establish and
preconstruction conditions as practicable and to
                                                                   would mature over the span of centuries.
reseed disturbed areas to restore vegetation cover,
prevent erosion, and control noxious weeds.
                                                                   Wildlife
Keystone committed to controlling the introduction
and spread of noxious weeds and pests by adhering                  Big game animals, small game animals and
to construction and restoration procedures                         furbearers, waterfowl and game birds, and other
recommended by local, state, and federal agencies.                 nongame animals use habitats in and around the six
Soils and vegetation over the pipeline would be                    states crossed by the proposed Project. Construction
warmed slightly compared to surrounding soils by                   would result in the temporary and permanent loss and
heat loss from the pipeline during operation.                      alteration of habitats which provide foraging, cover,
                                                                   and breeding habitats for wildlife. Most habitat loss
Native Grasslands and Rangelands: Native mixed
                                                                   would be temporary as vegetation cover would be re-
shrub rangelands would be crossed by the proposed
                                                                   established after construction and would be small in
Project in Montana and South Dakota and native
                                                                   context to habitats available throughout the region
grasslands would be crossed by the proposed Project
                                                                   crossed by the proposed Project. Loss of shrublands
in the Sand Hills region in Nebraska. Both of these
                                                                   and wooded habitats would be long-term (from 5 to
native prairie habitats would be challenging to
                                                                   20 years or more), however; and trees and tall shrubs
reclaim. In recognition of these challenges, Keystone
                                                                   would not be allowed to re-establish over the pipeline
developed specific construction and reclamation
                                                                   for inspection and integrity purposes. Aboveground
methods for the proposed Project in consultation with
                                                                   facilities would result in some permanent habitat loss.
local, state, and federal agencies and local experts to
                                                                   Power lines to pump stations can provide vantage
ensure that sagebrush and native grasses are
                                                                   perches for raptors that lead to increased predation
restored to rangelands in Montana and South Dakota
                                                                   on ground nesting birds and small mammals.
and that fragile soils and diverse native vegetation
                                                                   Construction can produce short-term barriers to
cover are re-established in the Sand Hills region of
                                                                   wildlife movement, direct and indirect mortality, and
Nebraska.
                                                                   reduced survival and reproduction. Disturbance from
                  Figure ES-11                                     construction activities may have moderate local
               Sand Hills Grassland                                affects on wildlife if important remnant habitats are
                                                                   crossed or when sensitive breeding or overwintering
                                                                   periods are not avoided. Habitat alteration and
                                                                   fragmentation caused by the pipeline right-of-way
                                                                   may reduce habitat suitability and use by wildlife.
                                                                   Construction could also produce short-term barriers to
                                                                   wildlife movement, direct and indirect mortality, and
                                                                   reduced survival and reproduction. Disturbance from
                                                                   construction activities would have moderate local
                                                                   affects on wildlife if important remnant habitats are
                                                                   crossed or when sensitive breeding or overwintering
                                                                   periods are not avoided. Habitat alteration and
                                                                   fragmentation caused by construction of the pipeline
                                                                   could reduce habitat suitability and use by wildlife.

Upland and Riparian Forests: Native forests,                       During the environmental review of the proposed
                                                                   Project, state and federal wildlife management
especially forested floodplains, were once an integral
component of the landscape throughout the Great                    agencies were contacted and they provided
Plains and they provide important habitats for wildlife.           information on sensitive seasons and wildlife habitats
                                                                   such as big game overwintering habitats, important
Clearing trees in upland and riparian forest
                                                                   riparian corridors, and raptor and other migratory bird

                                                           ES-18
Keystone XL Project                                                                       Executive Summary − Final EIS

nesting habitats. In addition state and federal wildlife           impacts from construction of stream crossings include
management agencies provided recommendations for                   siltation, sedimentation, bank erosion, sediment
surveys to more specifically locate areas such as                  deposition, short-term delays in movements of fish,
raptor nests and prairie dog colonies that could                   and transport and spread of aquatic invasive animals
potentially be avoided. Keystone is working with state             and plants. Keystone has agreed to minimize vehicle
and federal wildlife management agencies to                        contact with surface waters and to clean equipment to
minimize impacts to wildlife during sensitive breeding             prevent transportation of aquatic invasive animals and
periods. Measures developed to minimize impacts to                 plants on equipment.
wildlife include development of a Migratory Bird
                                                                   Most streams would be crossed using one of several
Conservation Plan in consultation with the USFWS,
                                                                   trenching methods. Trenching stream crossings
removal of litter and garbage that could attract
                                                                   when water is still flowing through the stream bed can
wildlife, control of unauthorized off-road vehicle
                                                                   result in destruction of fish that do not avoid the
access to the construction right-of-way, and
                                                                   construction area. Trenching methods may also use
reclamation of native range with native seed mixes.
                                                                   dams, pumps, and flumes to divert the stream flow
Overall, the impact of construction to wildlife is
                                                                   around the trench location to allow a “dry” trenching
expected to be minor and would be primarily
                                                                   method. However, direct disturbance to the stream
temporary to short term. Normal Project operation
                                                                   bed can release fine sediments during construction
would result in negligible effects to wildlife.
                                                                   through flowing waters or after the flow is returned to
                    Figure ES-12                                   the stream bed. Sediment would be transported
                     Mule Deer                                     downstream and could affect fish, other aquatic life,
                                                                   and aquatic habitats through either direct exposure or
                                                                   smothering.     Most stream crossings would be
                                                                   completed in less than 2 days, grading and
                                                                   disturbance to waterbody banks would be minimized,
                                                                   and crossings would be timed to avoid sensitive
                                                                   spawning periods, such that resulting steam bed
                                                                   disturbance and sediment impacts would be
                                                                   temporary and minor.
                                                                   Most large rivers would be crossed using the
                                                                   horizontal directional drilling method which would
                                                                   install the pipeline well below the active river bed. As
                                                                   a result, direct disturbance to the river bed, fish,
                                                                   aquatic animals and plants, and river banks would be
                                                                   avoided. Keystone has developed site specific plans
                                                                   for horizontal directional drill crossings and has
                                                                   agreed to develop site-specific contingency plans to
                                                                   address unintended releases of drilling fluids that
                                                                   include preventative measures and a spill response
                                                                   plan.
Keystone must work with state and federal wildlife
management agencies to minimize impacts to wildlife                                  Figure ES-13
during sensitive breeding periods. Overall, the impact                            Recreational Fishing
of construction to wildlife is expected to be minor and
would be primarily temporary to short term. Normal
Project operation would result in negligible effects to
wildlife.

