Inc.
Trump’s “Keystone Light” is dragging an old pipeline war back into the spotlight, with a fresh route, Canadian crude, and big political heat.
Trump Has a New Oil Plan. It Starts With an Old Pipeline Fight
Author: Leila Sheridan
A long-stalled pipeline fight is back. Now, it has a new route, a new name, and renewed political stakes.
Yesterday, Donald Trump approved a cross-border permit for a new pipeline project that revives part of the long-contested Keystone XL pipeline, a project once halted after years of protests over its climate impact, spill risks, and threats to Indigenous land. The Bridger Pipeline Expansion would carry Canadian oil from the U.S.-Canada border to Guernsey, Wyoming, Reuters reported.
The pipeline is designed to move up to 550,000 barrels of oil per day through eastern Montana and Wyoming before linking to existing infrastructure, according to NPR. It still needs additional federal and state environmental approvals, but company officials say construction could begin as soon as next year.
The move revives a long-running debate over North American oil pipelines. The new proposal follows a different route than the original Keystone XL pipeline, which was halted by Joe Biden in 2021 after years of opposition from environmental groups and Indigenous communities. Trump referenced that reversal directly, saying the previous administration “wouldn’t sign a pipeline deal,” according to NPR.
Even so, the new project isn’t starting from scratch. About 93 miles of pipeline have already been built on the Canadian side and remain idle, and developers plan to reuse that infrastructure. The full 650-mile system—sometimes dubbed “Keystone Light”—would move roughly two-thirds the volume of the original Keystone XL at peak capacity.
Developers argue the project is more practical and less disruptive than its predecessor. More than 70 percent of the route would follow existing pipeline corridors, and about 80 percent would run through private land, avoiding Native American reservations entirely, according to Bridger Pipeline LLC, NPR reported.
Still, opposition is mounting, with environmental groups arguing the core risks haven’t changed. “Pipelines rupture and leak. It’s just a fact of pipelines,” Jenny Harbine said, pointing to spill concerns in an interview with NPR.
At the same time, the project sits at the center of broader economic and geopolitical pressures. Canada, the world’s fourth-largest oil producer, is expected to increase output, while the U.S. imports roughly 4.4 million barrels of Canadian crude per day, making cross-border energy flows a key part of North American supply.
Supporters say expanding pipeline capacity could bolster U.S. energy security and help stabilize prices. Canadian officials have also framed new infrastructure as leverage in trade negotiations, casting oil exports as a form of “economic hard power.” “As a result, Canada should be able to negotiate the most favorable trade arrangements with the U.S. in the world,” Adam Waterous of Strathcona Resources, said, according to Reuters.
But significant hurdles remain. Analysts note that Guernsey, Wyoming, is not a final destination for oil, meaning additional pipelines would need to be built to reach major refining hubs like Cushing, Oklahoma, or the Gulf Coast. Further, regulatory approvals, court challenges, and commercial commitments from oil shippers could all delay or derail the project.
Credits: TCA, LLC.