Canada in Talks with Trump on Major New Deal

Canada and the U.S. States might be Facing the Worst Political Tensions the Two Countries have Experienced in Decades, but that hasn’t Stopped Ottawa from Speaking with Trump Oofficials about Reviving a Long-Dead Cross-Border Oil Pipeline. On 3/24/226, Reports that Canadian Officials Spoke with Representatives from the Trump (R) Administration about Resurrecting the Keystone XL Pipeline, a Project that has had a Long and Confusing History since it was First Proposed.

The Canadian Pipeline Company South Bow and its Partner in the U.S., Bridge Pipeline, are Masterminds behind the Keystone XL Plan, which could Increase Canada’s Crude Oil Exports South-of-the-Border by over 12%. The Government of Alberta Noted in a Report on the Pipeline that Keystone XL was First Proposed in 2008, as an Extension to the Existing Keystone Pipeline Network.

The Keystone XL Pipeline was a Planned 1,179-mile (1,897km) Development that would Run from the Alberta Oil Sands Town of Hardisty to Steele City in Nebraska, where it would Join-Up with an Existing Pipeline Network. Development of the Pipeline was Blocked by the Obama (D) Administration in 2015. Trump Allowed the Project to move Ahead during His First Term, but Biden (D) Later Pulled the Permits for the Project in 2021, Effectively Killing the Pipline Expansion.

However, with Trump Back-in-Power, it may be Possible for Keystone XL to move Ahead once again, and that seems to be the Thinking in Canada. According to a Key official, the pipeline was recently the topic of discussion with the Trump administration. On March 25th, the Canadian Energy and Natural Resources Minister, Tim Hodgson, said that He and Canadian Ambassador to the U.S., Mark Wiseman, Discussed Keystone XL with the U.S. Energy Secretary Chris Wright (R) and U.S. Secretary of the ⁠Interior Doug Burgum (R) while Meeting with the Key American Officials in Houston, TX.

Reuters Reported that Hodgson Noted during an Interview at the CERAWeek by S&P Global Conference that the Canadian Energy and Natural Resources Minister Framed the Prospect of a New Pipeline between Canada and the U.S. as an Option that could Assist the U.S. with its Energy Security Goals, even Amid the Ongoing War with Iran.

“Yes, [the United States is] the largest producer of oil in the world, they’re at 12-13 million barrels per day — but they consume 20,” Hodgson Reportedly explained. “And they understand that Canada provides about 63 per cent of that difference.”

Despite the Political Tensions Caused by the Trump’s Tariff Attacks and His 51st State Rhetoric, Trump has Repeatedly Called for Lower Oil Prices, and many Producers in the U.S. Rely on Canada to Provide them with the Roughly 4.4 million Barrels that Canadian Oil Companies Export South of the Border Every Day. But can Resurrecting the Keystone XL Pipeline really help?

Hodgsonr reportedly declined to say whether the U.s. was interested in moving ahead with the Keystone XL Project again. However, the Prospect that the Pipeline could be Revisited is an Interesting One Amid the Current Political Tension. However, Hodgson did Note He believed Wright and Burgum were “thoughtfully looking at all of the options to make sure the world has the oil it needs to function.”

CTV News noted that an Unnamed Trump Administration Official said the Trump’s Team was Working with Canada on the Permits needed to Resurrect the Project. The Outlet noted that the Project is Fully Permitted on the Canadian Side, but Presidential Permits and State Regulatory Permits are Needed to Bring the Pipeline Back.

“The president’s entire energy team has been working diligently with our partners in Canada to work through the permitting process,” the U.S. Official Reportedly said. Even if Canada does Not Revive the Keystone XL Pipeline Plan, Ottawa is Aggressively Working to Expand the Country’s Oil Exports under Mark Carney, to New Markets around the World, by Completing its Expansion of the Trans Mountain Pipeline.

The Trans Mountain Pipeline runs from Alberta to British Columbia. The New Expansion will Allow the Pipeline to be able to Handle 300,000 more Barrels per Day. Canada’s Prime Minister has been Working to Reduce Canadian Reliance on the U.S. States as the Main Market for the Nation’s Exports. According to the Canadian Energy Centre, Crude Oil Exports to the U.S. made up 22% of All Canadian Goods Exports in 2024.

"What we need to do, as the Prime Minister has said, is not sell less to the United States. We ​need to sell more to other people," Hodgson Explained.










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