Fisheries Resources
The proposed route would cross rivers and streams,
including perennial streams that support recreational
or commercial fisheries. Most potential impacts to
fisheries resources would occur during construction
and would be temporary to short term. Potential

                                                           ES-19
Keystone XL Pipeline Final EIS Executive Summary
Keystone XL Pipeline Final EIS Executive Summary
Keystone XL Pipeline Final EIS Executive Summary
Keystone XL Pipeline Final EIS Executive Summary
Keystone XL Pipeline Final EIS Executive Summary

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Keystone XL Pipeline Final EIS Executive Summary

  • 1. EXECUTIVE SUMMARY Final Environmental Impact Statement for the Proposed Keystone XL Project August 26, 2011 g United States Department of State Bureau of Oceans and International Environmental and Scientific Affairs
  • 2. Keystone XL Project Executive Summary − Final EIS Table of Contents INTRODUCTION.................................................................................................................................................. ES-1 PRESIDENTIAL PERMITTING PROCESS .......................................................................................................... ES-1 SUMMARY OF THE KEYSTONE XL PROJECT .................................................................................................. ES-1 Transport of Canadian Oil Sands Crude Oil ..................................................................................................... ES-2 Transport of U.S. Crude Oil .............................................................................................................................. ES-3 Other Connected Actions ................................................................................................................................. ES-3 PURPOSE OF AND NEED FOR THE KEYSTONE XL PROJECT ........................................................................ ES-5 PROJECT DESIGN AND SAFETY .......................................................................................................................ES-6 Pipe Design and Manufacturing ....................................................................................................................... ES-7 System Design, Construction and Testing ....................................................................................................... ES-7 Operations, Maintenance, and Monitoring........................................................................................................ ES-7 Reporting, Record Keeping, and Certification .................................................................................................. ES-7 SPILL POTENTIAL AND RESPONSE .................................................................................................................. ES-8 Estimated Frequency of Spills .......................................................................................................................... ES-8 Spills from the Existing Keystone Oil Pipeline System ..................................................................................... ES-8 Maximum Spill Volume ..................................................................................................................................... ES-9 Emergency Planning ........................................................................................................................................ ES-9 Local Emergency Planning Committees (LEPCs) ............................................................................................ ES-9 POTENTIAL ENVIRONMENTAL IMPACTS OF OIL SPILLS ................................................................................ ES-9 General Types of Potential Impacts ................................................................................................................. ES-9 Potential Impacts to the Ogallala Aquifer and other Groundwater Areas ....................................................... ES-10 Potential Environmental Justice Concerns ..................................................................................................... ES-10 ALTERNATIVES CONSIDERED........................................................................................................................ ES-10 No Action Alternative ...................................................................................................................................... ES-11 System Alternatives ....................................................................................................................................... ES-11 Major Route Alternatives ................................................................................................................................ ES-12 Route Variations and Minor Realignments ..................................................................................................... ES-12 Other Alternatives Considered ....................................................................................................................... ES-14 Agency Preferred Alternative ......................................................................................................................... ES-14 ENVIRONMENTAL ANALYSES......................................................................................................................... ES-14 Environmental Justice .................................................................................................................................... ES-14 Greenhouse Gas Emissions........................................................................................................................... ES-15 Geology and Soils .......................................................................................................................................... ES-15 Water Resources ........................................................................................................................................... ES-16 Wetlands ........................................................................................................................................................ ES-16 Terrestrial Vegetation ..................................................................................................................................... ES-18 Wildlife............................................................................................................................................................ ES-18 Fisheries Resources ...................................................................................................................................... ES-19 Threatened and Endangered Species ............................................................................................................ ES-20 Cultural Resources ......................................................................................................................................... ES-20 Air Quality and Noise ..................................................................................................................................... ES-21 Land Use, Recreation, and Visual Resources ................................................................................................ ES-21 Socioeconomics ............................................................................................................................................. ES-22 Cumulative Impacts ........................................................................................................................................ ES-22 Environmental Impacts in Canada ................................................................................................................. ES-22 EIS CONTENTS..................................................................................................................................................... ES-24 ES-i
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  • 4. Keystone XL Project Executive Summary − Final EIS INTRODUCTION with expertise in key areas of concern related to the proposed Project. In September 2008, TransCanada Keystone Pipeline, LP (Keystone) filed an application for a Presidential The determination of national interest involves Permit with the U.S. Department of State (DOS) to consideration of many factors, including energy build and operate the Keystone XL Project. The security; environmental, cultural, and economic proposed Project would have the capacity to transport impacts; foreign policy; and compliance with relevant 700,000 barrels per day (bpd) of crude oil to delivery federal regulations. Before making a decision, DOS points in Oklahoma and southeastern Texas. will consult with the eight federal agencies identified in Executive Order 13337: the Departments of This Executive Summary of the final environmental Energy, Defense, Transportation, Homeland Security, impact statement (final EIS) summarizes the Justice, Interior, and Commerce, and the proposed Project, including the purpose of and need Environmental Protection Agency (EPA). DOS will for the Project, and the major conclusions and areas also solicit public input on the national interest of concern raised by agencies and the public. More determination by accepting written comments and detailed information on the proposed Project, holding comment meetings in the six alternatives to the proposed Project, states traversed by the proposed Aboveground Facilities and the associated potential route and in Washington, D.C. environmental impacts is presented in  30 pump stations on 5- to15-acre the final EIS that is provided in the CD sites Figure ES-1 lists the major events,  Delivery facilities at Cushing, public outreach activities, and other in the sleeve on the back page. Oklahoma and Nederland and Moore Junction, Texas details of the environmental review PRESIDENTIAL PERMITTING  Densitometer sites located at all and national interest determination PROCESS injection points and at all delivery processes. points All facilities which cross the  112 mainline valves along pipeline SUMMARY OF THE KEYSTONE international borders of the United and 2 mainline valves at each pump station XL PROJECT States require a Presidential Permit.  