Article content continued
The Dakota Access ruling has also shown that even existing pipelines can face legal uncertainty.
“Even if you have the pipeline running and in service, they can ask you to get rid of it,” said Coleman.
Despite the potential pitfalls ahead, other experts feel the gamble is worth it.
Richard Masson, former CEO of the Alberta Petroleum Marketing Commission, believes the rationale behind the investment still stands.
Demand for Canadian heavy oil remains strong with Gulf Coast refiners, while competing production from Venezuela and Mexico has dwindled.
The province decided to use its only leverage — its commercial options — to propel the project ahead.
“The fundamental business case is there,” Masson said.
“On balance, it’s a big risk decision, but . . . I would still say it’s the right call. We need Keystone XL.”
Chris Varcoe is a Calgary Herald columnist.
