"So shutting a pipeline, un necessarily, would cause supply reductions."
How does that opinion stand up against these facts ?
"Investment in new wells has dropped more than 60%, causing U.S. crude oil production to plummet by more than 3 million barrels a day, or nearly 25%, just as the Covid virus hit, and then fail to recover with the economy. "
And this
"VERDICT: The cost of gasoline is not likely due to the cancellation of the Keystone XL Pipeline by President Biden.
So what exactly is causing the spike in fuel prices at the pump? Experts say it boils down to two things: winter weather, and supply and demand. "
"Addressing Reader Feedback On Rising Gasoline Prices
Some people asserted that cancellation of the Keystone XL pipeline permit had definitely caused gasoline prices to rise.
Setting aside the fact that gasoline prices were rising well ahead of this announcement, I challenged people to explain cause and effect in this situation. Given all the global variables impacting oil prices — some of which are large and immediate — I asked for people to explain how canceling this project would cause a short-term impact on gasoline prices. Nobody was able to do this. "
And finally, this - overseas or domestic sales from Keystone XL ?
"Will the pipeline lower gas prices?
NRDC and its partners found the majority of Keystone XL oil would have been sent to markets overseas (aided by a 2015 reversal of a ban on crude oil exports)—and could have even led to higher prices at U.S. pumps."
