EXTRACTED: Daily News Clips 5/18/26
PIPELINE NEWS
Wisconsin Public Radio: Judge halts some work on Enbridge’s Line 5 reroute in northern Wisconsin
E&E News: Wisconsin judge pauses some construction on Line 5 reroute
E&E News: DOJ moves fight over California oil pipeline to federal bench
Minnesota Star Tribune: Major Midwestern carbon dioxide pipeline will avoid Minnesota, for now
North Dakota Monitor: Public Service Commission candidates weigh in on prospect of carbon pipelines
Reuters: Carney announces Alberta carbon pricing deal that may pave path for new oil pipeline
Bloomberg: Enbridge Warms Up to New Canada Oil Pipeline After Carbon Compromise
Santa Barbara Independent: Surfrider Hosts a Paddle-Out to Protect the Santa Barbara Coast
Reuters: BP to cut pipeline gas trading team as LNG focus grows, sources say
KNOE: Jackson Parish Sheriff gives update on pipeline explosion
WASHINGTON UPDATES
E&E News: Oil and gas industry asks Supreme Court to block climate lawsuits
E&E News: Alito’s ‘recusal is not required’ in climate case, Supreme Court spokesperson says
E&E News: Judges question coal plant emergency orders
E&E News: Power plant rule repeal enters White House review
E&E News: House conservative climate group leans into permitting
E&E News: Interior looks to speed permits in Alaska petroleum reserve
E&E News: DOJ says it might help Musk in lawsuit over AI pollution
Dickinson Press: Forest Service speaks to importance of reclaiming oil and gas sites
STATE UPDATES
E&E News: Court dismisses challenge to California oil platform’s approval
Reuters: Caturus to start construction of major US LNG facility after securing $9.75 billion
Carbon Herald: Oregon Launches Search For Contractors To Support Carbon Storage Test Well
EXTRACTION
Reuters: LNG Canada to make decision on phase 2 expansion by end of year, Canada Minister says
Press release: Oil Sands Alliance Statement on Canada and Alberta Agreement
Canada’s National Observer: World’s largest carbon capture complex gets go-ahead in Ottawa’s oilsands ‘grand bargain’
OPINION
Food & Water Watch: Big Oil Wants to Turn Our Oceans Into Its Dumping Grounds
PIPELINE NEWS
Wisconsin Public Radio: Judge halts some work on Enbridge’s Line 5 reroute in northern Wisconsin
Danielle Kaeding, 5/16/26
“Canadian energy firm Enbridge can keep building a new stretch of its Line 5 oil and gas pipeline in northern Wisconsin except in waterways where the company needs additional permits, a Bayfield County judge ruled Friday,” Wisconsin Public Radio reports. “...The judge, however, granted a partial victory to the tribe and environmental groups who sued for review of a decision upholding state approvals for the reroute. In February, an administrative law judge upheld permits issued by the Wisconsin Department of Natural Resources for the project. In Friday’s order, Bayfield County Circuit Court Judge John Anderson said the tribe and groups failed to persuade him that he should pause approvals for the project altogether… “The tribe and environmental groups argued Enbridge was ineligible to obtain permits to install structures in certain rivers and streams because the company didn’t own the land next to those waterways. The judge agreed the practice under which the company is now obtaining permits at four waterway crossings “may be on tenuous legal footing.” “...In a statement, Bad River Tribal Chairwoman Elizabeth Arbuckle told WPR she is happy with the judge’s decision to halt some work on Enbridge’s reroute of Line 5. “We are bound by a need and desire for clean water to drink, a clean environment for animals and plants to thrive in, and a commitment to the highest quality of life for our people,” Arbuckle wrote. “We hope the Court will keep the stay in place and hear us out fully in the weeks to come.”
