As Canada’s trade war with its largest energy customer intensifies, Trans Mountain Corp. is taking a key step forward on a $4-billion plan to optimize the country’s pipeline network that can transport more oil to Asia.

The federal Crown corporation filed an application Thursday with the country’s energy regulator to expand its pipeline system that sends oil from the Edmonton area to Burnaby, B.C. for export.

If the proposal is approved by the Canada Energy Regulator and the company decides to proceed with it, the optimization would boost Trans Mountain’s capacity by 210,000 barrels per day (bpd).

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It would also allow Canadian producers to move greater volumes of oil to the West Coast — eventually reaching customers in Asia — by the end of 2028 as Alberta output continues to climb.

“I expect the uptake is going to be strong because it is going to be needed,” Trans Mountain CEO Mark Maki said in an interview Friday.

“The administration in the U.S. has been tough to deal with. I work (on) both sides of the border. I’m very hopeful that things will return to normal in due course.

“But it really highlights the importance of other outlets for Canadian oil, and there’s a very strong case for Asia — and Canada’s got a huge role to play with those markets.”

Trans Mountain announced Friday........

© Calgary Herald