<article><p><i>Adds size of spill, EPA involvement, crude pricing.</i></p><p class="lead">Canadian midstream company TC Energy halted flows last night on the Keystone Pipeline system in response to a leak of about 14,000 bl of oil.</p><p>An emergency shutdown was initiated at about 9pm ET on 7 December for the line that runs from Hardisty, Alberta, to the US midcontinent after a pressure drop was detected in the system. Personnel and equipment were dispatched after the release of oil into a creek in Washington County, Kansas, about 20 miles (32km) south of Steele City, Nebraska.</p><p>"The system remains shutdown as our crews actively respond and work to contain and recover the oil," the company said. It plans to try to recover the spilled oil</p><p>No information was given as to when the pipeline is expected to be restarted.</p><p>The US Environmental Protection Agency (EPA) said it has dispatched personnel to investigate the scene, noting surface water of Mill Creek had been affected.</p><p>Earlier in the day Canadian heavy crude prices in Hardisty were down to a $33.50/bl discount to the Nymex WTI calendar month average (CMA) for January-delivery before mostly recovering to near a $27.75/bl discount by session's end.</p><p>January WCS at Hardisty was assessed at a $26.45/bl discount on 7 December. </p><p>At the other end of the pipeline, prices of <a href="https://direct.argusmedia.com/newsandanalysis/article/2399049">light sweet crude rallied before falling back</a>.</p><p>In September the Keystone system transported a record 640,000 b/d.</p><p>The pipeline was last <a href="https://direct.argusmedia.com/newsandanalysis/article/2391982">shutdown in mid-November</a> when the company declared a force majeure because of severe weather that was hampering operations.</p><p class="bylines">By Brett Holmes and Stephen Cunningham</p></article>