E&E News: Wisconsin judge pauses some construction on Line 5 reroute
Niina H. Farah, 5/18/26
“A state court on Friday partially paused construction on Enbridge’s project to reroute its Line 5 pipeline around the Bad River Reservation in Wisconsin,” E&E News reports. “The decision is a partial victory for the Bad River Band of Lake Superior Chippewa Indians, which opposed the state’s water permits for the reroute. Enbridge is working to replace a 12-mile section of Line 5 that moves through the reservation with 41 miles of pipeline that will go around it. Iron County Circuit Court Judge John Anderson rejected most of the claims raised by the tribe and environmental groups, which argue the reroute would irreparably harm the wetlands and waterways in its path. But he found that certain work on the pipeline at some waterways should be put on hold until Enbridge obtains additional permits under Wisconsin law. “Construction at or near those sites are stayed until further order of the Court,” Anderson said in a Friday order. “Otherwise, the remaining permits and authority to act on those permits are unaffected and the request to stay those portions is denied.”
E&E News: DOJ moves fight over California oil pipeline to federal bench
Niina H. Farah, 5/18/26
“Following setbacks in state court, the Justice Department is transferring a legal fight over the restart of a California oil pipeline to a federal bench,” E&E News reports. “The Trump administration notified a federal district court in California late last week that it was shifting venues after a judge on the California Superior Court declined to dissolve her injunction blocking the restart of Sable Offshore’s Santa Ynez pipeline system. Sable Offshore, which joined the federal government in its removal notice, is in the process of reviving oil production near the Santa Barbara Channel after a 2015 oil spill that shuttered the Santa Ynez Unit for a decade. Energy Secretary Chris Wright had sought to bypass legal battles over the company’s pipeline by issuing an order requiring its restart under the Defense Production Act. Sable Offshore began operating its pipeline shortly after the secretary’s March order.”
Minnesota Star Tribune: Major Midwestern carbon dioxide pipeline will avoid Minnesota, for now
Kristoffer Tigue, 5/17/26
“The nation’s largest proposed carbon dioxide pipeline will not run through Minnesota, at least initially,” the Minnesota Star Tribune reports. “...The new route excludes a previously planned portion of pipeline that would have collected C02 from ethanol plants in a 150-mile corridor across southwest Minnesota, from Jackson County to Kandiyohi County. Another arm of the $8.9 billion Midwest Carbon Express Pipeline would have run roughly 30 miles through Otter Tail and Wilkin counties and into North Dakota. Minnesota officials approved that segment of the project in December 2024. “North Dakota, South Dakota and Minnesota remain important for our company,” a Summit spokesperson told the Star Tribune. “While we are currently prioritizing a westward route through Nebraska to Wyoming, our permitted pipeline and sequestration assets in North Dakota, our South Dakota partners and easements, along with our Minnesota permit, provide valuable optionality for future phases.” “...The company has altered the project’s route multiple times in response to permitting troubles. Landowners whose properties would be affected by the project’s route have raised safety concerns after a CO2 pipeline in Mississippi ruptured in 2020, sending at least 45 people to the hospital. Some also worry the project will devalue their land and infringe on their property rights. “This will be a relief to the many folks in southwest Minnesota who were opposed to the project and worried about the impact that it would have on their land, water resources and communities,” Maggie Schuppert, who has led opposition work against the project for the environmental justice advocacy group CURE MN, told the Star Tribune.”
