U.S. Approves Keystone Pipeline

Keystone Pipeline

CBJ — The U.S. government has given the green light to allow the Keystone XL oil sands pipeline to be built across U.S. federal land.

The $8 billion project has been mired in regulatory and legal matters for years, and further court challenges are likely still to come.

The approval by the Trump administration covers about 72km of the line’s route across land in Montana controlled by the Bureau of Land Management and the U.S. Army Corps of Engineers. The previous Obama administration had halted further development.

The 1,950km pipeline would potentially transport more than 800,000 barrels of crude oil on a daily basis from Alberta to terminals on the Gulf Coast.

Stakeholders are hoping that the project can get going this year, but further legal wrangling is sure to tie things up once again. There are still private land-owning stakeholders to deal with.

Opponents claim the tar sands oil will only serve to exacerbate climate change and are also concerned that the pipeline could burst and spill into waterways like Montana’s Missouri River.

@CanBizJournal

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