New oil pipeline project could answer Trump’s Keystone XL pleas

By Mike Soraghan, Carlos Anchondo | 03/03/2025 06:52 AM EST

South Bow and Energy Transfer are gauging interest in a pipeline that would send more Canadian oil to the United States.

Miles of unused pipe for the Keystone XL pipeline sit near Gascoyne, North Dakota, in 2014.

Miles of unused pipe for the Keystone XL pipeline sit near Gascoyne, North Dakota, in 2014. That project wasn't completed, but companies are exploring a new possible oil pipeline between Canada and the United States. Andrew Burton/Getty Images

President Donald Trump’s repeated calls to build the Keystone XL oil pipeline have baffled many observers for a simple reason: The developer stopped pursuing the project.

But plans for a new pipeline from Canada to the United States are now floating through the oil industry — suggesting a riff on the original idea is possible.

The companies proposing it aren’t saying much, though a Canadian politician is seizing on the prospect. Alberta Premier Danielle Smith has bemoaned the cancellation of Keystone XL, and her office said in an emailed statement that Smith “is supportive of a new crude pipeline from Canada to the U.S.”

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That fits the description of what Canada-based South Bow and Texas-based Energy Transfer are exploring as a joint pipeline network called the “Big Sky Pipeline System.” The companies are gauging market interest as Trump continues to tout Keystone XL, saying on his Truth Social account last week that the project was “viciously jettisoned” by the Biden administration. He said the company behind it should “get it built — NOW!”

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