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Calgary|Cenovus Energy|Canada|Carbon Pricing|Oil Sands|Jon McKenzie|Alberta|British Columbia
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calgary|cenovus-energy|canada|carbon-pricing|oil-sands|jon-mckenzie|alberta|british-columbia

Cenovus CEO says proposed pipeline to Canada's west coast currently 'unfinanceable'

Cenovus oil pipes in Alberta

Cenovus oil pipes in Alberta

10th June 2026

By: Reuters

  

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CALGARY - Canadian integrated oil and natural gas company Cenovus Energy CEO Jon McKenzie said Tuesday Alberta's proposed one-million barrel-per-day pipeline to British Columbia's Pacific coast cannot be financed by the private sector under Canada's current regulatory regime.

McKenzie, who heads one of Canada's largest oil sands companies, said at the Global Energy Show in Calgary that the country's industrial carbon pricing system makes Canadian oil uncompetitive and inhibits the production growth required to
fill the proposed pipeline.

The proposed Alberta-to-West Coast oil pipeline is a new, large-scale infrastructure initiative aimed at shipping one-million barrels per day of oil sands crude to the Pacific coast for Asian markets. The project is a joint political priority for the governments of Canada and Alberta, but currently lacks private sector financial backing.

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Edited by Reuters

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