Keystone XL revival faces hurdles as former developer and permits signal slim chances for progress
US President Donald Trump’s recent executive order appears to reopen the door for the controversial Keystone XL pipeline, despite its former developer showing no interest in reviving the project.
According to BNN Bloomberg, the decision rescinds a Biden administration directive that had revoked Trump’s March 2019 permit for the pipeline.
The multibillion-dollar, 1,200-mile project to transport oil from Canada to Nebraska is unlikely to proceed soon, if at all. South Bow Corp., the pipeline business spun off from TC Energy Corp., has not expressed interest in restarting the project.
“We’ve moved on from Keystone XL,” said South Bow CEO Bevin Wirzba in June.
Former President Joe Biden revoked the permit allowing the pipeline to cross the US-Canada border hours after taking office in January 2021.
Since then, portions of the pipeline system in Alberta, Montana, South Dakota, and Nebraska have been dismantled.
Anthony Swift, a senior director at the Natural Resources Defense Council, highlighted the challenges of resuming construction.
“Virtually all of the permits along the way have expired,” he said, adding that the project would essentially need to restart from scratch.
The White House has not commented on the potential revival of Keystone XL.
Trump’s decision underscores his broader effort to reverse many Biden-era policies.
His executive order described Biden’s policies as “inflationary, illegal and radical,” framing the Keystone XL move as one of many steps to repair US institutions and the economy.
However, the pipeline's revival may carry symbolic weight rather than immediate action.
Trump’s criticism of Biden’s decision to cancel Keystone XL has been a rallying point for Republicans, who have attributed higher gas prices to the cancellation and accused Democrats of being anti-oil.
Despite this political narrative, Trump has downplayed the need for Canadian oil.
Speaking at the World Economic Forum in Davos, Switzerland, he remarked, “We don’t need their oil and gas. We have more than anybody.”