The assumptions about this oil is too simplistic. Why is the Keystone pipeline ending in Texas? Because it can deal with heavy crude (like Venezuela's) and because it's on the coast to be easily exported after being refined. We export refined oil products from Texas. There was never any assurance the refined product was staying in the US. It is a global market with sales to the highest bidder. And a Canadian pipeline to the pacific will encounter opposition in the Canadian West. It will be a long slog I'll bet.
The global aspect also means China will buy and invest in energy anywhere on the globe. As do we. Therefore the availability of crude depends on total global use. Buyers, including the US, can't lock up oil products for their exclusive use. That's why the 'Drill, baby, drill' never made much sense for crude in terms of a lower price here and higher prices somewhere else. By the way, that's not true for NG where there are restrictions on export - which complicate the idea of relieving Ukraine and the rest of Europe from Russia's thumb. However, as a supplier Russia is turning to China as plan 'B'as they fear further sanctions and alternative sources for Europe.
There will be equilibrium as long as policy makers and politicians aren't out there stirring the pot - which they are - and consumers educate themselves outside the narrow political gamesmanship.
We have a new unit train facility in my area that isn't running any grain. Why? Because the railroads are too busy running strings of petroleum tank cars to deliver grain cars for a reasonable price. We have a plan 'B' using barging down the Snake/Columbia.
