Keystone XL developer withdraws Nebraska route application

LINCOLN, Neb. – The developer of the Keystone XL pipeline has withdrawn its application for route approval through Nebraska, but a spokesman says the Canadian company reserves the right to reapply.

TransCanada made the announcement Wednesday, a day before it was scheduled to appear before the Nebraska Public Service Commission for a planning conference.

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READ MORE: Ex-U.S. ambassador ’embarrassed’ by handling of Keystone XL review

Before President Barack Obama rejected a federal permit for the project, Nebraska had been a major roadblock because of lawsuits filed by landowners and environmental groups.

The pipeline was projected to carry 800,000 barrels a day of crude from Canada and North Dakota to Nebraska, where existing pipelines would bring it to Gulf Coast refineries.

READ MORE: Key dates in 7 year history of Keystone XL

Company spokesman Mark Cooper says TransCanada may reapply in the future and is committed to completing the final leg of the Keystone pipeline system.