• 4 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 6 minutes UAE says four vessels subjected to 'sabotage' near Fujairah port
  • 9 minutes Why is Strait of Hormuz the World's Most Important Oil Artery
  • 13 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 13 mins Wonders of Shale- Gas,bringing investments and jobs to the US
  • 1 hour Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 4 hours Rural and Conservative: Polish Towns Go 'LGBT free' Ahead Of Bitter European Election Campaign
  • 2 hours IMO2020 To scrub or not to scrub
  • 3 hours Compensation For A Trade War: Argentina’s Financial Crisis Creates An Opportunity For China
  • 4 hours Trump bogged down in Mideast quagmire. US spent $Trillions, lost Thousands of lives, and lost goodwill. FOR WHAT? US interests ? WHAT INTEREST ? To get Jared (Frisch School 2.8 GPA) a Mideast win with peace deal ? China greatest threat next 50 years.
  • 9 hours Balancing Act---Sanctions, Venezuela, Trade War and Demand
  • 28 mins California's Oil Industry Collapses Despite Shale Boom
  • 5 hours Greenpeace Blocks BP HQ
  • 3 hours Devastating Sanctions: Iran and Venezuela hurting
  • 2 hours Crude oil?
  • 3 hours Shale to be profitable in 2019!!!
  • 10 mins Global Warming Making The Rich Richer
  • 3 hours China Downplays Chances For Trade Talks While U.S. Plays ‘Little Tricks’

Go or No-Go Expected For Enbridge Pipeline By November

Enbridge pipeline construction

The Canadian government announced on Thursday that it will hold itself to a two-month deadline for a yay or nay on the controversial Northern Gateway and Line 3 oil pipelines—two projects that would alleviate pipeline capacity issues currently choking Canadian oil companies.

Another pipeline project that requires Canadian Prime Minister Justin Trudeau’s approval is Kinder Morgan’s Trans Mountain pipeline extension, for which a decision is due mid-December. Unfortunately for Enbridge, news broke earlier this month that it would likely be one project or another to get approved—not both, as people familiar with Trudeau’s plans said that it was his goal to approve at least one new oil pipeline project during his first term, and that the Kinder Morgan project was favored. The idea was that Trudeau wanted to reject some and approve some in order to restore confidence in newer regulatory rules and prop up Canada’s troubled economy.

“Given the complexity of the proposed Northern Gateway Pipelines project, this extension provides the Government with additional time to consider next steps in response to the Federal Court of Appeal decision,” Alexandre Deslongchamps, a spokesman for Carr, said on Thursday.

The Northern Gateway project is estimated at US$6 billion, and had already been approved by the previous government, only to have its permits invalidated earlier this year after a court found that the government failed to consult the country’s indigenous people—a scenario that is all too familiar in the U.S. with the Dakota Access Pipeline project that has stalled after relentless indigenous protests.

Seeing the writing on the wall, Enbridge has already made plans to pick up its marbles and go home, and has a plan to spend $28 billion to take over Spectra Energy. By design, the purchase would help Enbridge wean itself away from Canada and toward a more accommodating market in the U.S.—but given the DAPL controversy, we’re not sure they’ll find it there either.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News