Washington : US President Donald Trump signed executive actions to revive the construction of Keystone XL and Dakota Access pipelines.
Last May, Trump announced in a speech in North Dakota he would approve the Keystone XL pipeline, but would seek percentage from the profits.
The proposed 1,179-mile Keystone XL pipeline would link the oil sands region in the Canadian province of Alberta to the US state of Nebraska, and all the way to the oil refineries on the Gulf of Mexico coast.
Last February, President Barack Obama vetoed a bill to allow the construction of the pipeline.
Members of the Standing Rock Sioux Tribe and their supporters opposed to the Dakota Access Pipeline (DAPL) confront bulldozers working on the new oil pipeline in an effort to make them stop, September 3, 2016, near Cannon Ball, North Dakota
The Dakota Access Pipeline is intended to transport domestically produced light crude oil from North Dakota through the states of South Dakota and Iowa into Illinois. Last month, the US Army Corps of Engineers decided to halt final-stage construction of the pipeline because of environmental concerns.
The project has sparked protests with violent clashes involving local law enforcement officials, who have used dogs, water cannons, tear gas and physical violence in unsuccessful attempts to end the standoff.
TransCanada Corp.’s Keystone pipeline was rejected under former President Barack Obama, and Energy Transfer Partners LP’s $3.8 billion Dakota Access project was stalled when the Obama administration halted work on in on land near Lake Oahe in North Dakota amid protests by Native American groups.
The moves, taken on Trump’s fourth full day in office, illustrate his plan to fulfill his campaign pledge to give the oil industry more freedom to expand infrastructure, create jobs and ease transportation bottlenecks.
TransCanada climbed as much as 1.1 percent to C$63.25 at 9:33 a.m. in New York. Energy Transfer Equity LP and Energy Transfer Partners LP climbed as much as 3.3 percent and 1.7 percent, respectively.
TransCanada had no immediate comment on the president’s proposed actions and Energy Transfer didn’t immediately respond to requests for comment. A spokesman for the Standing Rock tribe that opposes the Dakota project says they’ll comment “if it happens.”
White House press secretary Sean Spicer on Monday said Trump’s goal was to balance environmental protection and projects that can grow jobs and the economy.
TransCanada may need to submit another formal application to build the pipeline. But the company’s plans for Keystone XL already have been vetted, with years of environmental scrutiny culminating in former President Barack Obama’s 2015 decision that the pipeline was not in the U.S. interest.
TransCanada has not said it would reapply for permission to build the pipeline, but the day after Trump’s election, the Calgary-based company said it was looking for ways to convince the new administration of the project’s benefits to the U.S. economy. The company has previously said it remains “committed to Keystone XL.”