Canadian regulators on Monday kicked off a two-day hearing to weigh up a controversial route change request from the Trans Mountain expansion (TMX) project that has sparked Indigenous opposition and may lead to further delays for the key oil pipeline. After years of environmental opposition, regulatory hold-ups and ballooning costs, Canadian government-owned TMX is nearing completion and due to start shipping an extra 590,000 barrels per day of crude from Alberta to Canada's Pacific coast in the first quarter of 2024. Canadian producers are eagerly awaiting the increased export capacity that will open up access to markets in Asia and the U.S. West Coast and help support heavy oil prices.
CALGARY, Alberta - Canadian regulators on Monday kicked off a two-day hearing to weigh up a controversial route change request from the Trans Mountain expansion project that has sparked Indigenous opposition and may lead to further delays for the key oil pipeline.
But last month Tran Mountain Corp , the crown corporation building the expansion, asked the Canada Energy Regulator to change the approved route on a 1.3-kilometre section of pipeline near Kamloops, British Columbia, to avoid planned micro-tunneling construction that it now says is unfeasible. Earlier this year, TMC estimated the entire expansion project would cost C$30.9 billion, more than four times its original budget, and warned the price tag could rise further.
In letters already filed with regulators, the Indigenous group says altering the route would disturb lands that hold "profound spiritual and cultural significance", and it only agreed to allow TMX to cross its territory in the first place because of assurances the micro-tunneling would work.
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