Another Page in TransCanada’s Keystone XL Drama

The environment, not jobs remains the key to Keystone’s future.

| More on:
The Motley Fool

TransCanada’s (TSX:TRP, NYSE:TRP) dreams of oil flowing direct from Canada’s oil sands to the U.S. Gulf Coast through the company’s Keystone XL pipeline are in the hands of the U.S. government.  In fact, the ultimate decision rests right at the top of the U.S. government, with President Obama.  He however is expected to be strongly influenced by the advice of Secretary of State John Kerry.

In a New York Times interview out over the weekend, Obama indicated that the employment argument that is being put forward as a reason to green light the project doesn’t hold much water.

For reference, TransCanada believes that the proposed pipeline will create about 20,000 jobs.  Here’s an excerpt from the Times interview that provides some insight into what Obama thinks about that figure….

“Republicans have said that this would be a big jobs generator.  There is no evidence that that’s true. The most realistic estimates are this might create maybe 2,000 jobs during the construction of the pipeline, which might take a year or two, and then after that we’re talking about somewhere between 50 and 100 jobs in an economy of 150 million working people.”

Politically charged

Obama appears to be making a politically charged dig against the Republican Party with this comment, however, it at least indicates that should the project receive his stamp of approval, it won’t be because of the potential boost it might provide to the country’s unemployment situation.  This leaves the project’s potential environmental impact as the primary swing factor.

Yield is important – no, yield is crucial – to our portfolios. The thing about the Canadian market though is that high-quality yield is only available from a very narrow portion of the market.  That’s why the Motley Fool has assembled a free list of 13 other high-yielding stocks that will help you take a more diversified approach to generating income.  Click here to check out the list today.

The Motley Fool’s purpose is to help the world invest, better. Click here now for your free subscription to Take Stock, The Motley Fool Canada’s free investing newsletter. Packed with stock ideas and investing advice, it is essential reading for anyone looking to build and grow their wealth in the years ahead.

Follow us on Twitter and Facebook for the latest in Foolish investing.

Fool contributor Iain Butler doesn’t own shares in any company mentioned at this time.  The Motley Fool doesn’t own shares in any of the companies mentioned.   

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

More on Investing

A cannabis plant grows.
Cannabis Stocks

Canopy Growth Stock Is Rising But I’m Worried About This One Thing

Canopy Growth stock is soaring as the legalization effort makes real progress in both Germany and the United States.

Read more »

young woman celebrating a victory while working with mobile phone in the office
Investing

3 Roaring Stocks to Hold for the Next 20 Years

These top TSX stocks are excellent long-term buys, given their multi-year growth potential and solid underlying businesses.

Read more »

Two seniors float in a pool.
Dividend Stocks

TFSA: How to Earn $1,890 in Annual Tax-Free Income

Plunk these investments into your TFSA to earn passive income and avoid the taxman.

Read more »

grow dividends
Investing

Here’s My Top 3 TSX Stocks to Buy Right Now

Even though the TSX has been rising, there are still some good bargains out there. Here are three top compounding…

Read more »

Target. Stand out from the crowd
Investing

Prediction: This Canadian Growth Stock Could Double by 2030

Alimentation Couche-Tard (TSX:ATD) is a top growth stock that could do well over the next six or so years.

Read more »

Businessman holding AI cloud
Tech Stocks

Could Investing $20,000 in Nvidia Make You a Millionaire?

Nvidia stock has made investors millionaires in the last 10 years. Is it too late to invest to become a…

Read more »

Engineers walk through a facility.
Dividend Stocks

1 TSX Stock I Wouldn’t Touch With a 10-Foot Pole

AtkinsRéalis (TSX:ATRL) is one TSX stock I'd never invest in.

Read more »

money cash dividends
Stocks for Beginners

Have $500? 3 Absurdly Cheap Stocks Long-Term Investors Should Buy Right Now

If you're looking for cheap stocks, these three have a huge future ahead of them, all while costing far less…

Read more »