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Federal judge allows Keystone XL oil pipeline pre-construction (US)

A federal judge has ruled that TransCanada could begin some pre-construction activities on the long-delayed 830,000 bbl/d Keystone XL oil pipeline project (United States). The ruling includes project development activities such as engineering and awarding contracts. It clarifies a previous one issued earlier in November 2018 that halted works on the project.



TransCanada now plans to make the final investment decision (FID) could be made in late 2018 or in early 2019, depending on the outcome of the current regulatory approvals and court challenges, and to start the construction phase in 2019.



Keystone XL would link the Alberta oil sands (Canada) through Nebraska (US) to the Mexico Gulf coast refiners over a 1,897 km route. The project has been repeatedly delayed and received a presidential veto in 2015. However, the new administration approved the pipeline permit in March 2017. The project is still opposed by environmental groups, Native American tribes and some landowners.