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Keystone XL oil pipeline plan 'to be rejected' | Keystone XL oil pipeline plan 'to be rejected' |
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The Obama administration will formally reject a controversial oil pipeline project later, US media report. | The Obama administration will formally reject a controversial oil pipeline project later, US media report. |
The state department is expected to make an announcement on the 1,600-mile (2,700km) Keystone XL pipeline on Wednesday afternoon. | The state department is expected to make an announcement on the 1,600-mile (2,700km) Keystone XL pipeline on Wednesday afternoon. |
The plan has been delayed amid objections by environmental groups and the US state of Nebraska. | The plan has been delayed amid objections by environmental groups and the US state of Nebraska. |
At the end of 2011, Republicans forced a final decision on the plan within 60 days during a legislative standoff. | At the end of 2011, Republicans forced a final decision on the plan within 60 days during a legislative standoff. |
The crude oil pipeline would run from western Canada to oil refineries on the Texas coast. | The crude oil pipeline would run from western Canada to oil refineries on the Texas coast. |
The Obama administration is expected to allow developers the option of submitting for consideration a new route, which would be expected to entail significant delays. | |
Keystone XL has been approved by Canada and is supported by Republicans who said it would create much-needed jobs and improve prospects for US energy independence. | Keystone XL has been approved by Canada and is supported by Republicans who said it would create much-needed jobs and improve prospects for US energy independence. |
The oil industry has estimated the project would create 20,000 jobs, although the state department and some independent studies suggest a lower figure of 6,000 jobs. | |
Environmental groups and the US state of Nebraska expressed concerns that the pipeline could could contaminate a major aquifer on its route. | |
Environmental groups are also concerned about carbon emissions from oil sands production in Alberta, a western Canadian province. | |
The legislature of Nebraska passed a measure requiring state approval of any route before TransCanada could start construction. | |
The White House had tried to postpone a final decision on the project until after the 2012 presidential election. | The White House had tried to postpone a final decision on the project until after the 2012 presidential election. |
But during a congressional impasse on payroll tax in December, Republicans forced the Obama administration to agree to make a decision on the pipeline within two months. | But during a congressional impasse on payroll tax in December, Republicans forced the Obama administration to agree to make a decision on the pipeline within two months. |
The US state department, however, said this would not be enough time to carry out the legally required environmental studies needed to approve the project. | The US state department, however, said this would not be enough time to carry out the legally required environmental studies needed to approve the project. |