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Trump to restart Keystone XL?

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World Pipelines,

TransCanada’s Keystone XL pipeline expansion project, vetoed by President Obama on 6 November 2015, could now be revived by the newly elected Donald Trump.

The 1197 mile, US$8 billion pipeline would transport crude oil from Canadian oilsands to US Gulf Coat refineries. It is predicted that the project would also create approximately 9000 jobs as well as a US$3 billion boost to the US economy.

Obama had previously rejected the pipeline project on an environmental basis, stating that the US is a global leader when addressing the issue of climate change and Keystone XL “would have undercut that global leadership.”

However, Trump does not hold such beliefs. He has promised to “cancel” the Paris climate agreement in order to transport more oil and gas, as a means of benefitting the economy. Trump also explained that he would approve Keystone XL, so long as the US receive a percentage of the profits.

Canada is also on board with the idea of reviving Keystone XL. The Canadian energy industry noted that oilsands producers will need extra pipeline capacity in order to source markets for the increased output, if the pipeline were to be approved.

In light of Trump’s victory, optimistic TransCanada stated it was currently “evaluating ways to convince the new administration on the benefits, the jobs and the tax revenues this project brings to the table … TransCanada remains fully committed to building Keystone XL.

Similarly, Vicki Granado, Spokeswoman of Energy Transfer Partners – the company operating the infamous Dakota Access pipeline project – has stated: “We remain focused on completing construction of this important energy infrastructure project with the expectation it will be in service in the first quarter of 2017.”

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