Tank farm at Cushing, Oklahoma For liquid hydrocarbon pipelines, the on a 74-acre site The proposed Keystone XL Project President, through Executive Order consists of a crude oil pipeline and See Section 2.2 for further related facilities that would primarily 13337, directs the Secretary of State to information on aboveground facilities. decide whether a project is in the be used to transport Western national interest before granting a Presidential Permit. Canadian Sedimentary Basin crude oil from an oil supply hub near Hardisty, Alberta, As part of the Presidential Permit review process, Canada to delivery points in Oklahoma and Texas. DOS determined that it should prepare an EIS The proposed Project would also be capable of consistent with the National Environmental Policy Act transporting U.S. crude oil to those delivery points. (NEPA). DOS is the lead federal agency for the The U.S. portion of the pipeline would begin near NEPA environmental review of the Proposed Project Morgan, Montana at the international border of the because the need for a Presidential Permit is the United States and extend to delivery points in most substantial federal decision related to the Nederland and Moore Junction, Texas. There would Proposed Project. To assist in preparing the EIS, also be a delivery point at Cushing, Oklahoma. DOS retained an environmental consulting firm, These three delivery points would provide access to Cardno ENTRIX, following DOS guidelines on third- many other U.S. pipeline systems and terminals, party contracts. The DOS environmental and safety including pipelines to refineries in the U.S. Gulf Coast review of the proposed Project that lead to the final region. Market conditions, not the operator of the EIS was conducted for nearly 3 years and included pipeline, would determine the refining locations of the consultations with the third-party contractor, crude oil. cooperating agencies, and scientists and engineers ES-1
  • 5. Keystone XL Project Executive Summary − Final EIS Figure ES-1 U.S. Department of State Environmental and National Interest Determination Review Processes The proposed Keystone XL pipeline would consist of the bitumen to a point where it liquefies and can be approximately 1,711 miles of new 36-inch-diameter pumped to the surface. pipeline, with approximately 327 miles of pipeline in Bitumen is treated in several ways to create crude oil Canada and 1,384 miles in the U.S. Figure ES-3 suitable for transport by pipeline and refining. The depicts the three segments of the proposed Project in types of Canadian crude oil that would be transported the U.S. As noted in that illustration, the proposed by the proposed Project would primarily consist of Project would connect to the northern and southern synthetic crude oil and diluted bitumen. ends of the existing Cushing Extension of the Keystone Oil Pipeline System. Synthetic crude oil is produced from bitumen using refining methods – a process termed upgrading – that Figure ES-4 illustrates the construction sequence that in general converts bitumen into lighter liquid would be followed for the proposed Project. The hydrocarbons. In other words, the bitumen is proposed Project would also include 30 electrically converted into a crude oil similar to conventional operated pump stations, 112 mainline valves, 50 crude oil. permanent access roads, and a new oil storage facility in Cushing, Oklahoma. If market conditions Figure ES-2 change, the capacity of the proposed Project could be 36-Inch-Diameter Crude Oil Pipe increased to 830,000 bpd by increasing pumping capacity at the proposed pump stations. The overall proposed Keystone XL Project is estimated to cost $7 billion. If permitted, it would begin operation in 2013, with the actual date dependant on the necessary permits, approvals, and authorizations. Transport of Canadian Oil Sands Crude Oil The proposed Keystone XL Project would primarily transport crude oil extracted from the oil sands areas in Alberta, Canada. Oil sands (which are also referred to as tar sands) are a combination of clay, sand, water, and bitumen, which is a material similar to soft asphalt. Bitumen is extracted from the ground by mining or by injecting steam underground to heat ES-2
  • 6. Keystone XL Project Executive Summary − Final EIS Figure ES-1 (Cont.) U.S. Department of State Environmental and National Interest Determination Review Processes Diluted bitumen – often termed dilbit – consists of These fields have experienced high growth in the last bitumen mixed with a diluent, which is a light few years as new technology has allowed the oil to be hydrocarbon liquid such as natural gas condensate or profitably extracted. Keystone currently has long- refinery naphtha. The bitumen is diluted to reduce its term commitments for transporting 65,000 bpd of viscosity so that it is in a more liquid form that can be crude oil in the proposed Keystone XL Project from transported via pipeline. Dilbit is also processed to the Bakken Marketlink Project. remove sand, water, and other impurities. The The Cushing Marketlink Project would allow transport diluents in dilbit are integrally combined with the of up to 150,000 bpd on the proposed Project from bitumen to form a crude oil that is a homogenous the Cushing, Oklahoma area to the proposed mixture that does not physically separate when Keystone XL Project delivery points in Texas. released. Both synthetic crude oil and dilbit are Pipe Specifications Other Connected Actions similar in composition and quality to the • Material: High-strength X70 In addition to the Marketlink projects, crude oils currently transported in steel pipe, API 5L there are two other types of connected pipelines in the U.S. and being refined • Outside diameter: 36 inches • Operating Pressure: 1,308 psig actions associated with the proposed in Gulf Coast refineries. Neither type of Project: electrical distribution lines and • External Coating: fusion-bonded crude oil requires heating for transport epoxy substations that would provide power in pipelines. for the pump stations, and an electrical See Section 2.3.1 for further information on pipe specifications. transmission line that would be required Transport of U.S. Crude Oil to ensure transmission system reliability In late 2010, Keystone Marketlink, LLC announced when the proposed Project is operating at maximum plans for two separate projects that would enable capacity. Those projects would not be built or crude oil from domestic sources to be transported in operated by Keystone, and the permit applications for the proposed Keystone XL Project. Those two those projects would be reviewed and acted on by projects, the Bakken Marketlink Project and the other agencies. Although only limited information was Cushing Marketlink Project, are considered available on the design, construction, and operation “connected actions” under NEPA. The Bakken of the projects, DOS assessed the potential impacts Marketlink Project would allow transport of up to of the projects based on currently available 100,000 bpd of crude oil from the Bakken formation in information. the Williston Basin in Montana and North Dakota. ES-3
  • 7. Keystone XL Project Executive Summary − Final EIS Figure ES-3 Proposed Pipeline Route ES-4
  • 8. Keystone XL Project Executive Summary − Final EIS Figure ES-4 Typical Pipeline Construction Sequence PURPOSE OF AND NEED FOR THE Cushing, Oklahoma in the existing Keystone Oil KEYSTONE XL PROJECT Pipeline Project. If the proposed Project is approved and implemented, Keystone would transfer shipment The primary purpose of the proposed Project is to of crude oil under those contracts to the proposed provide the infrastructure necessary to transport Project. Although there is sufficient pipeline capacity Western Canadian Sedimentary Basin heavy crude from Canada to the U.S. in general to accommodate oil from the U.S. border with Canada to delivery projected additional imports of Canadian crude in the points in Texas in response to the market demand of short to medium term, there is extremely limited Gulf Coast refineries for heavy crude oil. This market pipeline transport capacity to move such crude oils to demand is driven by the need of the refiners to Gulf Coast refineries. replace declining feed stocks of heavy crude oil obtained from other foreign sources with crude oil The 58 refineries in the Gulf Coast District provide a from a more stable and reliable source. Keystone total refining capacity of approximately 8.4 million currently has firm, long-term contracts to transport bpd, or nearly half of U.S. refining capacity. These 380,000 bpd of Canadian crude oil to the Texas refineries provide substantial volumes of refined delivery points. petroleum product, such as gasoline and jet fuel, via pipeline to the Gulf Coast region as well as the East An additional purpose of the proposed Project is to Coast and the Midwest. transport Canadian heavy crude oil to the proposed Cushing tank farm in response to the market demand In 2009, Gulf Coast refineries imported approximately of refineries in the central and Midwest U.S. for heavy 5.1 million bpd of crude oil from more than 40 crude oil. Keystone also has firm contracts to countries. The top four suppliers were Mexico, transport 155,000 bpd of Canadian crude oil to Venezuela, Saudi Arabia, and Nigeria. Of the total ES-5
