Trans Mountain Expansion more expensive than expected

Trans Mountain Expansion more expensive than expected

Kinder Morgan Canada Ltd. documents have found the Trans Mountain Expansion project could cost more and take longer to complete than current estimates.

A new report that was part of the Kinder Morgan’s sale of the project’s assets to the Canadian Government found that capital costs could increase by as much as C$1 billion to C$1.9 billion and be delayed by one year to December 2021.

Work on the Trans Mountain project has been repeatedly delayed due to permitting issues and political opposition, which led to Kinder Morgan ceasing all non-essential work in April.

Canada agreed to purchase the Trans Mountain assets in May in a bid to save the controversial C$7.4 billion project, which will nearly triple capacity of the pipeline between Alberta and the British Columbia coast to 890,000 barrels per day.

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