The White House on Monday welcomed a Canadian company's plan to build a pipeline from Oklahoma to the Texas Gulf Coast after President Barack Obama rejected the larger Keystone XL pipeline project.
The proposed 485-mile pipeline, spearheaded by TransCanada, is expected to cost $2.3 billion and be completed next year. The company is waiting for approval from federal, state and local governments.
"Moving oil from the Midwest to the world-class, state-of-the-art refineries on the Gulf Coast will modernize our infrastructure, create jobs, and encourage American energy production," a White House statement said.
Obama nixed the Keystone XL project last month because of uncertainty over a route that threatened an environmentally sensitive region in Nebraska. He also said that strict deadlines, forced upon him by Republicans, did not allow for enough time to fairly review the proposal.
TransCanada said it still hopes to build the full 1,700-mile Keystone XL pipeline and is working with Nebraska officials to find a route that avoids the concerned region.
The president's decision in January does not prejudge future applications, the statement said.
It added, "We will ensure any project receives the important assessment it deserves, and will base a decision to provide a permit on the completion of that review."
by RTT Staff Writer
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