Canada Rushes to Build Pipeline to Reduce US Dependence

Canadian Prime Minister Mark Carney has fast-tracked the proposed Pacific Link pipeline to reduce Canada's dependence on the United States and address concerns from oil-rich Alberta. The pipeline, expected to cost $25 billion to $31 billion, aims to transport 1 million barrels of crude oil per day from Bruderheim, northeast of Edmonton, Alberta, to a deepwater port near Delta, British Columbia.

The project is part of Ottawa's efforts to make Canada less dependent on the US and achieve 'greater strategic autonomy.' Carney stated that 'Canada is working' and emphasized national unity. He also noted that 90% of Alberta's oil currently goes to the United States, with Pacific Link expected to reduce this dependence by allowing Canada to export more oil to growing markets in Asia.

The government acknowledges significant questions remain over financing and whether producers will commit to using the pipeline. Calgary-based Pembina Pipeline Corp. has a 10% economic interest but has yet to invest its share of construction costs. An open season is expected next spring to determine how much pipeline capacity oil producers are willing to contract.