Canada’s oil industry – already having to fight against our own government here at home – faces another massive setback after a ruling by a U.S. federal judge in Montana.
Canada’s beleaguered oil industry is facing another brutal setback.
A U.S. federal judge in Montana has issued a ruling that will delay the pipeline, which was supposed to be a key part of getting Canada’s oil to markets.
With pipeline construction in Canada being ground to a halt through a combination of over-regulation and foreign influence operations attacking the industry, getting Keystone XL finished would have been a rare bright spot.
But now, it’s blocked.
As noted by Bloomberg, “Any potential setback will make other projects, including Enbridge Inc.’s Line 3 expansion and the federal government’s Trans Mountain expansion project, all the more crucial for the industry. Delays also may send TransCanada back to oil producers or Canada’s government for assurances that the trouble of trying to push ahead with the pipeline will be worthwhile, according to Royal Bank of Canada’s Robert Kwan. “There is a clear economic need for the project and we wonder whether TransCanada will choose to pursue the project with a stronger backstop from shippers and/or various levels of government,” Kwan said in a note.”
Keystone XL delays wouldn’t be so devastating if the Trudeau government was supporting Canada’s energy industry. But it’s not.
Instead, the government has done the bare minimum to pretend they aren’t against Canadian oil, while imposing regulations that make pipeline approvals nearly impossible, and rejecting pipelines the industry and our country badly needs.
As a result, billions of dollars of investment has fled the industry, and it’s only getting worse as the Trudeau government continues putting their boot on the neck of Canada’s oil producers.
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