North Dakota Monitor: Public Service Commission candidates weigh in on prospect of carbon pipelines
Jeff Beach, 5/18/26
“Carbon pipelines could aid a new era of North Dakota oil production, but challengers running for seats on the agency that permits pipelines argue there are flaws in the process,” the North Dakota Monitor reports. “There are two seats on the three-person Public Service Commission up for election in 2026… “Haugen-Hoffart is being challenged by Deven Styczynski and Kringstad by Chris Olson, who said he was inspired to run by his experience with a carbon pipeline developer… “Haugen-Hoffart and Kringstad both point to enhanced oil recovery as a potential benefit of carbon pipelines… “Haugen-Hoffart said pipelines are the safest way to transport CO2. Kringstad said carbon pipelines “are going to have to be built in a way that respects the landowners, the environment, and the end-users.” “...Haugen-Hoffart limited her answers on carbon pipelines, citing pending litigation against the PSC and Summit. In hearings leading up to the decisions, commissioners heard from residents who had safety concerns and felt mistreated by Summit representatives. Olson is one with firsthand experience with Iowa-based Summit. “I didn’t care for how that company was treating the public,” Olson said. “That wasn’t taken into account by PSC.” Summit eventually rerouted the pipeline away from Olson’s property north of Bismarck, but the experience is what spurred Olson’s run for office. He said he doesn’t believe carbon pipeline developers should be able to use eminent domain, a court action that forces landowners to provide right-of-way for projects that provide a public benefit. “I do not believe that CO2 even comes close to meeting the criteria of a public utility,” Olson said… “The Democratic challengers, who have no opposition in the primary, expressed more interest in storing carbon dioxide to limit the effects of climate change. But said there are trade-offs with carbon capture… “Pederson and Kelsh agreed that landowners should not have to deal with the threat of eminent domain.”
Reuters: Carney announces Alberta carbon pricing deal that may pave path for new oil pipeline
Amanda Stephenson, 5/15/26
“Canada’s Prime Minister Mark Carney and Alberta’s premier on Friday signed a deal on industrial carbon pricing, part of a broader agreement meant to pave the way for construction of a 1-million-barrel-per-day crude oil pipeline to British Columbia’s northwest coast to start by September 2027,” Reuters reports. “... But it is unlikely to satisfy oil executives who fear any industrial carbon price puts the industry at a disadvantage to the United States, which does not have a national carbon price, or environmentalists… “Carney and Alberta have agreed a new pipeline is contingent on the oil industry building a carbon capture and storage project, though under the deal, the project can be phased in over time and would result in less emissions reduction than what the companies behind the proposal first pledged in 2022. The Oil Sands Alliance - made up of Canada’s five largest oil sands producers - has balked at the cost of building the carbon capture project. The group made it clear on Friday it does not support the changes to Alberta’s carbon tax system. Any pipeline to the West Coast would also have to be endorsed by British Columbia and any First Nations whose territories might be affected by the route. B.C. Premier David Eby said his government will oppose any attempt to repeal the ban on oil tankers off the province’s northwest coast.”
Bloomberg: Enbridge Warms Up to New Canada Oil Pipeline After Carbon Compromise
Thomas Seal and Katie Greifeld, 5/15/26
“Enbridge Inc. “definitely would consider” backing a new oil pipeline to Canada’s west coast, its chief executive officer said, giving an early vote of confidence hours after Prime Minister Mark Carney signed an energy deal with Alberta Premier Danielle Smith,” Bloomberg reports. “...The accord, which was unveiled at a ceremony in Calgary on Friday, sets out environmental rules for oil producers that are less stringent than the Canadian government had previously proposed. It includes a carbon tax that will rise slowly over time, and a scaled-back version of a project to capture greenhouse gas emissions and store them underground… It’s “a big step forward for Canada,” Enbridge CEO Greg Ebel told Bloomberg Television, noting that new infrastructure is dependent on how oil producers react to the pipeline deal. “It’s definitely a page-flip.” “...Enbridge proposed an Alberta-to-BC pipeline more than a decade ago and spent hundreds of millions of dollars “which got lit on fire by government agencies,” the CEO told Bloomberg. In February, Ebel said Enbridge wouldn’t take on the development risk of a new west coast pipeline. Then in March, he softened his position and remarked: “I wouldn’t say a hard no.” “...Tim Hodgson, Canada’s energy minister, told Bloomberg he had not yet had talks with Smith about the possibility of Trans Mountain ownership in the pipeline, and would have to see what the province proposes first. He told Bloomberg Chinese investment in a pipeline could be possible, and pointed to LNG Canada as an example where there was a minority stake from PetroChina Co… “Carney and Smith’s pact was slammed by British Columbia Premier David Eby, who said Alberta is being appeased for indulging separatist agitators who are campaigning for the oil-rich province to break away from Canada.”
