Trump approves ‘Keystone Light’ oil pipeline from Canada to US

Published May 1, 2026 10:04am ET | Updated May 1, 2026 10:04am ET



President Donald Trump on Thursday approved a major oil pipeline project from Canada into the United States, reviving an initiative from his first term that the Biden administration canceled. 

The project, informally dubbed “Keystone Light,” is seen as a scaled-down successor to the controversial Keystone XL pipeline, which President Joe Biden terminated in 2021. 

Trump granted a presidential permit allowing the pipeline to cross the U.S.-Canada border, clearing a major hurdle for the proposal led by Bridger Pipeline and its Canadian partners.

The new pipeline would stretch roughly 650 miles from Canada through Montana and Wyoming, carrying up to 550,000 barrels of crude oil per day, about two-thirds the capacity of the original Keystone XL project. 

Speaking after signing the approval, Trump contrasted his decision with Biden’s cancellation of the initial project, which had been halted on environmental grounds shortly after Biden took office. 

“Slightly different from the last administration. They wouldn’t sign a pipeline deal. And we have pipelines going up,” Trump said during the signing. 

The pipeline would transport crude oil from Canada’s oil sands region for refining in the U.S. or export to global markets. It is also expected to carry other petroleum products, including gasoline and diesel. 

The approval follows months of discussions between U.S. and Canadian officials about reviving parts of Keystone XL or pursuing alternative routes. Canadian leaders have pushed the project to strengthen energy ties and boost exports to the U.S., particularly amid global supply concerns. 

Despite the federal permit, the project faces significant regulatory and legal hurdles. Additional state and federal environmental approvals are required before construction can begin, with developers targeting a start date in as early as 2027, before Trump leaves office. 

Environmental groups immediately criticized the move, warning of spill risks and broader climate impacts. Past incidents involving pipeline operator Bridger, including a major oil spill in the Yellowstone River in 2015, have fueled opposition. 

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The Keystone XL project had been a flashpoint in U.S. energy policy for over a decade, drawing opposition from environmentalists and Native American tribes concerned about land and water risks. 

The newly approved pipeline avoids some of the earlier controversies by largely following existing infrastructure corridors and not crossing Native American reservations, according to project developers.