Trans Mountain Expansion Project May Be Canada's Last Major Oil Pipeline, Experts Say
As a protracted saga over the Trans Mountain pipeline nears the end as the expansion project enters its final phase, some industry experts believe it could be Canada's last major oil pipeline project following a shrinking oil production in Western Canada, CBC news reported last week.
"The industry is always finding new ways of doing things, and I don't think we are going to see another largescale liquid pipeline coming forward," said Alex Pourbaix, an industry expert and CEO of Cenovus Energy.
Pipeline politics have plagued the country for over a decade, with Trans Mountain often in the spotlight. Last week, the price tag for the project was updated to $22.5 billion (C$ 30.9 billion), more than quadrupling the initial cost.
In an interview, Kevin Birn, S&P Global Commodity Insights Vice-President, told CBC news reporter that problems that plagued the massive pipeline project could discourage any developer from carrying out large-scale pipeline expansion in Canada.
The pipeline's construction is expected to wrap up by year-end, spanning more than a decade after it was proposed.