Santa Barbara Independent: Surfrider Hosts a Paddle-Out to Protect the Santa Barbara Coast
Lauren Solway, 5/14/26
“With the resurgence of Sable Offshore’s active oil production, members of the surf community will gather Sunday morning during a paddle-out to say “No to Offshore Oil Drilling” and express their opposition to the reactivation of the pipelines and platforms using Las Flores Pipeline to move oil,” the Santa Barbara Independent reports. “The paddle-out, hosted by Surfrider and including environmental groups, students, tribal leaders, and community members, starts at 8:30 a.m. on Sunday, May 17, at Refugio Beach. It commemorates the 11th anniversary of the oil spill of 2015, caused by the rupture of a pipeline operated by then-owner Plains All American. More than 120,000 gallons of crude oil spilled near Refugio State Beach. Hundreds of marine mammals, birds, and other marine organisms were killed, and the noxious waters fouled with crude oil shut down area fisheries… “Event partners are the Santa Barbara County Chapter and UCSB student club of the Surfrider Foundation, Environmental Defense Center, Santa Barbara Channelkeeper, Sierra Club, Fearless Grandmothers, UCSB Environmental Affairs Board, Oceana, and Get Oil Out.”
Reuters: BP to cut pipeline gas trading team as LNG focus grows, sources say
Dmitry Zhdannikov and Marwa Rashad, 5/15/26
“BP plans to dismantle its pipeline gas trading team, as the oil major focuses on expanding its liquefied natural gas (LNG) trading, two sources familiar with the matter said,” Reuters reports. “BP will lay off around 20 people on its pipeline gas unit and will fold the remaining employees into the company’s fast-growing LNG book, the sources told Reuters. The move underscores a broader shift since 2022, when Europe pivoted away from Russian pipeline gas and toward LNG… “The declining volumes of pipeline gas traded in Europe may be a contributing factor to the layoffs at BP, one of the sources told Reuters. LNG is key to BP’s strategy, the company has said, as the major seeks to cut debt and prioritise oil and gas projects following an ill-fated foray into renewables.”
KNOE: Jackson Parish Sheriff gives update on pipeline explosion
Elijah Mangum, 5/15/26
“Jackson Parish’s Brent Barnett says more than 70 people were evacuated after a pipeline ruptured off Mosswood Road Thursday night,” KNOE reports. “They were really on top of it and can smell gas,” Barnett told KNOE. “It turns out that, probably a couple 100 yards behind, down, through a wooded area, that’s where the rupture occurred in a Gulf South pipeline. I believe it was a 24-inch line, somewhere around 800 pounds of pressure.” Barnett told KNOE crews are repairing the pipeline which is currently shut off.”
WASHINGTON UPDATES
E&E News: Oil and gas industry asks Supreme Court to block climate lawsuits
Lesley Clark, 5/15/26
“The oil and gas industry is asking the Supreme Court to block local governments from suing fossil energy producers for climate change, arguing the lawsuits could impose ‘ruinous liability’ on companies,” E&E News reports. “In a brief filed Thursday, ExxonMobil and Canada’s Suncor Energy outlined their arguments in a blockbuster case the court is expected to take up in the fall. The companies are asking the court to overturn a 2025 Colorado Supreme Court ruling allowing a lawsuit filed against the companies by the city and county of Boulder, Colorado, to proceed in state court. The suit is one of dozens from local governments that seek compensation from fossil fuel companies for the costs of dealing with climate change. If the Colorado ruling stands, the brief argues, it could “authorize all fifty states, the tens of thousands of municipalities, and even the hundreds of millions of individuals in our country to ask local courts to establish countless, conflicting climate policies for the nation.” “...The Colorado governments have until July 27 to file their response to the Supreme Court. Boulder County Commissioner Ashley Stolzmann told E&E the justices must allow the lawsuit to proceed “not bail out the oil companies before hearing the facts.”
