Saturday, May 5, 2012
TransCanada Corp is taking its second shot at asking Washington to approve the contentious Keystone XL oil pipeline, betting that a new route through Nebraska and post-U.S. election time frame for a decision will push the project forward.
The reapplication to the U.S. State Department on Friday comes after Canada’s largest pipeline company carved the proposal into two parts.
U.S. President Barack Obama rejected the full $7.6 billion project early this year due to concerns about the proposed northern portion of the route near an aquifer in Nebraska. Obama has expressed support for the southern portion.
TransCanada has been negotiating with Nebraska state officials over a new route and hopes to have the northern part of the pipeline in service by the end of 2014 or early 2015, assuming it wins State Department approval by the first quarter of next year. That portion would cost $5.3 billion.