  • 9. Keystone XL Project Executive Summary − Final EIS volume imported, approximately 2.9 million bpd was been incorporated into the Special Permit. However, heavy crude oil similar to the crude oil that would be in August 2010, Keystone withdrew its application to transported by the proposed Project; Mexico and PHMSA for a Special Permit. However, to enhance Venezuela were the major suppliers. However, the overall safety of the proposed Project, DOS and imports of heavy crude oil from these two countries PHMSA continued working on Special Conditions have been in steady decline while Gulf Coast refining specific to the proposed Project and ultimately capacity is projected to grow by at least 500,000 bpd established 57 Project-specific Special Conditions. by 2020, with or without the proposed Project. As a result, Keystone agreed to design, construct, operate, maintain, and monitor the proposed Project PROJECT DESIGN AND SAFETY in accordance with the more stringent 57 Project- specific Special Conditions in addition to complying The Pipeline and Hazardous Materials Safety with the existing PHMSA regulatory requirements. Administration (PHMSA), a federal agency within the U.S. Department of Transportation, is the primary In consultation with PHMSA, DOS determined that federal regulatory agency responsible for ensuring the incorporation of the Special Conditions would result in safety of America's energy pipelines, including crude a Project that would have a degree of safety greater oil pipeline systems. As a part of that responsibility, than any typically constructed domestic oil pipeline PHMSA established regulatory requirements for the system under current regulations and a degree of construction, operation, maintenance, monitoring, safety along the entire length of the pipeline system inspection, and repair of hazardous liquid pipeline that would be similar to that required in high systems. consequence areas as defined in the regulations. Key aspects of the Special Conditions are In 2009, Keystone applied to PHMSA for a Special summarized below. Appendix U of the EIS presents Permit to operate the proposed Project at a slightly the Special Conditions and a comparison of the higher pressure than allowed under the existing conditions with the existing regulatory requirements. regulations. DOS worked with PHMSA to develop Project-specific Special Conditions that would have Figure ES-5 Pipeline Cross-section ES-6
  • 10. Keystone XL Project Executive Summary − Final EIS Pipe Design and Manufacturing Figure ES-6 Smart Pig The first nine Special Conditions present design standards to be used in manufacturing the pipe and requirements for pipe materials, pipe inspections at the mill and in the field, performance tests, and quality control procedures. System Design, Construction and Testing Conditions 10 through 23 address design and construction of the proposed Project, including testing of Project components. Those Conditions present requirements for aspects of the proposed Project such as field coatings, depth of cover over the pipeline, temperature and overpressure control, welding procedures, and testing prior to operations. Testing requirements include hydrostatic testing, a Pipeline pressure is the primary indicator used by the process which involves filling the line with water and SCADA system to detect an oil spill. If the monitoring increasing the pressure within the pipeline to test the system identifies a pressure change in the pipeline, pipeline’s ability to withstand pressure. If the test the controller would evaluate the data to determine if water pressure drops, further testing must be it is a false alarm or an actual spill. Using pipeline conducted and reported to PHMSA, and faulty pressure allows the operator to detect leaks down to pipeline sections must be repaired or replaced. approximately 1.5 to 2 percent of pipeline flow rate. Operations could not begin until the entire system has passed the required hydrostatic testing. The proposed Project would also include a computer- based system that does not rely on pipeline pressure Operations, Maintenance, and Monitoring to assist in identifying leaks below the 1.5 to 2 percent detection thresholds. Conditions 24 through 49 present the requirements for the Supervisory Control and Data Acquisition In addition to computer monitoring, there would be (SCADA) system that would be used to remotely scheduled patrols of the pipeline right-of-way as well monitor and control the pipeline, as well as as public and landowner awareness programs. requirements for internal corrosion inspection, Communities along the pipeline would be given cathodic protection, identification of the location of the information to facilitate the reporting of suspected pipeline with aboveground markers, internal pipeline leaks and events that could suggest a threat to inspections using electronic sensing devices termed pipeline safety. “smart pigs,” visual monitoring of the pipeline corridor, and repair procedures. The SCADA system would Reporting, Record Keeping, and Certification alert the Operations Control Center of an abnormal The final eight conditions present requirements for operating condition, indicating a possible release of maintaining detailed records, development a right-of- oil. The system would include automatic features that way management plan, reporting to PHMSA, and would ensure operation within prescribed pressure providing PHMSA with certification from a senior limits. There would also be a complete backup officer of Keystone that it has complied with the system. Special Conditions. ES-7
  • 11. Keystone XL Project Executive Summary − Final EIS SPILL POTENTIAL AND RESPONSE Center (NRC) database for releases and spills of hazardous substances and oil. Spills could result from many causes, including corrosion (external or internal), excavation equipment, Based on those data, DOS calculated that there could defects in materials or in construction, over- be from 1.18 to 1.83 spills greater than 2,100 gallons pressuring the pipeline, and geologic hazards, such per year for the entire Project. The estimated as ground movement, washouts, and flooding. frequency of spills of any size ranged from 1.78 to Although the leak detection system would be in place, 2.51 spills per year. some leaks might not be detected by the system. For example, a pinhole leak could be undetected for days Keystone submitted a risk analysis that also included or a few weeks if the release volume rate were small an estimate of the frequency of spills over the life of and in a remote area. the proposed Project. Keystone’s analysis was for the pipeline only and did not include releases from In most cases the oil from a small leak would likely pump stations, valve stations, or the tank farm. remain within or near the pipeline trench where it could be contained and cleaned up after discovery. Keystone initially calculated a spill frequency of 1.38 As a result, for most small leaks it is likely that the oil spills per year based only on the historical PHMSA would be detected before a substantial volume of oil spill incident database available in 2008 when the reaches the surface and affects the environment. application was submitted. Keystone also calculated Spills may be identified during regular pipeline aerial a Project-specific spill frequency for the pipeline that inspections, by ground patrols and maintenance staff, considered the specific terrain and environmental or by landowners or passersby in the vicinity of the conditions along the proposed Project corridor, spill. required regulatory controls, depth of cover, strength of materials, and technological advances in the For larger spills, the released oil would likely migrate design of the proposed Project. Using those factors, from the release site. However, DOS analysis of Keystone estimated that there could be 0.22 spills per previous large pipeline oil spills suggests that the year from the pipeline. depth and distance that the oil would migrate would likely be limited unless it reaches an active river, Spills from the Existing Keystone Oil Pipeline stream, a steeply sloped area, or another migration System pathway such as a drainage ditch. The existing Keystone Oil Pipeline System has Estimated Frequency of Spills experienced 14 spills since it began operation in June 2010. The spills occurred at fittings and seals at In spite of the safety measures included in the design, pump or valve stations and did not involve the actual construction, and operation of the proposed Project, pipeline. Twelve of the spills remained entirely within spills are likely to occur during operation over the the confines of the pump and valve stations. Of lifetime of the proposed Project. Crude oil could be those spills, 7 were 10 gallons or less, 4 were 100 released from the pipeline, pump stations, or valve gallons or less, 2 were between 400 and 500 gallons, stations. and 1 was 21,000 gallons. Although a large spill could occur at the proposed The spill of 21,000 gallons occurred when a fitting Cushing tank farm, each of the three 350,000-barrel failed at the Ludden, North Dakota pump station. As tanks would be surrounded by a secondary a result, PHMSA issued a Corrective Action Order, containment berm that would hold 110 percent of the halting pipeline operation. Keystone was required to contents of the tank plus freeboard for precipitation. consult with PHMSA before returning the pipeline to Therefore, there would have to be a concurrent failure operation. In that incident, most of the oil was of the secondary containment berm for a tank-farm contained within the pump station, but 210 gallons spill to reach the area outside of the tank. Such an discharged from the pump station to adjacent land. event is considered unlikely. The land affected was treated in place in compliance DOS calculated estimates of spill frequency and spill with North Dakota Department of Health land volumes. Those estimates included potential spills treatment guidelines. from the pipeline, pump stations, and valve stations. The calculations used data from the PHMSA spill incident database for hazardous liquid pipelines and crude oil pipelines, and from the National Response ES-8