E&E News: Alito’s ‘recusal is not required’ in climate case, Supreme Court spokesperson says
Lesley Clark, Alex Guillén, 5/15/26
“Justice Samuel Alito is not required to recuse himself from a major climate case despite his substantial holdings in the oil and gas industry, a Supreme Court spokesperson said Friday,” E&E News reports. “Environmental and government watchdog groups this week complained to Senate Judiciary Committee leaders that Alito had not recused himself from the case, Suncor v. Boulder, raising questions about his ability to hear the case given its outcome could affect his investment portfolio… “Justice Alito does not have a financial interest in any party,” a court spokesperson told NBC News on Friday. The court’s legal counsel told Alito that “his recusal is not required,” the spokesperson added… “Alito has between $60,000 and $245,000 in holdings in seven energy and natural resources companies — AES Corp., BHP Billiton, Black Hills Corp., ConocoPhillips, OGE Energy, Phillips 66 and Woodside Energy — according to his most recent financial disclosure covering 2024. Several of them have been named in climate lawsuits brought by other states and cities, and the broader industry will be affected by the Supreme Court’s ruling on whether fossil fuel companies can be held liable for the impacts of climate change.”
E&E News: Judges question coal plant emergency orders
Niina H. Farah, 5/15/26
“...During oral arguments Friday, the panel of Obama-appointed judges questioned the limits of the Department of Energy’s authority to issue an emergency order to keep the J.H. Campbell power plant running past its planned May 2025 retirement date,” E&E News reports. “...The state of Michigan, as well as a coalition of environmental groups represented by Earthjustice, are calling for the U.S. Court of Appeals for the District of Columbia Circuit to declare the orders unlawful and prevent DOE from continuing to renew them. The hearing provided the first hints of how judges are likely to respond to DOE’s orders, as it is one of several legal challenges percolating before the D.C. Circuit opposing DOE’s reliance on Section 202(c) of the Federal Power Act to extend the lives of imminently retiring coal plants across the country.”
E&E News: Power plant rule repeal enters White House review
Jean Chemnick, 5/18/26
“EPA’s final repeal of Biden-era standards for power plant carbon emissions entered White House review Thursday, ahead of a likely release in the coming months,” E&E News reports. “The Trump administration’s quest to undo the 2024 greenhouse gas standards for coal- and gas-fired power plants, which would require some plants to capture carbon, is among EPA’s top deregulatory priorities. It comes months after EPA jettisoned a 2009 finding that greenhouse gas emissions endanger public health — a prerequisite for regulating climate pollution under the Clean Air Act… “ But the standard may not be identical to the proposal it released last summer. It is widely expected to undo the rules on the grounds that their benchmark technologies — carbon capture and co-firing gas with some coal — does not meet statutory requirements.”
E&E News: House conservative climate group leans into permitting
Amelia Davidson, Timothy Cama, 5/15/26
“House conservatives who want to be active on climate policy have set their sights on a major legislative target: permitting reform,” E&E News reports. “The Conservative Climate Caucus, a Republican group launched in 2021 to push greenhouse gas reductions without policies like mandates and subsidies, has been mostly silent since Republicans took Congress and the executive branch last year. But speaking at a gathering of conservative clean energy and environmental advocates Thursday, caucus Chair Mariannette Miller-Meeks (R-Iowa) said that the 66-member group was shoring up to play a role in bipartisan permitting reform talks. The caucus is going “to be trying to help to ‘socialize,’ if you will, what we’re doing on permitting reform, what it means, how we’re going to get there and, you know, the benefits of what we’re looking at,” Miller-Meeks told attendees of the Citizens for Responsible Energy Solutions’ annual summit… “The permitting pivot was evident in numerous lawmakers’ remarks at CRES’ summit Thursday. Rep. Bob Latta (R-Ohio), who chairs the Energy and Commerce Subcommittee on Energy, and Rep. Gabe Evans (R-Colo.) both used the gathering to tout their focus on permitting reform and bolstering the grid.”
