U.S. transport deal moves sans Keystone XL

June 28, 2012 at 8:03 AM

WASHINGTON, June 28 (UPI) -- An effort to push the Keystone XL oil pipeline through as a rider to a U.S. transportation measure was a "one-shot" deal, a lawmaker said.

The U.S. government's ability to collect a gasoline tax to spend on road construction would expire Saturday without a deal. House and Senate negotiators dropped riders on coal ash regulation and the Keystone XL oil pipeline to move the bill forward.

U.S. Sen. James Inhofe, R-Okla., ranking member of the Senate Environment and Public Works Committee, was quoted by Bloomberg News as saying the revisions would help the legislation advance.

"Keystone and coal ash are really sort of one-shot deals," he said.

The White House had threatened to veto the measure if it included a provision for Keystone XL.

Canadian pipeline company TransCanada plans to build the Keystone XL pipeline to move oil from tar sands projects in Alberta to refineries along the southern U.S. coast. It resubmitted an application for the Canadian leg after lawmakers objected on environmental issues.

This week, the company received some permits it needs to start construction on the Gulf Coast Project, the U.S. leg of the project.

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