Keystone pipeline canceled after Biden had blocked permit

National

In this Dec. 18, 2020 photo, pipes to be used for the Keystone XL pipeline are stored in a field near Dorchester, Neb. Canadian Prime Minister Justin Trudeau says his officials have been in frequent contact with President-elect Joe Biden’s incoming administration making the case for a long disputed oil pipeline that reports say Biden will cancel on his first day in office. (Chris Machian /Omaha World-Herald via AP)

BILLINGS, Mont. (AP) — The sponsor of the Keystone XL crude oil pipeline said Wednesday it is pulling the plug on the contentious project after Canadian officials failed to persuade President Joe Biden to reverse his cancellation of its permit on the day he took office.

Calgary-based TC Energy said it would work with government agencies “to ensure a safe termination of and exit from” the partially built line, which was to transport crude from the oil sand fields of western Canada to Steele City, Nebraska.

Construction on the 1,200-mile pipeline began last year when former President Donald Trump revived the long-delayed project after it had stalled under the Obama administration.

It would have moved up to 830,000 barrels (35 million gallons) of crude daily, connecting in Nebraska to other pipelines that feed oil refineries on the U.S. Gulf Coast.

Biden canceled it in January over longstanding concerns that burning oil sands crude would make climate change worse.

Canada Prime Minister Justin Trudeau objected to the move, but officials in Alberta, where the line originated, expressed disappointment in recent weeks that he didn’t lobby harder to reinstate the pipeline’s permit.

Attorneys general from 21 states had sued to overturn Biden’s cancellation of the contentious pipeline, which would have created thousands of construction jobs.

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