E&E News: Interior looks to speed permits in Alaska petroleum reserve
James Bikales, 5/18/26
“The Interior Department on Friday kick-started the process to streamline permitting for oil and gas development in the National Petroleum Reserve-Alaska,” E&E News reports. “Interior said it had received a petition for rulemaking from the Alaska Oil and Gas Association earlier this month. In response, the department plans to launch a 45-day public scoping period as the first step toward permitting oil projects in the reserve more quickly. The AOGA petition argues that the environmental impacts of oil developments in the NPR-A, such as ConocoPhillips’ Willow project, have been “exhaustively analyzed” and similar new proposals shouldn’t have to undergo the same review. “The rulemaking will establish pre-defined criteria for defined and repeatable common activities with similar environmental effects that, when met by an applicant, will result in streamlined permitting for qualifying production sites,” Interior wrote in a notice of intent to prepare an environmental impact statement.”
E&E News: DOJ says it might help Musk in lawsuit over AI pollution
Ariel Wittenberg, 5/18/26
“The federal government is considering whether to intervene in a lawsuit against Elon Musk’s artificial intelligence company,” E&E News reports. “The NAACP and Southern Environmental Law Center have accused the company, xAI, of operating 27 natural gas turbines without pollution controls or Clean Air Act permits to power the Southaven, Mississippi, data center known as Colossus 2. The groups sued xAI in April and last week asked for a preliminary injunction to stop pollution from the tractor-trailer-sized generators. Now, the Department of Justice is “evaluating possible intervention or amicus participation in this lawsuit,” citing President Donald Trump’s support for expanding artificial intelligence. The case involves “legal and policy questions as to which the United States has a substantial interest, including its priorities with respect to promotion of artificial intelligence infrastructure,” Adam Gustafson, the principal deputy assistant attorney general, wrote in a filing submitted to the U.S. District Court for the Northern District of Mississippi on Wednesday. “It is the policy of the United States to sustain and enhance America’s global AI dominance in order to promote human flourishing, economic competitiveness, and national security.”
Dickinson Press: Forest Service speaks to importance of reclaiming oil and gas sites
Dorvall Bedford, 5/14/26
“As oil and gas wells come and go in the Little Missouri National Grassland (LMNG), the United States Forest Service says it is dedicated to returning these sites back to the way they were,” the Dickinson Press reports. “According to Jason Dekker, the Minerals and Lands Supervisor for the Medora Ranger District, reclaiming former wells is a long and collaborative process. Once an operator plugs a well, the Forest Service draws up a reclamation plan to be agreed upon with the operator. Then begins the process of contamination inspection and cleanup, soil restoration, revegetation and more. Reclaiming a site involves not only the operator and Forest Service but also the State Department of Mineral Resources, Bureau of Land Management, and private contractors… Kempenich explained that reclaiming oil and gas sites is important because the grasslands are a multiple-use area. Whether the land is used for wells or for grazing, the Forest Service restores the land so it can be used by the public for hiking, hunting and other recreations. “Different people visit the grasslands for various reasons,” Kempenich told the Press. “We try to meet people’s expectations when they come out to the grasslands.” For Dekker, the reclamation process keeps operators responsible for their wells and allows the North Dakotans to enjoy the public land.“
STATE UPDATES
E&E News: Court dismisses challenge to California oil platform’s approval
Niina H. Farah. 5/15/26
“A federal court rejected a lawsuit from environmental and Indigenous groups Thursday challenging the Interior Department’s authorization to restart an offshore oil and gas drilling platform off California,” E&E News reports. “The U.S. District Court for the Central District of California issued an order saying it lacked jurisdiction to hear claims raised by the Center for Biological Diversity and the Wishtoyo Foundation because the parties didn’t show standing to bring the case opposing the renewed operation of part of the Santa Ynez Unit… “The court noted that no parties in the case had challenged the groups’ standing but that it had made the determination based on court filings. However, the order may only be a temporary setback, as the court gave the challengers permission to refile their challenge to correct the standing issues.”
