FILE - In this June 12, 2019 file photo demonstrators walk to Andrew W. Bogue Federal Courthouse as they protest against the Keystone XL pipeline in Rapid City, S.D. (Adam Fondren/Rapid City Journal via AP, File)

U.S. analysts agree Canadian energy projects are harder to complete

Experts: Pipeline projects in Canada tend to cross more borders, Indigenous territories than in U.S.

The perception that Canada is a more difficult place to build major energy projects is accurate, according to U.S. analysts, although opposition to such projects is growing in both countries.

Speaking in the wake of a decision by Teck Resources Ltd. to cancel its $20.6-billion Frontier oilsands mine, they say geography is part of the problem as pipeline projects in Canada tend to cross more borders and Indigenous territories than typical projects in the U.S.

Adequate pipeline access from the Alberta oilsands to export markets was one of the issues Teck said it must solve in order to proceed to construction of the mine.

New York-based analyst Phil Skolnick of Eight Capital says pipelines to bring oil and gas from the burgeoning Permian region in northern Texas to the Gulf Coast, for instance, can be built entirely inside state borders.

Pipelines that cross several state borders, however, such as the Keystone XL pipeline between Alberta and the U.S. Midwest, have been delayed by opposition on the U.S. side of the border after easily winning approval on the Canadian side.

Jennifer Rowland, a senior analyst in St. Louis, Mo., for Edward Jones, says Indigenous and environmental opposition to the 1,930-kilometre Dakota Access pipeline resulted in delays in 2016 and 2017 but it was built after law enforcement agencies enforced its regulatory approvals. She says the reluctance of Canadian law agencies to provide similar enforcement for approved projects is a competitive disadvantage.

READ MORE: Teck CEO says Frontier withdrawal a result of tensions over climate, reconciliation

“We’re talking about some pretty long-haul pipe that touches a lot of areas, a lot of communities, a lot of different Indigenous groups and I think that’s where it starts to get really messy, really quickly,” she said.

“And that, I think, is part of the bigger challenge in Canada than in the U.S.”

The Canadian Press

Like us on Facebook and follow us on Twitter

Oilsands

Just Posted

Housing challenges in Canada complicate efforts to fight COVID-19

Five per cent of all households deemed ‘not suitable’ while other dwellers face other challenges

Mental Health: Fractured services leave community to fill gaps

Greater Victoria service providers working together to help youth

DiManno: Once again, the Queen leads while others let us down

‘Self-discipline, quiet good-humoured resolve and fellow-feeling still characterize this country’

Cowichan Mountie cleared of wrongdoing after woman’s arm broken during arrest

Police were called around 10 p.m. on Dec. 30, 2019 to remove a “severely intoxicated” woman

Duncan using empty streetscape to move forward with public works downtown

Some projects scheduled for later in the year accelerated due to COVID-19 quiet

B.C. First Nations Health Authority launches virtual doctor program

Program to provide primary health care through COVID-19 pandemic

UPDATE: Canadians awake to extra COVID-19 emergency benefit money, feds clarify changes

The CRA and federal officials are working to clarify the confusion around payments

VIDEO: B.C. singer creates frontline workers tribute song

Cambree Lovesy’s song saluting those battling COVID-19 draws interest online

Statistics Canada report looks at COVID-19’s impact on violence in the family

Police across Canada reported almost 100,000 cases of intimate partner violence in 2018

132,000 B.C. jobs lost just the start of COVID-19 impact, finance minister says

B.C.’s latest employment figures for March show 7.2% increase

B.C. asking companies to contribute through online COVID-19 supply hub

New platform to co-ordinate, source, expedite supplies and equipment to support front-line workers

Controls can keep Canadian COVID-19 deaths under 22,000, health agency says

With poor containment measures, the death toll could be much, much higher, the agency says

People needing addictions services feel ‘abandoned’ during pandemic, B.C.’s ex-top doctor says

Widespread job losses and more homelessness due to physical distancing at shelters have added hurdles

Most Read