  • 12. Keystone XL Project Executive Summary − Final EIS Maximum Spill Volume planning for low income and minority populations. The LEPCs would participate in emergency response Keystone conducted an assessment of the maximum consistent with their authority under the Right-to- potential pipeline spill volume from a complete Know Act and as required by their local emergency pipeline structural failure. Keystone estimated that response plans. the maximum spill volume would be approximately 2.8 million gallons, which would be possible along less than 1.7 miles of the proposed pipeline route due POTENTIAL ENVIRONMENTAL IMPACTS OF to topographic conditions. For approximately 50 OIL SPILLS percent of the proposed pipeline route (approximately Impacts from an oil spill would be affected by 842 miles), the maximum spill volume would be variables such as the weather, time of year, water approximately 672,000 gallons. level, soil, local wildlife, and human activity. The Figure ES-7 extent of impact would also depend on the response Pump Station on the Existing Keystone Oil time and capabilities of the emergency response Pipeline System team. The greatest concern would be a spill in environmentally sensitive areas, such as wetlands, flowing streams and rivers, shallow groundwater areas, areas near water intakes for drinking water or for commercial/industrial uses, and areas with populations of sensitive wildlife or plant species. General Types of Potential Impacts There are two primary types of impacts that occur with a spill of crude oil – physical impacts and toxicological impacts. Physical impacts typically consist of the coating of soils, sediments, plants, and animals. The coating of organisms can result in effects such as preventing them from feeding or Emergency Planning obtaining oxygen, reducing the insulating ability of fur or feathers, and adding weight to the organism so that As required by PHMSA regulations, Keystone must it cannot move naturally or maintain balance. In submit an Emergency Response Plan and a Pipeline addition, oil may coat beaches along rivers or lakes Spill Response Plan to PHMSA for review prior to and foul other human-use resources. initiation of operation of the proposed Project. These plans would not be completed until the final details of Toxicological impacts of an oil spill are a function of the proposed Project are established in all applicable the chemical composition of the oil, the solubility of permits. each class of compounds in the oil, and the sensitivity of the area or organism exposed. Crude oil may be If a leak is suspected, the Emergency Response Plan toxic when ingested. Ingestion typically occurs when and Pipeline Spill Response Plan would be initiated. an oiled animal attempts to clean its fur or feathers. After confirmation that a spill occurred, the operator Some of the possible toxic effects include direct would shut down pumps and close the isolation mortality, interference with feeding or reproductive valves, actions that would require approximately 12 capacity, disorientation, reduced resistance to minutes. disease, tumors, reduction or loss of various sensory perceptions, and interference with metabolic, Local Emergency Planning Committees (LEPCs) biochemical, and genetic processes. LEPCs were established as a part of the Emergency Birds typically are the most affected wildlife due to an Planning and Community Right-to-Know Act. oil spill. Oil on feathers causes hypothermia or Keystone has committed to a communication program drowning due to the loss of flotation, and birds may to reach out to LEPCs along the proposed pipeline suffer both acute and chronic toxicological effects. In corridor during development of the Emergency addition, dead oiled birds may be scavenged by other Response Plan and the Pipeline Spill Response Plan, animals. with particular consideration given to emergency ES-9
  • 13. Keystone XL Project Executive Summary − Final EIS Fish and aquatic invertebrates could also experience impacts are typically limited to several hundred feet or toxic impacts of spilled oil. The potential impacts less from a spill site. An example of a crude oil would generally be greater in standing water habitats release from a pipeline system into an environment − such as wetlands, lakes and ponds − than in flowing similar to the Northern High Plains Aquifer system rivers and creeks. occurred in 1979 near Bemidji, Minnesota. Crude oil spills are not likely to have toxic effects on While the conditions at Bemidji are not fully the general public because of the many restrictions analogous to the Sand Hills region, extensive studies that local, state and federal agencies impose to avoid of the Bemidji spill suggest that impacts to shallow environmental exposure after a spill. groundwater from a spill of a similar volume in the Sand Hills region would affect a limited area of the Potential Impacts to the Ogallala Aquifer and aquifer around the spill site. In no spill incident other Groundwater Areas scenario would the entire Northern High Plains DOS recognizes the public’s concern for the Northern Aquifer system be adversely affected. High Plains Aquifer System, which includes the In addition to the Northern High Plains Aquifer Ogallala aquifer formation and the Sand Hills aquifer system, there are other groundwater areas along the unit. proposed route, including shallow or near-surface The Northern High Plains Aquifer system supplies 78 aquifers. DOS in consultation with PHMSA and EPA percent of the public water supply and 83 percent of determined that Keystone should commission an irrigation water in Nebraska and approximately 30 independent consultant to review the Keystone risk percent of water used in the U.S. for irrigation and assessment. The independent review will be agriculture. Of particular concern is the part of the conducted by a firm approved by DOS in concurrence aquifer which lies below the Sand Hills region. In that with PHMSA and EPA, and would focus on a review region, the aquifer is at or near the surface. of valve placement and the possibility of deploying external leak detection systems in areas of DOS assessed the potential impacts of the proposed particularly sensitive environmental resources, but Project on many aquifer systems. The aquifer would not be limited to those issues. The specific analysis included the identification of potable scope of the analysis will be approved by DOS, groundwater in water wells within 1 mile of the PHMSA, and EPA. DOS, with concurrence from proposed centerline of the pipeline. More than 200 PHMSA and EPA, will determine the need for any Public Water Supply wells, most of which are in additional mitigation measures resulting from the Texas, are within 1 mile of the proposed centerline, analysis. and 40 private water wells are within 100 feet of the centerline. No sole-source aquifers, or aquifers Potential Environmental Justice Concerns serving as the principal source of drinking water for Low income and minority communities could be more an area, are crossed by the proposed pipeline route. vulnerable to health impacts than other communities The potential for a crude oil spill to reach groundwater in the event of a spill, particularly if access to health is related to the spill volume, the viscosity and density care is less available in the release area. Exposure of the crude oil, the characteristics of the environment pathways could include direct contact with the crude into which the crude oil is released (particularly the oil, inhalation of airborne contaminants, or characteristics of the underlying soils), and the depth consumption of food or water contaminated by either to groundwater. The depth to groundwater is less the crude oil or components of the crude oil. than 10 feet for about 65 miles of the proposed route Keystone agreed to remediate spills, restore the in Nebraska and there are other areas of shallow affected areas, and provide alternative water supplies groundwater in each state along the proposed route. if a spill contaminates groundwater or surface water. Diluted bitumen and synthetic crude oil, the two types Keystone also agreed to develop communications of crude oil that would be transported by the proposed directed at bilingual communities, such as signage in Project, would both initially float on water if spilled. both English and Spanish languages, and emergency Over time, the lighter aromatic fractions of the crude communications in both languages. oil would evaporate, and water-soluble components could enter the groundwater. ALTERNATIVES CONSIDERED Studies of oil spills from underground storage tanks DOS considered the following three major alternative indicate that potential surface and groundwater scenarios: ES-10
  • 14. Keystone XL Project Executive Summary − Final EIS  No Action Alternative – potential scenarios that and reliable sources of crude oil, including the Middle could occur if the proposed Project is not built and East, Africa, Mexico, and South America. operated; As a result of these considerations, DOS does not  System Alternatives − the use of other pipeline regard the No Action Alternative to be preferable to systems or other methods of providing Canadian the proposed Project. crude oil to the Cushing tank farm and the Gulf Coast market; If the proposed Project is not implemented, Canadian  Major Route Alternatives − other potential pipeline producers would seek alternative transportation routes for transporting heavy crude oil from the systems to move oil to markets other than the U.S. U.S./Canada border to Cushing, Oklahoma and Several projects have been proposed to transport the Gulf Coast market. crude oil out of using pipelines to Canadian ports. Whether or not the proposed Project is implemented, No Action Alternative Canadian producers would seek alternative Under the No Action Alternative, the potential adverse transportation systems to move oil to markets other and positive impacts associated with building and than the U.S. Several projects have been proposed operating the proposed Project would not occur. to transport crude oil out of the oil sands area of However, there is an existing market demand for Alberta using pipelines to Canadian ports. heavy crude oil in the Gulf Coast area. The demand for crude oil in the Gulf Coast area is projected to System Alternatives increase and refinery runs are projected to grow over System alternatives would use combinations of the next 10 years, even under a low demand outlook. existing or expanded pipeline systems, pipeline A report commissioned by the Department of Energy systems that have been proposed or announced, and (DOE) indicated that whether the proposed Project is non-pipeline systems such as tank trucks, railroad built or not is unlikely to impact the demand for heavy tank cars, and barges and marine tankers to transport crude oil by the Gulf Coast refineries. Even if Canadian heavy crude oil to Gulf Coast refineries. improved fuel efficiency and broader adoption of None of the pipeline systems considered would be alternative fuels reduced overall demand for oil, capable of transporting Canadian crude oil to Gulf demand for Canadian heavy crude oil at Gulf Coast Coast delivery points in the volumes required