Canada’s Kinder Morgan pipeline buyout is a bust

Limited demand, bad price and no political win

Canada’s federal government just made a bad deal for the Kinder Morgan pipeline, spending $4.5 billion up front and a projected minimum of another $7.4 billion with little likelihood of an upside. Demand won’t be seen from China in the long term, the cost was at a premium, they have seriously annoyed a natural ally in BC while favouring a province which doesn’t like them, and they are walking into further climate conferences with an oil-soaked albatross around their…