Three berths able to load vessels with oil are seen at Westridge Marine Terminal, the terminus of the Trans Mountain Pipeline expansion project in Burnaby, B.C. on April 26.pumped through the expanded Trans Mountain pipeline, it marked a milestone. Alberta’s oil is now less landlocked. The discount on each barrel is shrinking. There will be a noticeable bump in Canada’s GDP.
“I think a lack of celebration is likely due to the politics around this,” Mr. Morneau said. “I do think, though, that the economics will show up over time.”In 2018, the Liberal notion of the bargain was essentially for one pipeline. Twinning the Trans-Mountain pipeline was deemed the viable option for environmental and political reasons.
The cost overruns, blamed on the COVID-19 pandemic and flooding, among other things, ballooned the sticker price to a shocking figure. Most of the $34-billion was paid with debt, and the interest will be more than covered by higher tolls for oil shippers. If potential buyers think the pipeline will be heavily used for decades, most of the $8-billion in equity could be recouped in a sale, he thinks.