UPDATE 2-Kinder Morgan Canada wins Trans Mountain pipe expansion appeal

UPDATE 2-Kinder Morgan Canada wins Trans Mountain pipe expansion appeal
From Reuters - December 7, 2017

CALGARY, Alberta (Reuters) - Canadas energy regulator ruled on Thursday in favor of Kinder Morgan Canada Ltds appeal to sidestep some municipal permits for its Trans Mountain pipeline expansion, a major victory for the C$7.4 billion ($5.8 billion) project.

The ruling, which came just three days after the regulator heard the case, could offset some of the construction delays afflicting the company, which said on Monday the project could be further set back if it could not get clarity about the permits.

The fight for Kinder Morgan is not over, as the federally approved project still faces opposition from environmentalists, aboriginal groups, the province of British Columbia and some municipal governments.

But the ruling does provide a measure of visibility that the company can overcome other such disputes if they arise,Royal Bank of Canada analyst Robert Kwan said in a research note.

Canadas National Energy Board (NEB) said on Thursday the unit of Houston-based Kinder Morgan Inc could proceed with construction work without complying with certain bylaws from the city of Burnaby, British Columbia, through which the pipeline passes.

It said it would give its reasons for the decision later.

Kinder Morgan Canada President Ian Anderson said in a statement the company was pleased with the decision, but still awaited the regulators decision on a related request to set up a process to consider such cases in the future.

Burnaby did not immediately respond to requests for comment.


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