Reuters: Caturus to start construction of major US LNG facility after securing $9.75 billion
Curtis Williams, 5/15/26
“U.S.-based Caturus has approved the construction of a liquefied natural gas export facility in Cameron Parish, Louisiana, after securing $9.75 billion for construction works, the company said on Friday,” Reuters reports. “The Commonwealth LNG project will cost a total of $12.5 billion including financing fees, Chairman Ben Dell said at a ground-breaking ceremony to mark the formal approval… “Most of the equipment will be built in Italy, with some components sourced from the U.S., Dell said, adding that tariffs have been factored into the project’s budget… “Mubadala Energy, part of an Abu Dhabi sovereign wealth fund, holds a 24.1% stake in Caturus and participated in the project’s financing. Energy investor Kimmeridge and Canada Pension Plan Investment Board also provided funding, with CPP contributing $1.2 billion and increasing its stake in Caturus to 31%... “Caturus said it has secured long-term supply agreements with EQT LNG Trading, Glencore, Mercuria, Malaysia’s Petronas and Saudi Aramco’s trading arm.”
Carbon Herald: Oregon Launches Search For Contractors To Support Carbon Storage Test Well
Violet George, 5/18/26
“The Oregon Department of Geology and Mineral Industries (DOGAMI) is seeking contractors to support drilling and data collection work for a test well designed to evaluate the carbon storage potential of the Columbia River Basalt Group,” the Carbon Herald reports. “...The scope of work includes drilling and sampling operations, downhole geophysical logging, hydraulic and reservoir testing, and related field services… “Several research initiatives globally, including projects in Iceland and the US Pacific Northwest, have explored the possibility of storing CO2 in volcanic rock formations as an alternative to conventional saline aquifer storage.”
EXTRACTION
Reuters: LNG Canada to make decision on phase 2 expansion by end of year, Canada Minister says
Amanda Stephenson, 5/14/26
“The proponents behind LNG Canada will make a final investment decision on whether to go ahead with a proposed second phase expansion of the project by the end of this year, Canada’s Natural Resources Minister said Thursday,” Reuters reports. “”The Canadian government is working together with British Columbia and the Shell-led LNG Canada to collectively progress the final items needed to support a decision, Minister Tim Hodgson said. Shell and its project partners on May 1 approved hundreds of millions of dollars (CDN) in incremental funding to help finalize critical work needed to get to a final investment decision, Hodgson said. The work that needs to be done includes further engineering, progressing agreements with First Nations, supply chain and procurement, as well as progressing construction work at LNG Canada’s marine offloading terminal, said LNG Canada CEO Chris Cooper.”
Press release: Oil Sands Alliance Statement on Canada and Alberta Agreement
5/15/26
“...The announced industrial carbon tax, while lower than the current industrial carbon tax, still maintains uncompetitive costs on the Canadian oil sands industry. No other major oil producing nation faces a similar tax… “As set out in Canada’s 2025 budget, the Canadian oil industry has a carbon emissions intensity that is already below the global average. “Oil Sands Alliance is committed to advancing the Pathways carbon capture and storage project provided the necessary regulatory and fiscal terms are in place, to support the project and new oil sands growth in Canada,” said Oil Sands Alliance President Kendall Dilling. “An industrial carbon tax only adds uncompetitive costs to industry on top of the costs of a carbon capture project.” While today’s announcement provides greater clarity on the industrial carbon tax and the next steps between the two governments to advance a strategic oil pipeline project to Asian markets, it is critical that the overall regulatory and fiscal frameworks be put in place to enable the long-term competitiveness of the industry and to attract the billions of dollars required to grow production and fill future pipelines. We have provided concrete recommendations to both governments on the regulatory and fiscal frameworks to achieve those goals. We fully support the Prime Minister and Premier’s shared vision of making Canada an energy superpower and growing Alberta oil production. As we review the details of the announced agreement, we look forward to working constructively with both governments at a tri-lateral table to lay the foundation to achieve that vision.”
