Hoeven, who is a firm supporter of the pipeline, said he believes Obama will officially reject the permit in the lead-up to the climate change summit in France next month.
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The White House spokesperson, Mr. Josh Earnest however, put rumors to rest by adding that the administration will be reaching an absolute decision on the bid before President Obama leaved office.
State Department spokesman John Kirby said the department advised TransCanada on Wednesday of its decision to continue the review.
The denial of a pause in the review is the latest blow to a project that’s been under consideration by the USA government for more than seven years and has split lawmakers, while hurting relations with Canada, which is seeking to expand markets for its crude. From there it would connect with existing pipelines to carry more than 800,000 barrels of crude oil a day to refineries along the Texas Gulf Coast.
Asked about the strain Keystone had imposed on ties with the United States, by far Canada’s most important partner, he replied: “We don’t want it to be an irritant… we understand the Americans have to look at this very closely”. All the candidates for the Democratic presidential nomination say they oppose it.
The State Department has wasted no time in rejecting TransCanada’s request to suspend its review of the Keystone XL oil pipeline and an opponent of the pipeline sees that as an indication a decision on Keystone might be imminent.
TransCanada’s plea has been widely interpreted as an attempt to avert an impending “no” from Obama to the almost 1,200-mile cross-border pipeline.
“We are asking State to pause its review of Keystone XL based on the fact that we have applied to the Nebraska Public Service Commission for approval of its preferred route in the state”, Russ Girling, TransCanada’s president and chief executive officer, said in a statement. “The future of the Keystone XL pipeline should be decided, as President Obama has previously stated, by its effect on our climate, not politics”.
“If Canada is able to meet its national targets by offsetting emissions elsewhere in the economy the USA perspective on the salience of the pipeline could change”.
State Department officials say its review of the Keystone XL oil pipeline will continue. If the United States of America agrees to the suspension – which is not assured – that would leave the decision in the hands of the next president.
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Delaying the review would have allowed for certainty in the route of the pipeline, TransCanada said in a letter to Kerry. Although incoming Liberal Prime Minister Justin Trudeau, who is sworn in Wednesday, supports Keystone, he argues relations with the US should not hinge on the project.
