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Proposed US-Canada Oil Pipeline by Bridger to Replace Terminated Keystone XL Project to Cost $2bn

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Proposed US-Canada Oil Pipeline by Bridger

The proposed US-Canada oil pipeline by Bridger that is anticipated to replace the terminated Keystone XL project to cost about $2bn. Moreover, it would have the capacity to transport more than 1 million barrels of oil per day. These insights are based on new details released by the client company, Bridger. The firm first outlined plans for the project earlier this year in January to the Montana Department of Environmental Quality.

Its scope entailed the construction of a pipeline capable of transporting 550,000 barrels per day of Canadian crude oil from near the US-Canada border. It would move from Phillips County, travel south through eastern Montana before crossing into Wyoming and terminating near Guernsey.

However, filings submitted in late March show the proposed 36-inch pipeline would span nearly 1050 kilometers. It would also have the capacity to deliver up to1.13 million barrels per day to Guernsey, Wyoming.  Bridger expects the pipeline to initially operate at about 550,000 barrels per day. Energy projects across the United States are advancing with gas-fired power plants and nuclear projects such as the Three Mile Island nuclear plant also advancing.

Scope of Implementation on the Proposed US-Canada Oil Pipeline by Bridger

The proposed US-Canada oil pipeline by Bridger is expected to follow existing pipeline corridors to minimize new land disturbance. Furthermore, it will cost $1.96bn for the 700km that will be laid within Montana. Plainview Energy Analytics noted that batching light crude oil at maximum capacity could push volumes significantly beyond the 800,000 bpd ceiling.

This is typical for heavy oil service on a line this size. Although the application specifically mentions moving Canadian oil, detailed maps in the application also show potential tie-ins. These include key points such as the Bakken shale oil field which will provide access to most of Bridger’s North Dakota gathering network. “This optionality positions the project for potential future expansion beyond 550,000 bpd.

It also creates the possibility of a new competitive egress option for Bakken shippers,” Matthew Lewis, founder of Plainview said. Commencement relies on approval from US President Donald Trump and additional links to US refining hubs to be constructed.

Nonetheless, analysts note it could increase Canada’s crude exports to the U.S. by more than 12 per cent. Those additional links would need to move oil to major refining hubs such as Cushing, Oklahoma. Others include Patoka, Illinois and the US Gulf Coast.

Elsewhere, the proposed America First Refining facility in Brownsville, Texas, recently entered the Front-End Engineering and Design (FEED) phase, a key step toward construction of a refinery that would process over 60 million barrels of domestic crude per year.

Proposed US-Canada Oil Pipeline by Bridger
The proposed US-Canada oil pipeline by Bridger that is anticipated to replace the terminated Keystone XL project to cost about $2bn.

Project Overview

  • Project Type: Oil pipeline
  • Estimated Cost: ~$2bn
  • Capacity: Up to ~1.13 million bpd
  • Purpose: Transport Canadian crude to U.S. markets
  • Status: Proposed

Key Stakeholders

  • Developer: Bridger Pipeline
  • Regulator: Montana Department of Environmental Quality
  • Market Link: U.S.–Canada crude trade

Location

  • Route: U.S.–Canada border → Montana → Wyoming
  • End Point: Guernsey, Wyoming
  • Country: United States

Scope

  • ~1,050 km, 36-inch pipeline
  • Initial throughput ~550,000 bpd
  • Expansion to 1.13 million bpd
  • Potential tie-ins (e.g. Bakken region)

Funding / Delivery Model

  • Privately developed project
  • Regulatory approval required
  • Dependent on downstream connections

Status

  • Stage: Early development
  • Progress: Filed with regulators
  • Next: Approvals, detailed planning

Key Risks & Challenges

  • Regulatory approvals (federal/state)
  • Political sensitivity
  • Environmental concerns
  • Infrastructure dependencies

Strategic Significance

  • Replaces Keystone XL gap
  • Expands Canada–U.S. oil flows
  • Supports refining hubs (e.g. Cushing)
  • Adds export flexibility

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