to meet refineries would not be substantially affected. Keystone’s commitments for transporting 380,000 At the same time, three of the four countries that are bpd to delivery points in Texas. Therefore they would major crude oil suppliers to Gulf Coast refineries not meet the purpose of the proposed Project. A currently face declining or uncertain production combination of the pipeline systems considered horizons. As a result, those refineries are expected to could, over time, deliver volumes of Canadian oil obtain increased volumes of heavy crude oil from sands crude oil in volumes similar to the volumes that alternative sources in both the near term and further would be transported by the proposed Project. into the future. Implementation of the No Action However, that would not meet the near-term need for Alternative would not meet this need. heavy crude oil at the Gulf Coast refineries. Expanding the pipeline systems that were considered If the proposed Project is not built and operated, Gulf to meet the purpose of the proposed Project or Coast refineries could obtain Canadian crude oil construction of new components or a combination of transported through other new pipelines or by rail or those systems would result in impacts similar to those truck transport. Other pipeline projects have been of the proposed Project. proposed to transport Canadian crude oil to the Gulf Coast area, and both rail transport and barge The trucking alternative would add substantial transport could be used to meet a portion of the need. congestion to highways in all states along the route In addition, the Gulf Coast refineries could obtain selected, particularly at and near the border crossing crude oil transported by marine tanker from areas and in the vicinity of the delivery points. At those outside of North America. Many of the sources locations it is likely that there would be significant outside of North America are in regions that are impacts to the existing transportation systems. experiencing declining production or are not secure Trucking would also result in substantially higher greenhouse gas emissions and a higher risk of accidents than transport by pipeline. ES-11
  • 15. Keystone XL Project Executive Summary − Final EIS Development of a rail system to transport the volume The Western Alternative was eliminated since it was of crude oil that would be transported by the proposed financially impracticable. Although the other four Project would likely produce less impact from route alternatives could have been eliminated based construction than would the proposed Project on consideration of economical and technical because it could be done using existing tracks. practicability and feasibility without further evaluation, However, there would be greater safety concerns and they were nonetheless examined further with an greater impacts during operation, including higher emphasis on groundwater resources. The I-90 energy use and greenhouse emissions, greater noise Corridor and Keystone Corridor alternatives would all impacts, and greater direct and indirect effects on avoid the Sand Hills; however, they would not avoid many more communities than the proposed Project. the Northern High Plains Aquifer system, and they would not avoid areas of shallow groundwater. As a result of these considerations as described in Instead, these routes would shift risks to other areas Section 4.2 of the EIS, system alternatives were of the Northern High Plains Aquifer system and to considered either not reasonable or not other aquifers. environmentally preferable. In addition, these alternatives would be longer than Major Route Alternatives the proposed route and would disturb more land and The analysis of route alternatives considered 14 cross more water bodies than the proposed route. In major route alternatives. Figure ES-8 depicts the addition, I-90 Corridor Alternatives A and B require alternative routes considered. The analysis of crossing Lake Francis Case on the Missouri River alternatives routes was conducted following the which would pose technical challenges due to the approach to assessments of alternative pipeline width of the reservoir and the slope of the western routes used by the Federal Energy Regulatory side of the crossing area. Commission. As a result, the analysis began with a Keystone Corridor Alternatives 1 and 2 would cost screening process that first established criteria for about 25 percent more than the proposed Project screening alternatives, then identified potential (about $1.7 billion more) and implementation of either alternatives that met the criteria, and determined of those alternatives would compromise the Bakken whether or not they would (1) meet the purpose of Marketlink Project and the opportunity to transport and need for the proposed Project, and (2) be crude oil from the producers in the Bakken formation technically and economically practicable or feasible. to markets in Cushing and the Gulf Coast. For those alternatives meeting the criteria, DOS assessed whether or not the alternative offered an Based on the above considerations and as described overall environmental advantage over the proposed in Section 4.3 of the EIS, DOS eliminated the major route. potential route alternatives from further consideration. Due to public concern regarding the Ogallala Aquifer (Northern High Plains Aquifer system) and the Sand Route Variations and Minor Realignments Hills region, 5 of the alternative routes were A route variation is a relatively short deviation from a developed to either minimize the pipeline length over proposed route that replaces a segment of the those areas or avoid the areas entirely. These proposed route. Variations are developed to resolve alternative routes consisted of I-90 Corridor landowner concerns and impacts to cultural resource Alternatives A and B, Keystone Corridor Alternatives sites, wetlands, recreational lands, and terrain. 1 and 2 (which are parallel to all or part of the route of the existing Keystone Oil Pipeline System), and the DOS consulted with the Bureau of Land Management Western Alternative. and state agencies to negotiate route variations and minor realignments, including nearly 100 in Montana The assessment considered the environmental and about 240 minor realignments in other states characteristics of the areas that these alternatives along the proposed route. Additional route variations would cross, including the presence of aquifers, the and minor realignments may be added in response to depth of wells, developed land, forested areas, specific conditions that may arise throughout the wetlands, and streams and rivers. construction process. ES-12
  • 16. Keystone XL Project Executive Summary − Final EIS Figure ES-8 Major Route Alternatives ES-13
  • 17. Keystone XL Project Executive Summary − Final EIS The variations and minor realignments would replace  Keystone would comply with all applicable laws short segments of the proposed Project, are relatively and regulations; close to the proposed route, and would be implemented in accordance with applicable regulatory  The proposed Project would be constructed, requirements of federal, state, or local permitting operated, and maintained as described in the agencies. DOS considers the variations and minor EIS; realignments selected to have been evaluated  Keystone has agreed to incorporate the 57 sufficiently to meet the environmental review Project-specific Special Conditions developed by requirements of the National Environmental PHMSA into the proposed Project; Protection Act.  Keystone has agreed to implement the measures Other Alternatives Considered designed to avoid or reduce impacts described in its application for a Presidential Permit and DOS also considered several other scenarios in supplemental filings with DOS, the measures in response to comments on the draft EIS. The its Construction, Mitigation, and Reclamation alternative pipeline designs considered consisted of (CMR) Plan presented in Appendix B of the EIS, an aboveground pipeline and a smaller diameter pipe and the construction methods for the Sand Hills to decrease the volume of oil released from a spill. region described in Appendix H to the EIS; and DOS also considered alternative sites for the major aboveground facilities of the proposed Project,  Keystone would incorporate the mitigation including pump stations, mainline valves, and the measures required in permits issued by Cushing tank farm. None of the alternative designs or environmental permitting agencies into the facility locations were considered safer or construction, operation, and maintenance of the environmentally preferable to the proposed Project proposed Project. design. Environmental Justice Agency Preferred Alternative Executive Order 12898 requires federal agencies to DOS did not find any of the major alternatives to be address and mitigate potential adverse impacts to preferable to the proposed Project for the reasons minority and low income populations. In consultation presented in the final EIS and summarized above. As with EPA, DOS identified these communities within a a result, the agency-preferred alternative is the 4-mile-wide corridor centered on the pipeline using proposed Project route with the variations and minor census and county level data. route realignments described in the EIS, and the Potential Construction Impacts: The assessment proposed location of the Cushing tank farm. suggested that potential impacts to minority and low income populations could occur primarily in Harris, ENVIRONMENTAL ANALYSES Jefferson, and Angelina Counties in Texas and in Four levels of impact duration were considered in the Lincoln County, Oklahoma. During construction, analysis of potential environmental impacts due to potential impacts include exposure to increased dust construction and normal operation of the proposed and noise, disruption of traffic patterns, and increased Project: temporary, short-term, long-term, and competition for social services in underserved permanent. Temporary impacts generally occur populations. At any given location along the during construction, with the resources returning to proposed pipeline route, the duration of the pre-construction conditions almost immediately construction period would typically range from 20 to afterward. Short-term impacts could continue for 30 working days. As a result, the impacts to minority approximately 3 years after construction, and impacts and low-income populations due to construction were considered long term if the resources would would be temporary and minor. require more than 3 years to recover. Permanent Medical Services: Areas along the pipeline route that impacts would occur if the resources would not return are medically underserved may be more vulnerable to pre-construction conditions during the life of the during construction periods. These communities have proposed Project, such as impacts to land use due to been identified as Health Professional Shortage installation of pump stations. Areas or Medically Underserved Areas/Populations. Conclusions in the EIS are based on the analysis of However, construction-related disruptions in those environmental impacts and the understanding that: areas would be temporary and minor. In areas in ES-14
