The Canadian government-owned Trans Mountain oil pipeline is expected to cost C$...
WINNIPEG, Manitoba - The Canadian government-owned Trans Mountain oil pipeline is expected to cost C$12.6 billion to expand, a sharp increase from the previous estimate of C$7.4 billion, the pipeline company’s chief executive said on Friday.
The company decided to use thicker steel than it had previously planned for sensitive areas such as water crossings and changed its construction techniques to protect places that may have indigenous artifacts. The project will twin a 67-year-old pipeline and nearly triple capacity to 890,000 barrels per day moving from Alberta to a Pacific coast port near Vancouver. It is one of several pipeline projects that have been delayed due to opposition from environmental activists and indigenous groups, forcing the Alberta provincial government to order production curtailments.
In 2018, Ottawa bought the pipeline for C$4.5 billion to ensure expansion proceeded. Anderson said he was not aware when the government plans to sell Trans Mountain to private buyers, or how the higher cost would affect interest.
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