Trump Revives Oil Pipeline Project: Keystone XL Partially Reapproved

by Marcus Liu - Business Editor
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Trump Revives Keystone XL Pipeline Project with Cross-Border Permit

U.S. President Donald Trump signed an executive order on Thursday, April 30, 2026, granting a cross-border permit to a project that aims to revive portions of the Keystone XL pipeline. This move could increase Canada’s crude oil exports to the U.S. By over 12 percent, according to project proponents. The new proposal differs from the previously cancelled Keystone XL project, which was halted by former President Joe Biden in 2021 following significant opposition from Indigenous groups and environmental advocates.

Project Details and Ownership

The pipeline is proposed by Canadian pipeline company South Bow and its U.S. Partner, Bridger Pipeline. South Bow was established in 2024 by TC Energy to manage its oil pipeline assets [The Globe and Mail]. Bridger Pipeline has filed a proposal with Montana regulators outlining the construction of a 1,038-kilometer (645-mile) pipeline capable of transporting up to 550,000 barrels per day. The pipeline would begin near the U.S.-Canada border in Phillips County, Montana, and extend to Guernsey, Wyoming [The Globe and Mail].

From Instagram — related to The Globe and Mail, South Bow

Utilizing Existing Infrastructure

The project intends to leverage previously constructed pipeline segments on the Canadian side, where the Keystone XL line already has the necessary permits. This approach aims to expedite the revival of crude oil transport capacity between the two countries [The Globe and Mail].

Utilizing Existing Infrastructure
The Globe and Mail Canadian Guernsey

Challenges and Future Development

While the presidential permit is a crucial step, the project faces further hurdles. Guernsey, Wyoming, is not a major refining hub, necessitating the construction of additional pipeline links to reach key refining centers such as Cushing, Oklahoma; Patoka, Illinois; and the U.S. Gulf Coast [The Globe and Mail]. State regulatory approvals will also be required before construction can commence [The Globe and Mail].

Political Context and Previous Cancellation

The original Keystone XL pipeline faced years of opposition, ultimately leading to its cancellation by President Biden in 2021. The new proposal seeks to navigate these past concerns with a revised route and a focus on utilizing existing infrastructure [U.S. News & World Report]. The decision to grant the permit reflects a shift in energy policy under the current administration [Bloomberg].

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