The announcement arrived alongside a multibillion-dollar resource agreement between Ottawa and the B.C. government. Smith’s administration had pinned its hopes on a privately financed pipeline capable of moving one million barrels per day, arguing that national energy security requires a shift away from singular reliance on the U.S. market. By locking the North Coast corridor, federal authorities have severely constrained the project’s logistical scope before it even enters the formal review process.

Political friction remains high, though British Columbia Premier David Eby offered a nuanced stance. While he remains a firm opponent of lifting the tanker moratorium, he signaled that his province will not launch legal challenges against a federally approved project, provided B.C. receives compensation for environmental risks. This tactical compromise allows both provincial leaders to claim a win, yet the underlying reality for investors is increasingly precarious. The proposal currently lacks a private developer, faces mandatory indigenous consultation, and now lacks a clear, accessible path to international shipping terminals.