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The Keystone XL pipeline would offer a safe, reliable and environmentally responsible way to deliver crude oil from western Canada to refineries in the U.S. Gulf Coast.

In 2020, the Alberta government agreed to provide financial support to Calgary-based TC Energy Corporation  to help advance construction of the KXL pipeline. This investment included C$1.5 billion in equity investment in 2020 and a C$6 billion loan guarantee in 2021.

On January 20, 2021, the presidential permit for the Keystone XL border crossing was revoked by the U.S. administration. The Government of Alberta is considering all options to advance this project and is strongly encouraging the Government of Canada to do the same.

Keystone XL pipeline route

The project would begin in Hardisty, Alberta, and end in Steele City, Nebraska. It would cover 1,947 kilometres.

In 2020, the investment resulted in the completion of the 2.2 kilometre Canada-U.S. border crossing, 17 pump stations across Canada and the U.S, and approximately 145 kilometres of pipeline construction in Alberta.

Keystone XL pipeline route map

Keystone XL pipeline route map

Project benefits

Construction of KXL saw roughly 2,500 construction workers hired in Alberta and the U.S., spurring thousands of additional jobs and increased economic activity in associated trades, retail, and hospitality services along the construction route.

If completed, the project would contribute approximately $2.4 billion to Canada’s GDP and generate more than $7 million in property taxes in the first year in service. It’s estimated the project will generate $30 billion in tax and royalty revenues for current and future generations of Albertans.

KXL would provide North America with a stable, secure supply of crude oil, reducing reliance on supply from OPEC. The pipeline would have the capacity to carry 830,000 barrels per day of crude from western Canadian oil fields to Gulf Coast refineries in the U.S where it would meet critical needs for the production of life-enhancing goods – from smartphones and appliances to medication and household products – as well as transportation fuel.

Along with the scheduled completion of Enbridge’s Line 3 in the next year and the Trans Mountain expansion project in late 2022, KXL would be another significant step in increasing Alberta’s takeaway capacity and access to international markets. This will help protect the value of the province’s energy resources and attract new investment.