TransCanada Keystone XL pipeline to cost $8 billion – Mining.com

November 4, 2014

The cost of TransCanada Corp’s (TSX, NYSE:TRP) controversial Keystone XL pipeline has risen by half to US$8 billion, the firm said Tuesday as the U.S. regulatory process drags into its seventh year.

“CEO Russ Girling said the longer the company is forced to wait for a U.S. authorization, the more expensive the pipeline would become.”

Speaking during the firm’s morning’s third-quarter earnings call CEO Russ Girling said the longer the company is forced to wait for a U.S. authorization, the more expensive the pipeline would become. As of Sept. 30, TransCanada had sunk $2.4 billion into the project.

TransCanada applied to build its Keystone XL pipeline between Hardisty, Alberta and Cushing, Oklahoma six years ago, but the construction of the pipeline — set to carry 830,000 barrels per day of crude— has been delayed multiple times. The company continues to wait for the approval from U.S. President Barack Obama, who has the authority to back the pipeline or not because it crosses the Canada/U.S. border.