Political promises squeeze Canadian oil industry

The oil industry had eight years of an energy friendly government in Canada and couldn’t get a single new export pipeline built. Now, with newly elected Prime Minister Justin Trudeau keeping his campaign promise of banning tanker traffic off parts of Canada’s west coast, it put the already reeling industry further on its heels and could eventually force more production shut-ins and cuts in investment due to a lack of access to global crude markets. The previous government, led by Prime Minister Stephen Harper, and industry put its eggs in the Keystone XL basket and in the end got sideswiped by the US government not approving Keystone XL while giving the nod to US crude exports. Apparently US shale development is less an environmental concern than Canadian oil sands. Now the industry is pushing several new Canadian export pipelines, but has a new government to deal with that is seemingly tone-deaf to Canada’s oil industry challenges. In mid-November, when Trudeau said an oil tanker ban would be implemented on the North Coast of British Columbia, it posed a major impediment to Enbridge’s proposed Northern Gateway pipeline. While the line already received regulatory approval from the National Energy Board, if a

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