Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Developer officially cancels Keystone XL pipeline project blocked by Biden

CommoditiesJun 10, 2021 01:46AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: A TC Energy pump station sits behind mounds of dirt from the Keystone XL crude oil pipeline as it lies idle near Oyen, Alberta, Canada February 1, 2021. REUTERS/Todd Korol

(Reuters) -A $9 billion oil pipeline that became a symbol of the rising political clout of climate change advocates and a flash point in U.S.-Canada relations was officially canceled on Wednesday.

Keystone XL, which was proposed in 2008 to bring oil from Canada's Western tar sands to U.S. refiners, was halted by owner TC Energy (NYSE:TRP) Corp after U.S. President Joe Biden this year revoked a key permit needed for a U.S. stretch of the 1,200-mile project.

Opponents of the line fought its construction for years, saying it was unnecessary and would hamper the U.S. transition to cleaner fuels. Its demise comes as other North American oil pipelines, including Dakota Access and Enbridge (NYSE:ENB) Line 3, face continued opposition from environmental groups. ​

"This is a landmark moment in the fight against the climate crisis," said Jared Margolis, a senior attorney at the Center for Biological Diversity. "We're hopeful that the Biden administration will continue to shift this country in the right direction by opposing fossil fuel projects."

The Keystone XL pipeline was expected to carry 830,000 barrels per day of Alberta oil sands crude to Nebraska, but the project was delayed for the past 12 years due to opposition from U.S. landowners, Native American tribes and environmentalists.

TC Energy owns the existing Keystone oil pipeline, which runs from Alberta to the U.S. oil storage hub in Cushing, Oklahoma, and to the U.S. Gulf, along with a power and storage business. It pledged to ensure a safe termination of the project.

"We remain disappointed and frustrated with the circumstances surrounding the Keystone XL project, including the cancellation of the presidential permit for the pipeline's border crossing," Alberta Premier Jason Kenney said in a statement.

Former U.S. President Donald Trump had approved a permit for the line in 2017, but it continued to face legal challenges that hampered construction. Biden had committed to canceling the project during his campaign and revoked the permit soon after taking office.

TC Energy swung to a loss in the first quarter, hit by C$2.2 billion ($1.81 billion) impairment charge related to the suspension of Keystone XL.

Its shares closed largely flat on the Toronto Stock Exchange.

Developer officially cancels Keystone XL pipeline project blocked by Biden
 

Related Articles

'Historic' heat wave takes aim at Pacific Northwest
'Historic' heat wave takes aim at Pacific Northwest By Reuters - Jun 23, 2021

By Dan Whitcomb LOS ANGELES (Reuters) - The U.S. Pacific Northwest could experience a historic heat wave in the coming days that has the potential to shatter long-standing...

Oil Hits New Highs Since 2018 After Blowout US Draws
Oil Hits New Highs Since 2018 After Blowout US Draws By Investing.com - Jun 23, 2021 4

(Updates throughput with settlement prices) By Barani Krishnan and Liz Moyer Investing.com - Oil prices hit new highs since 2018 on Wednesday after government supply-demand data...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
Klaus Weyers
Klaus Weyers Jun 10, 2021 5:17AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
great comment Igor.. but dont expect rational thinking from sleepy joe or most of the democrats.
Kaveh Sun
Kaveh Sun Jun 10, 2021 2:03AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Lefty wants high gas price to force u to drive ev cars.
igor bogdanoff
igor bogdanoff Jun 09, 2021 10:25PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Fossil fuels will go by the wayside eventually, but we're clearly not there yet.  EVs have numerous issues aside from an ever mounting supply chain issue and lithium bottleneck.  Right now this doesn't make sense.  Fossil fuels will still be used and it will just be shipped by rail instead, which is much more prone to accident/spillage.  Of course, since no new rail infrastructure needs to be built, you will never see opposition to it.  Politicians in both countries keep telling us we need to reduce emissions, adding carbon taxes which disproportionately affect low/middle class families and individuals, but do nothing to bridge the gap.  EVs will likely be mainstream at some point, but not until solid state batteries are mass produced and lithium can be mined at a rate that keeps up with demand.  Currently, EV prices just keep the average North American family out of the market, and those prices aren't going down any time soon.
Hung Pham
Hung Pham Jun 09, 2021 10:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Give VaChina Joe $10 million and he will approved it lol
igor bogdanoff
igor bogdanoff Jun 09, 2021 10:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Actually, Canada is already building a pipeline to the Pacific so we can ship to China.  The issues with Keystone were foreseen a long time ago and the existing pipeline is around 60 years old.  Not really sure why everyone is against it, replacing half-a-century old infrastructure with modern technology seems like a much better option than continuing to use 60 year old pipes.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email