  • 18. Keystone XL Project Executive Summary − Final EIS Montana and South Dakota, minor medical needs of the proposed Project and is currently refined in large workers would be handled in construction camps to quantities by Gulf Coast refineries. avoid or minimize the need for medical services from The proposed Project is not likely to impact the the surrounding communities. amount of crude oil produced from the oil sands. Air Emissions Related to Environmental Justice However, for illustrative purposes, the DOS- Issues: The refineries that are likely to receive oil commissioned study estimated that incremental life- transported by the pipeline are already configured to cycle U.S. greenhouse gas emissions from displacing process heavy crude oil, and in the future would seek reference crude oils with Canadian oil sands crude to continue processing heavy crude oil whether or not oils imported through the proposed Project would be the proposed pipeline is constructed. The analysis in between 3 and 21 million metric tons of carbon the EIS, including a DOE-commissioned study, dioxide emissions annually. This range is equivalent indicates that the proposed Project would not likely to annual greenhouse gas emissions from the affect the overall quality or quantity of crude oil combustion of fuels in 588,000 to 4,061,000 refined in the Gulf Coast region, and, as a result, passenger vehicles. would not likely effect refinery emissions. In addition, current projections suggest that the amount of energy required to extract all crude oils is Greenhouse Gas Emissions projected to increase over time due to the need to DOS commissioned a detailed study of greenhouse extract oil from ever deeper reservoirs using more gas life-cycle emissions that compared Canadian oil energy intensive techniques. However, while the sands crude with other selected reference crudes. greenhouse gas intensity of reference crude oils may This study was a thorough review of recent scientific trend upward, the projections for the greenhouse gas literature on greenhouse gas life-cycle emissions for intensity of Canadian oil sands crude oils suggests Canadian oil sands crude including extraction, that they may stay relatively constant. Although there upgrading, transportation, refining, and combustion. is some uncertainty in the trends for both reference The study’s major conclusion was that, throughout its crude oils and oil sands derived crude oils, on life cycle, oil sands crude is, on average, more balance it appears that the gap in greenhouse gas greenhouse gas intensive than the crude oil it would intensity may decrease over time. replace in the U.S. However, the relative greenhouse Geology and Soils gas intensity varies depending on (1) study design factors, such as the reference crudes selected for Geologic Hazards: Potential geologic hazards comparison with Canadian oil sands crudes (e.g., assessed in the EIS include seismic hazards 2005 U.S. average crude oil, Venezuelan (earthquakes), landslides, or subsidence (sink holes). Bachaquero, Middle East Sour, and Mexican Heavy) The proposed route extends through relatively flat and the timeframe selected, and (2) study and stable areas and the potential for these events is assumptions, such as the extraction method and the low. The pipeline would not cross any known active mix of crudes that would be transported by the faults with confirmed surface offsets. During pipeline. construction, land clearing could increase the risk of landslides and erosion. Keystone agreed to construct For example, the Department of Energy’s National temporary erosion control systems and revegetate the Environmental Technology Lab (NETL) study right-of-way after construction. indicated that the life-cycle greenhouse gas emissions of gasoline produced from Canadian oil There is a risk of subsidence (sink holes) where the sands crude are approximately 17 percent higher proposed route potentially crosses karst formations in than gasoline from the 2005 average mix of crude oil Nebraska, Oklahoma, and Texas. Site-specific consumed in the U.S. The NETL study serves as a studies would be conducted as necessary to key input for analyses conducted by EPA and DOE. characterize the karst features, if they are In comparison, a study conducted by TIAX, LLC, encountered, and evaluate and modify construction found that the greenhouse gas emissions from techniques as necessary in these areas. The overall gasoline produced from Canadian oil sands crude are risk to the pipeline from karst-related subsidence is only 2 percent higher when compared to gasoline expected to be minimal. from Venezuelan heavy crude, a type of crude oil that Soils and Sediments: Potential impacts to soils is similar to the crude oil that would be transported by include soil erosion, loss of topsoil, soil compaction, soil contamination, damage to existing tile drainage ES-15
  • 19. Keystone XL Project Executive Summary − Final EIS systems, and permanent increases in the proportion crossing location and the requirements of the of large rocks in the topsoil. However, Keystone permitting agencies. agreed to construction procedures that are designed The open-cut wet method, which involves trenching to reduce the likelihood and severity of Project while the stream is flowing, would result in temporary impacts to soils and sediments, including topsoil increases in turbidity and bank erosion where segregation methods, and to mitigate impacts to the vegetation is removed. The dry-cut method, which extent practicable. involves diverting stream flow around the construction Sand Hills Region: Of particular concern is the soil site, results in lower increases in turbidity than the of the Sand Hills region of Nebraska, which is open-cut wet method. particularly vulnerable to wind erosion. To address Horizontal directional drilling would minimize impacts this concern, Keystone developed and agreed to to the stream or river because it involves drilling well construction, reclamation, and post-construction below the streambed. This method would be selected procedures specifically for this area in consultation at large body crossings to avoid disturbing the with local experts and state agencies. The goal of the streambeds and streamflow and to reduce the Sand Hills region reclamation plan is to protect this potential that deep scour during flooding would sensitive area by maintaining soil structure and endanger pipeline integrity. Figure ES-9 presents a stability, stabilizing slopes to prevent erosion, cross section of a river crossing using the horizontal restoring native grass species, and maintaining directional drilling method. wildlife habitat and livestock grazing areas. Keystone agreed to monitor the right-of-way through the Sand At all water crossings, Keystone agreed to use Hills region for several years to ensure that vegetative buffer strips, drainage diversion structures, reclamation and revegetation efforts are successful. and sediment barriers, and limit vegetation clearing to reduce siltation and erosion. After construction, the Water Resources right-of-way would be restored and revegetated to reduce the potential for erosion of the stream bank. Groundwater: Many of the aquifers along the proposed route are isolated from the surface due to Hydrostatic Test Water: Water used to pressure test soil types above the aquifers that prevent or slow the pipeline during construction would be discharged downward migration of water. However, shallow or to its source waters or to an approved upland area near-surface aquifers are also present along the within the same drainage and tested to ensure it proposed route, as discussed above. Construction of meets applicable water quality standards and the proposed Project may result in temporary to short- discharge rates. term increases in suspended solids in the shallow aquifers. The risk of dewatering shallow groundwater Wetlands aquifers during construction or reducing groundwater The proposed Project route crosses emergent, quality due to increased sediments in the water would scrub/shrub, and forested wetlands that are protected be temporary to short term. by the U.S. Army Corps of Engineers (USACE) and At some locations, groundwater may be used as a applicable state agencies under the review of EPA source of water for pressure testing the pipeline through Section 401 and 404 of the Clean Water Act. during construction. Keystone must obtain all Specific plans regarding wetland avoidance and applicable water withdrawal and discharge permits minimization of impacts, and the development of prior to testing, and the test water would be tested mitigation to compensate for the permanent loss or and discharged in accordance with permit conversion of forested to emergent wetlands would requirements. be further developed during the permitting process. Wetland impacts presented in the EIS represent River and Stream Crossings: Surface water bodies preliminary estimates based on the best available would be crossed using one of three methods: the wetland information. DOS reviewed potential impacts open-cut wet method, the dry-cut method, or the to wetlands and the avoidance, minimization, and horizontal directional drilling method. The method mitigation process that would be followed with selected would be based on the characteristics of the USACE and EPA. ES-16
