Trans Mountain Oil Pipeline Expansion Likely to Proceed

The controversial expansion of Trans Mountain oil pipeline will be proceeded by the Canadian government. Justin Trudeau’s federal cabinet will meet to discuss the expansion on June 18 and the plan is to double the pipeline flow out of Alberta to the west coast in British Columbia, Bloomberg reported.

The expansion would add 590,000 barrels of daily shipping capacity and will be a boon for Canadian oil drillers struggling from a lack of pipelines. British Columbia has been strongly opposing the project, which forced Kinder Morgan to reconsider its commitment to expand the Trans Mountain pipeline, and to sell the project to the Canadian government in August 2018.

The leaders advocating for the pipeline expansion is conducting consultations with First Nations regarding the project, in an attempt to address all possible concerns that opponents may have. Work on the project could start fairly quickly if the outcome of the consultations are positive.

Source:
oilprice
bloomberg