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Energy

Keystone XL Developer Pulls Plug On Pipeline

Keystone XL pipeline sections sit on a train near Glendive, Mont.
Keystone XL pipeline sections sit on a train near Glendive, Mont.

The sponsor of the Keystone XL crude oil pipeline says it's pulling the plug on the contentious project after Canadian officials failed to persuade the Biden administration to reverse its cancellation of the company's permit.

Calgary-based TC Energy said Wednesday it would work with government agencies “to ensure a safe termination of and exit from” the partially built project.

The pipeline would have transported crude from the oil sand fields of western Canada to Steele City, Nebraska.

Construction on the 1,200-mile line began last year when former-Pres. Donald Trump revived the long-delayed project after it had stalled under the Obama administration.

Democratic Sen. Jon Tester said national politics were responsible for the pipeline’s fate. Republican Sen. Daines said Pres. Joe Biden was at fault. One of Biden’s first acts as president in January was to withdraw the pipeline’s border-crossing permit, a move that both Daines and Tester opposed.

Meanwhile, some Montana environmental groups and tribes are celebrating.

In a statement, Rosebud Sioux Tribe Pres. Rodney M. Bordeaux said, “This is great news for the Tribes who have been fighting to protect our people and our lands. The treaties and laws guarantee us protections, and we are committed to see that those laws are upheld.”

Fort Belknap Indian Community Pres. Andy Werk said in a statement, “The TransCanada announcement is a relief to those of us who stood in the pipeline’s path. We were not willing to sacrifice our water or safety for the financial benefit of a trans-national corporation. We are thrilled that the project has been canceled.”