Canada fast-tracks C$44 billion Pacific Link oil pipeline project

Canada has taken a major step toward expanding its oil export capabilities with the federal government designating the Pacific Link pipeline as a ‘major project.’ This classification speeds up the approval process for the C$35.2 billion, C$43.7 billion (US$24.7 billion, US$30.7 billion) project, which aims to transport up to 1 million barrels of Alberta oil per day over 1,250 kilometers to a new export terminal near Delta, British Columbia.

The pipeline is expected to boost Canada’s access to Asian energy markets and reduce its dependence on the US for oil exports. Prime Minister Mark Carney called the project ‘critical’ to Canada’s goal of becoming a global energy superpower and achieving greater trade autonomy. Construction could start as early as September 2027, with completion targeted for 2032.

The project includes 11 pumping stations and is designed to minimize environmental impact by following existing infrastructure. Combined with optimizations to the Trans Mountain system, it could lower Canada’s reliance on US land-pipelines from 82-83% to 65-70%. Ownership will be split equally between Canada and Alberta, with Pembina Pipeline holding an initial 10% stake and First Nations groups having the option to acquire a 10% interest.

Alberta Premier Danielle Smith praised the project’s new status as ‘a significant victory for Alberta’s and Canada’s energy future.’ The federal review and stakeholder consultation process will now be led by the Major Projects Office and Canada Energy Regulator, with a goal of finalizing conditions by 1 September 2027.