Obama Halts Keystone XL Pipeline Project

President Obama announced Wednesday that he was rejecting TransCanada Corp.’s application for a permit to build and operate the Keystone XL pipeline.

This is the second time the administration has delayed the proposed $7 billion, 1,700-mile Keystone XL pipeline, which would stretch from Canada’s oil sands to refineries in Texas. The administration will allow TransCanada to reapply for a permit after it develops an alternate route around the Nebraska Sandhills, a sensitive habitat.

Environmental groups have lobbied against the project, arguing that the difficult extraction of oil sands contributed to climate change and that the pipeline itself posed leak risks. Supporters of the pipeline say it will create jobs and enhance U.S. energy security by increasing oil supplies from a friendly neighbor.

This post was authored by GLLF staff attorney Emily Kelchen.