Trudeau Pipeline Gets Government Backed $7.7B Loan

I believe that amount is in US dollars. Other reports have the amount at 10 BILLION dollars

Rigzone repost of Bloomberg

The Trans Mountain pipeline expansion project has secured up to C$10 billion ($7.7 billion) in private-sector financing, but it comes with a loan guarantee provided by the Canadian government.

The financing was announced after multiple news organizations, including Bloomberg News, inquired about public disclosures appearing to show the government committing billions of dollars to the pipeline project despite Finance Minister Chrystia Freeland’s edict two months ago that no more public money be spent on it.

Those disclosures were posted on the website of Export Development Canada, a trade-promotion agency that administers the flow of money on the government’s behalf. They also showed the government put forward C$1.75 billion in “working capital support” to Trans Mountain Pipeline LP, the entity building an expansion that will more than double the capacity of the oil pipeline between Alberta and British Columbia.

However, the finance department said Wednesday those funds were bridge financing approved in December, and meant to tide Trans Mountain over until the private-sector financing was arranged. That money has now been repaid in full with interest, the government said.

If you can believe this government?

State ownership of the pipeline has put Prime Minister Justin Trudeau in an awkward position as he promises to deliver on ambitious climate-change goals, including imposing a 42% emissions cut on the oil and gas sector by 2030. At the same time, Canada is now reaping huge economic benefits from its vast oil sector, as Russia’s invasion of Ukraine pushed up commodity prices and helped Canada see a record windfall last month for its fossil fuel exports.

Trudeau’s government purchased the pipeline in 2018 from Kinder Morgan Inc. to save the expansion from being scrapped due to local political objections and protests by environmentalists and Indigenous groups. The government has said it intends to sell the pipeline as soon as reasonably possible, potentially to First Nations groups in the region.

Reality so often has little to do with perception. As in the reality of the Trudeau government vs the presentation/perception of the Trudeau government

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