Dallas' Energy Transfer Wins Right to Keep Oil Flowing Through Contentious Dakota Access Pipeline

BISMARCK, N.D. -- A federal judge ruled Wednesday that the Dakota Access oil pipeline owned by a Dallas firm can continue operating while a study is completed to assess its environmental impact on an American Indian tribe.U.S. District Judge James Boasberg's decision will come as a blow to the Standing Rock Sioux, who have argued that an oil spill from the pipeline under Lake Oahe -- from which the tribe draws its water -- could have a detrimental effect on the tribal community.Boasberg found that it is likely the Army Corps of Engineers will be able to justify previous decisions made while permitting the $3.8 billion pipeline built by Energy Transfer Partners. ETP argued that a shutdown would cost it $90 million monthly and significantly disrupt the broader energy industry as well as state and local tax revenue."The Corps must simply connect the dots," he said. "This, then, is not a case in which the agency must redo its analysis from the ground up."Boasberg also acknowledged that shutting down the pipeline would disrupt the energy industry, but said it wasn't a major factor in his decision.The pipeline has been operating since June 1, moving oil from North Dakota through South Dakota and Iowa to a distribution point in Illinois. From there it can be shipped to the Gulf Coast and potentially lucrative markets abroad. It has the capacity to move half of the oil produced daily in North Dakota, the nation's second-leading producer behind Texas.  Continue reading...

Copyright The Dallas Morning News
Contact Us