Oil Pipelines – Canadian Government approves two major pipeline projects

Oil Pipelines Canadian Government approved

Oil Pipelines – the Canadian Government has approved two major crude oil pipeline projects and rejected a third.

The Canadian Government has approved two major crude oil pipeline projects and rejected a third.
Minister of Natural Resources, Jim Carr, and Minister of Transport, Marc Garneau, announced on Tuesday that Kinder Morgan’s C$6.8bn Trans Mountain Expansion Project had been given the green light, subject to 157 conditions.

The Government has also approved Enbridge‘s Line 3 Replacement Project, subject to 37 conditions. Enbridge is planning to replace 1,067 km of existing pipeline from Hardisty, Alberta, to Gretna, Manitoba, to enhance the safety of the line and restore its original capacity of 760,000 barrels a day.

But another Enbridge project, the long-stalled Northern Gateway pipeline, will not proceed because it would result in crude oil tankers transiting through the sensitive ecosystem of the Douglas Channel, part of the Great Bear Rainforest, the Government said.

Enbridge welcomed the approval of the Line 3 replacement program, the largest project in its history at approximately C$7.5bn.

“We have strong support for the project from our communities along the route, including Indigenous communities,” the company said in a statement.

Commenting on the rejected Northern Gateway pipeline, the company expressed disappointment with the decision and said it was an important project to ensure Canada gets its resources to international markets.

“Northern Gateway also represented an unprecedented partnership with Indigenous people,” Enbridge continued. “The 31 Indigenous communities who had a one-third ownership in Northern Gateway stood to realize C$2bn in benefits to their communities and would have played an important stewardship role in the project.”

The Government also announced a moratorium on crude oil tankers along British Columbia’s northern coast.

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