Name of the Project
Keystone XL project.

Location
Canada and the US.

Project Owner/s
TC Energy.

Project description
The project will enable Canadian and US oil producers to have more access to the large refining markets in the American Midwest and along the US Gulf Coast.

The project proposes a 1 947 km, 36-inch diameter crude oil pipeline, beginning in Hardisty, Alberta, in Canada, and extending south to Steele City, Nebraska, in the US. This pipeline is a critical infrastructure project for the energy security of the US.

Along with transporting crude oil from Canada, the Keystone XL pipeline will also support the significant growth of crude oil production in the US from producers in the Bakken region of Montana and North Dakota.

The pipeline will have capacity to transport 830 000 bbl/d of oil to Gulf Coast and Midwest refineries, reducing American dependence on oil from Venezuela and the Middle East by up to 40%.

Potential Job Creation
Construction of Keystone XL will create 13 200 to 10 400 jobs in the US, and 2 800 in Canada, providing high-quality jobs and local contracting opportunities for welders, surveyors, engineers and environmental specialists, as well as communities and indigenous groups. Construction will support nearly 60 000 direct, indirect and induced employment opportunities generated by the business that will be created by supplying goods and services to the project and its workforce.

Capital Expenditure
$8-billion.

As part of the funding plan, the government of Alberta agreed to invest about $1.1-billion as equity in the project. The remaining capital investment of about $6.9-billion is expected to be funded through the combination of a $4.2-billion project-level credit facility, to be fully guaranteed by the government of Alberta, and a $2.7-billion investment by TC Energy.

Planned Start/End Date
With preconstruction activities under way, the pipeline is expected to enter service in 2023; however, this has been brought into question, with Joe Biden having taken office in January 2021.

Latest developments
Texas and 16 other states are suing President Joe Biden’s administration for rescinding permission to build the Keystone XL pipeline, after former President Donald Trump’s administration supported it.

The suit was filed by Texas Attorney General Ken Paxton and Montana Attorney General Austin Knudsen.

According to a complaint filed in a Texas federal court, Biden lacks unilateral authority to change energy policy set by Congress.

“The Executive’s unilateral decision to revoke the Keystone XL permit is contrary to the constitutional structure to which the states agreed at the time of ratification,“ the complaint states. “The Executive’s decision also encroaches upon the states’ abilities to steward and control the lands within their borders.”

The case is joined by attorneys general from 16 states, including Alabama, Missouri, Nebraska, North Dakota, Ohio, Utah and Wyoming.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Keystone XL Pipleine, email keystone@tcenergy.com.