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Source: RPT-Carney was aware of South Bow's Keystone XL plans even before the White House meeting.

Sources familiar with the issue said that Canadian 'Prime Minister Mark Carney' was aware of South Bow Oil Company's plans to revive a portion of the canceled Keystone XL Pipeline to the United States, when he brought the idea up to U.S. president Donald Trump last October.

Sources said that South Bow, the Canadian company responsible for the Keystone XL pipeline cancellation, may revive some of the existing line as part of an expansion project aimed to transport more Canadian oil into the United States.

During Carney’s meeting with Trump at the?White House he brought up the possibility of reviving Keystone XL, an oil pipeline that would connect Alberta and the United States as part of 'his efforts to reduce trade tensions between both countries. Carney was being pressed by Canadians to deal with the painful U.S. steel, auto, and other tariffs. He asked Trump, in October, if he'd be interested in a revived Keystone XL oil pipeline from Alberta to the United States.

South Bow at that time said it had "moved forward" with Keystone, but supported efforts to increase transportation of Canadian oil.

Carney knew that South Bow was in discussions with potential U.S. A federal source with knowledge of the matter said that Carney was aware at the time that?South Bow's?U.S.

The source stated, "He was certainly aware that there might be private sector interest." The source refused to give their name in order to speak openly about the issue.

Source: The Canadian government has no involvement in the South Bow proposal. However, energy will be a major part of negotiations when the Canada-United States Mexico trade agreement (CUSMA) is reviewed.

A spokesperson from Carney's Office declined to comment and referred questions to the Department of Natural Resources of Canada.

Charlotte Power, a spokesperson for Natural Resources, stated in an email reply: "Canada has what the world is looking for when it comes to energy.

As the federal government prepares to review the CUSMA, we are actively engaging with industry leaders and provinces and territorial governments to ensure that our negotiating position reflects Canada’s economic interests.

In an email, a spokesperson from Calgary-based South Bow confirmed that the company was evaluating a proposal to?leverage its existing infrastructure in Canada and to connect with crude oil 'pipelines' in the U.S.

The spokesperson did NOT specify which infrastructure they might use, or with whom they would partner south of the border.

Bridger Pipeline, a U.S. firm, recently filed a proposal in Montana with regulators. The proposal describes the construction of a 645-mile pipeline (1,038 km) that would begin near the U.S. Canada border, Phillips County in Montana, and travel to Guernsey Wyoming.

Bridger stated in his application that the purpose of the new pipeline would be to transport as much as 550,000 barrels of Canadian crude oil per day to the U.S. Market. Bridger declined comment. (Reporting and editing by Caroline Stauffer in Calgary, Amanda Stephenson)

(source: Reuters)