Saturday, June 2, 2018


   Two executives at the Canadian unit of Texas-based Kinder Morgan are poised to cash in with $1.5 million bonuses after Ottawa offered to bailout their west coast oil pipeline system and expansion project, according to a new filing with the United States Securities and Exchange Commission.
    Economist Robyn Allan, who has spent the past few years analyzing the Trans Mountain project, said that the Trudeau government is misrepresenting the business case for the pipeline. Trans Mountain's last estimated the project would cost about $7.4 billion, but Allan estimates that the construction costs alone would likely exceed $9 billion, not including the $4.5 billion purchase price for the assets.
Allan also questioned the claims from the government that its deal would create 15,000 jobs.
"How does this purchase create jobs? They don't even know the capital costs of this project, according to this agreement," said Allan, a former president of the Insurance Corporation of British Columbia, in an interview.

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