TC Energy Corp says it is moving away from the Keystone XL pipeline project and ending a more than decade-long battle that pitted the energy industry against environmentalists as oil sands producers sought to export Canadian crude. had demanded.
Newly elected US President Joe Biden suspended construction on the pipeline earlier this year after fulfilling a campaign promise to revoke his presidential permit in January.
TC Energy took a $2.2 billion writedown on a project that was canceled last month, leaving the company with a loss in its most recent quarterly earnings.
The Government of Alberta agreed in March 2020 to take a $1.5 billion equity stake in Keystone and provide a $6 billion loan guarantee to begin work immediately.
The government said on Wednesday that its final cost is expected to be $1.3 billion.
About 200 km of pipeline including the Canada-US border has already been laid. The Keystone XL project was first approved by the National Energy Board in 2007.
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