CALGARY — Shares in Kinder Morgan Canada opened down 15 per cent Monday but trading in the oilsands companies it serves were mixed a day after it announced it was suspending all non-essential construction on the Trans Mountain pipeline expansion project.<\/p>\n
By 10 a.m. ET, Kinder Morgan Canada stock had recovered to $16.53, down $1.91 or about 10 per cent from Friday’s close, but the TSX\/S&P Capped Energy Index, which tracks Canada’s largest oil and gas industry members, was up slightly on news of rising oil prices.<\/p>\n
The pipeline company says it plans to consult with stakeholders to try to provide clarity on the viability of its $7.4-billion project in view of continuing government opposition in B.C., setting a hard deadline of May 31 to reach a deal or consider cancelling the project.<\/p>\n
In a report, analysts at Desjardins say the warning ups the stakes but shouldn’t come as a surprise to those who have watched the company’s five-year struggle to win approval and build the pipeline.<\/p>\n
It says the future of the project remains “cloudy” and warns the announcement will likely further entrench opposition activists by providing a calendar target.<\/p>\n
It says Alberta Premier Rachel Notley’s declaration that her province is prepared to invest in the project is comforting and suggests that it could survive the company’s deadline.<\/p>\n
In a statement on Sunday, CEO Alex Pourbaix of shipper Cenovus Energy Inc. warned there will be a “chilling effect on investment … across the entire country” if the project fails, recalling that TransCanada Corp. pulled the plug on its much-delayed $15.7-billion Energy East pipeline about six months ago.<\/p>\n
Companies in this article: (TMX:KML, TMX:CVE)<\/p>\n","protected":false},"excerpt":{"rendered":"
CALGARY — Shares in Kinder Morgan Canada opened down 15 per cent Monday but trading in the oilsands companies it serves were mixed a day after it announced it was suspending all non-essential construction on the Trans Mountain pipeline expansion project. By 10 a.m. ET, Kinder Morgan Canada stock had recovered to $16.53, down $1.91 […]<\/p>\n","protected":false},"author":578,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4421"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/578"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=4421"}],"version-history":[{"count":3,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4421\/revisions"}],"predecessor-version":[{"id":4458,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/4421\/revisions\/4458"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=4421"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=4421"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=4421"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}