Canada Purchases Trans Mountain Pipeline from Kinder Morgan

Canada purchases Trans Mountain pipeline project for $4.5B

The move will see Ottawa purchase the pipeline and the core assets of Kinder Morgan Canada for $4.5 billion dollars.

Canada's government said Tuesday it will take over a controversial pipeline expansion project to ensure it gets built over the fierce opposition of environmental activists and a regional government.

The project will duplicate an existing 1,150km pipeline, allowing it to ship up to 890,000 barrels of oil a day from landlocked Alberta to the Pacific coast of neighbouring British Columbia, in western Canada, for export overseas.

"Typically in an infrastructure project you have one government involved, but here you got Alberta, B.C., you got the feds", de Bever said.

In British Columbia, Premier John Horgan said his government will keep fighting the project in the courts.

Canada on Tuesday agreed to buy the pipeline for $4.5 billion (US$3.5 billion) in an effort to save a project that faces formidable opposition from environmentalists and British Columbia officials anxious the pipeline could spill its heavy oil.

Indigenous chiefs and First Nations have already assembled in Montreal earlier this week to protest the project, and Indigenous groups protesting the pipeline's construction in Burnaby said they'll push back regardless of Tuesday's announcement.

"When we are faced with an exceptional situation that puts jobs at risk, that puts our worldwide reputation on the line, our government is prepared to take action", Morneau told reporters.

The opposition to the project centers on the increased tanker traffic through the port of Vancouver and the Salish Sea that would result from its construction.

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Kinder Morgan had set a Thursday deadline to gain certainty over the project or abandon it altogether. "They may just get frustrated with this and say, 'That's enough, '" he said. The majority of Canadians understand that we are in a transition to a clean-growth century, and we will not get there overnight.

"If anything, we're going to ramp up our demonstration and our movement", George says.

The premier said he knew something was coming, but was still surprised in the federal government's announcement.

Now that Mr. Horgan is Premier, his government has walked a fine line between opposing the pipeline and living up to its legal obligations.

Many indigenous people see the new pipeline as a threat to their lands, echoing concerns raised by Native Americans about the Keystone XL project in the US.

His government says it continues to meet the terms of the agreement, which calls for a project office and manager to work with agencies to ensure timely processing of permits related to the project. "It polarized us. That is not who we are", Carr told the news conference. After getting cold feet, Kinder Morgan had halted construction in April.

This is why attacks like this from the Conservative party are so important moving forward.

"Canada stands to sacrifice its worldwide reputation, irreplaceable iconic species like the Southern resident Killer Whales, and its commitments to meet its Paris Climate targets and to reconcile with Indigenous people - all while putting enormous risk on Canadian taxpayers". But Ottawa will immediately seek new buyers in the private sector and has promised to also extend insurance to them for any politically-motivated delays. He promised that this project could not go through unless it was done through a vigorous review, which he broke'.