Developer cancels Keystone XL pipeline — OIL AND GAS

Developer cancels Keystone XL pipeline — OIL AND GAS

Developer cancels Keystone XL pipeline — OIL AND GAS

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 Biden to reverse his cancellation of its permit on the day he took office.

That investment vaporized when the Biden administration in the US cancelled the permit for the project on its first day in office.

TC Energy Corp announced they would cancel the Keystone XL pipeline Wednesday. "We remain grateful to the many organizations that supported the project and would have shared in its benefits, including our partners, the Government of Alberta and Natural Law Energy", TC Energy President and Chief Executive Officer François Poirier said in the release.

The company said in a news release that it will continue to co-ordinate with regulators, stakeholders and Indigenous groups to meet its environmental and regulatory commitments and ensure a safe termination of and exit from the project.

On Wednesday, he said the province will still work with US partners to play a role in meeting American energy demands.

The Albertan government reiterated Wednesday that the cost of backing the project is expected to be around $1.3 billion, in line with its estimate outlined in the most recent provincial budget.

The company said it would continue to look for opportunities in the energy transition and in powering existing USA assets with renewable energy. "At a time when Canadians are desperate to get back to work, the loss of this important project only makes this harder", said federal Conservative party leader Erin O'Toole. -Canada border. TC Energy suspended work on Keystone XL the same day. "However, terminating our relationship with TC Energy's project is in the best interest of Albertans under current conditions".

As a result, the Canadian leg of the project had been under construction for several months with around 1,000 workers in southeast Alberta.

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