Canada’s National Observer: World’s largest carbon capture complex gets go-ahead in Ottawa’s oilsands ‘grand bargain’
Darius Snieckus, 5/15/26
“The world’s largest carbon capture and storage complex has been cleared for construction in Alberta following the finalization today of the Canadian government’s energy ‘grand bargain’ with the province,” Canada’s National Observer reports. “The go-ahead for Pathways CCS comes despite widely raised questions about the financial viability of the megaproject and its environmental impact… “The Pathways CCS project is to be built under a memorandum of understanding with the provincial government that includes backing for a new long-distance oil pipeline to the West Coast as well as an incremental carbon price rising to $130/tonne by 2030… “Carney said the Pathways CCS project would “help put Canada on the path to net-zero” by 2050, a target the country is currently far off track to reach, according to forecast from the Canadian Climate Institute… “Many industry observers see financial pitfalls imperilling the project, which has already swollen substantially from the original project capital cost of $16.5 billion. Mark Kalegha, an analyst at the Institute for Energy Economics and Financial Analysis, a market intelligence firm, told Canada’s National Observer recently: “‘Commercially viable’ is not what my conclusion was.” Climate and environmental advocacy groups have warned of the potentially catastrophic environmental impact of the project, including “essentially draining” a major Albertan water basin. Further environmental red flags have been raised beyond freshwater shortages. The project intends to inject captured CO2 into deep saline aquifers in the Cold Lake area, directly beneath hundreds of thousands of acres of prime farmland… “Experts warn that storing CO2 underground can cause it to leak into shallower groundwater, increasing water acidity and leaching toxic heavy metals such as lead and arsenic from the surrounding rock. The federal government has so far ignored calls for an environmental impact assessment of the Pathways CCS project — including a formal request from eight First Nations in Alberta.”
OPINION
Food & Water Watch: Big Oil Wants to Turn Our Oceans Into Its Dumping Grounds
Hailey Duncan, 5/15/26
“The carbon capture industry is pushing for a new dangerous and dubious addition: dumping its carbon waste deep under our oceans.” Hailey Duncan writes for Food & Water Watch. “We already know carbon capture and storage is a scam. Capturing and injecting carbon dioxide underground as a “climate solution” has failed again and again, while costing billions of taxpayer dollars. But now, the carbon capture industry is pushing for a new dangerous and dubious addition: dumping its carbon waste deep under our oceans. Industry fails to acknowledge that the vast majority of carbon captured in the U.S. goes to enhanced oil or gas recovery — that is, using carbon dioxide to drill for more oil and gas — not permanent carbon Sequestration. As it stands, CCS functions less like a climate solution and more like the newest iteration of the oil & gas industry. And the Trump administration is moving to allow this practice to expand into our oceans. In May, Trump’s Bureau of Land Management (BOEM) and Bureau of Safety and Environmental Enforcement (BSEE) will move forward on a new rule to create a regulatory framework for injecting carbon dioxide into offshore geologic formations. But this raises serious concerns for advocates, communities, and lawmakers. The scientific, regulatory, environmental, and even economic understanding for this technology remains extremely uncertain. For years, communities have been challenging carbon capture projects onshore. Carbon capture has faced significant public opposition, legal challenges, technical scrutiny, and setbacks. Nevertheless, the Trump administration is moving to greenlight industry experimentation in even tougher conditions… “Scientists don’t yet understand the impacts of both catastrophic and slow carbon dioxide leaks in marine environments. Changes in water chemistry could harm marine life and disrupt food chains. Offshore CCS projects may threaten energy infrastructure, fisheries, protected marine habitats, and more. Regulators and the industry haven’t even addressed all the risks of onshore CCS. Moving forward with offshore CCS puts the fragile balance of our oceans at risk, and all the ecosystems and communities that depend on them… “In April, we joined 110 public‐interest, landowner, Indigenous, and environmental justice organizations calling for the agency to pause the rulemaking. Given the safety and scientific gaps with this technology, the oil and gas industry cannot be allowed to experiment in our oceans for their profit.”