TC Energy Halts Pumping of Keystone Pipeline Due to Oil Leak in Kansas — Update

By Dan Molinski

TC Energy Corp. said Thursday it has stopped pumping oil from its 610,000-barrel-a-day Keystone pipeline after an oil leak was discovered in Kansas.

“We have shut down the Keystone Pipeline System and mobilized people and equipment in response to a confirmed release of oil into a creek in Washington County, Kansas, approximately 20 miles south of Steele City, Nebraska,” the Calgary-based company said in a statement.

It said the emergency shutdown happened at around 8 p.m. local time Wednesday night after alarms sounded due to the detection of a drop in pressure in the pipeline. “The affected segment has been isolated, and booms deployed to control downstream migration of the release,” the company said.

TC Energy didn’t indicate in the statement what may have caused the leak, or when the pipeline may begin flowing again.

The news helped fuel a brief jump in U.S. crude-oil prices Thursday morning, with WTI crude-oil gaining as much as 4.8% to $75.44 a barrel. As the trading session wore on, however, WTI reversed those gains and was recently down 0.3% at $71.83, putting it on course for a fifth straight day of declines and the lowest closing price in nearly a year.

The 2,687-mile Keystone Pipeline System delivers Canadian and U.S. crude oil to markets around North America. It runs east from Hardisty, Alberta, in Canada, then down into North Dakota in the U.S., and further south into Nebraska. From there it splits, with one arm heading toward refineries in Illinois while another arm heads to Oklahoma and Texas.

Write to Dan Molinski at

Read More: TC Energy Halts Pumping of Keystone Pipeline Due to Oil Leak in Kansas — Update

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