  • 20. Keystone XL Project Executive Summary − Final EIS Figure ES-9 Cross Section of Horizontal Directional Drilling Method Most wetlands crossed by the proposed Project in Texas Bottomland Hardwood Wetlands: These are Montana, South Dakota, and Nebraska are emergent forested wetlands with trees, such as Bald Cypress, wetlands, and most wetlands crossed by the Water Oak, Water Hickory, and Swamp Tupelo that proposed Project in Oklahoma and Texas are can exist in lowland floodplains in the Gulf Coast forested wetlands. Construction of the pipeline would states. Clearing bottomland hardwood trees during affect wetlands and their functions primarily during construction would result in long-term to permanent and immediately after construction activities, but impacts because forests require decades to re- permanent changes also are possible. Keystone establish and would mature over the span of agreed to use construction methods that avoid or centuries. DOS reviewed potential Project impacts on minimize impacts to wetlands. These measures bottomland hardwood wetlands with EPA and include installing trench breakers and/or sealing the USACE. Preliminary mitigation measures to protect trench to maintain the original wetland hydrology to bottomland hardwood wetlands are discussed in the avoid draining wetlands, using timber mats to protect EIS and would be developed further by the USACE wetlands during construction, and restoring wetland during the wetland permitting process. areas to a level consistent with the requirements of the applicable permits. Figure ES-10 Most wetland vegetation communities would transition Texas Bottomland Hardwood Wetland back into a community that would function similarly to the previously undisturbed wetland. Because most wetlands would be restored, the overall impact of the proposed Project to wetlands would be minor to moderate and would range in duration from short term to the life of the proposed Project. However, some forested and scrub-shrub wetlands over the pipeline would be converted to herbaceous wetlands since trees and shrubs would not be allowed to grow over the pipeline for inspection and integrity purposes. Keystone is working with each USACE district along the proposed route to identify wetlands and to develop wetland mitigation and compensation plans for the permanent conversion of forested wetland to herbaceous wetland. ES-13
  • 21. Keystone XL Project Executive Summary − Final EIS Terrestrial Vegetation communities would result in long-term impacts because trees would be required to remain outside of The proposed Project crosses primarily grasslands the 50-foot-wide permanent right-of-way. These and rangelands, followed by croplands, upland impacts would last throughout the life of the proposed forests, developed lands, and wetlands. After Project because trees would not be allowed to construction, Keystone agreed to restore topsoil, reestablish within the permanent right-of-way and slopes, contours, and drainage patterns to because forests require decades to re-establish and preconstruction conditions as practicable and to would mature over the span of centuries. reseed disturbed areas to restore vegetation cover, prevent erosion, and control noxious weeds. Wildlife Keystone committed to controlling the introduction and spread of noxious weeds and pests by adhering Big game animals, small game animals and to construction and restoration procedures furbearers, waterfowl and game birds, and other recommended by local, state, and federal agencies. nongame animals use habitats in and around the six Soils and vegetation over the pipeline would be states crossed by the proposed Project. Construction warmed slightly compared to surrounding soils by would result in the temporary and permanent loss and heat loss from the pipeline during operation. alteration of habitats which provide foraging, cover, and breeding habitats for wildlife. Most habitat loss Native Grasslands and Rangelands: Native mixed would be temporary as vegetation cover would be re- shrub rangelands would be crossed by the proposed established after construction and would be small in Project in Montana and South Dakota and native context to habitats available throughout the region grasslands would be crossed by the proposed Project crossed by the proposed Project. Loss of shrublands in the Sand Hills region in Nebraska. Both of these and wooded habitats would be long-term (from 5 to native prairie habitats would be challenging to 20 years or more), however; and trees and tall shrubs reclaim. In recognition of these challenges, Keystone would not be allowed to re-establish over the pipeline developed specific construction and reclamation for inspection and integrity purposes. Aboveground methods for the proposed Project in consultation with facilities would result in some permanent habitat loss. local, state, and federal agencies and local experts to Power lines to pump stations can provide vantage ensure that sagebrush and native grasses are perches for raptors that lead to increased predation restored to rangelands in Montana and South Dakota on ground nesting birds and small mammals. and that fragile soils and diverse native vegetation Construction can produce short-term barriers to cover are re-established in the Sand Hills region of wildlife movement, direct and indirect mortality, and Nebraska. reduced survival and reproduction. Disturbance from Figure ES-11 construction activities may have moderate local Sand Hills Grassland affects on wildlife if important remnant habitats are crossed or when sensitive breeding or overwintering periods are not avoided. Habitat alteration and fragmentation caused by the pipeline right-of-way may reduce habitat suitability and use by wildlife. Construction could also produce short-term barriers to wildlife movement, direct and indirect mortality, and reduced survival and reproduction. Disturbance from construction activities would have moderate local affects on wildlife if important remnant habitats are crossed or when sensitive breeding or overwintering periods are not avoided. Habitat alteration and fragmentation caused by construction of the pipeline could reduce habitat suitability and use by wildlife. Upland and Riparian Forests: Native forests, During the environmental review of the proposed Project, state and federal wildlife management especially forested floodplains, were once an integral component of the landscape throughout the Great agencies were contacted and they provided Plains and they provide important habitats for wildlife. information on sensitive seasons and wildlife habitats such as big game overwintering habitats, important Clearing trees in upland and riparian forest riparian corridors, and raptor and other migratory bird ES-18
  • 22. Keystone XL Project Executive Summary − Final EIS nesting habitats. In addition state and federal wildlife impacts from construction of stream crossings include management agencies provided recommendations for siltation, sedimentation, bank erosion, sediment surveys to more specifically locate areas such as deposition, short-term delays in movements of fish, raptor nests and prairie dog colonies that could and transport and spread of aquatic invasive animals potentially be avoided. Keystone is working with state and plants. Keystone has agreed to minimize vehicle and federal wildlife management agencies to contact with surface waters and to clean equipment to minimize impacts to wildlife during sensitive breeding prevent transportation of aquatic invasive animals and periods. Measures developed to minimize impacts to plants on equipment. wildlife include development of a Migratory Bird Most streams would be crossed using one of several Conservation Plan in consultation with the USFWS, trenching methods. Trenching stream crossings removal of litter and garbage that could attract when water is still flowing through the stream bed can wildlife, control of unauthorized off-road vehicle result in destruction of fish that do not avoid the access to the construction right-of-way, and construction area. Trenching methods may also use reclamation of native range with native seed mixes. dams, pumps, and flumes to divert the stream flow Overall, the impact of construction to wildlife is around the trench location to allow a “dry” trenching expected to be minor and would be primarily method. However, direct disturbance to the stream temporary to short term. Normal Project operation bed can release fine sediments during construction would result in negligible effects to wildlife. through flowing waters or after the flow is returned to Figure ES-12 the stream bed. Sediment would be transported Mule Deer downstream and could affect fish, other aquatic life, and aquatic habitats through either direct exposure or smothering. Most stream crossings would be completed in less than 2 days, grading and disturbance to waterbody banks would be minimized, and crossings would be timed to avoid sensitive spawning periods, such that resulting steam bed disturbance and sediment impacts would be temporary and minor. Most large rivers would be crossed using the horizontal directional drilling method which would install the pipeline well below the active river bed. As a result, direct disturbance to the river bed, fish, aquatic animals and plants, and river banks would be avoided. Keystone has developed site specific plans for horizontal directional drill crossings and has agreed to develop site-specific contingency plans to address unintended releases of drilling fluids that include preventative measures and a spill response plan. Keystone must work with state and federal wildlife management agencies to minimize impacts to wildlife Figure ES-13 during sensitive breeding periods. Overall, the impact Recreational Fishing of construction to wildlife is expected to be minor and would be primarily temporary to short term. Normal Project operation would result in negligible effects to wildlife. Fisheries Resources The proposed route would cross rivers and streams, including perennial streams that support recreational or commercial fisheries. Most potential impacts to fisheries resources would occur during construction and would be temporary to short term. Potential ES-19