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Shaunavon disappointed by Keystone rejection

Jan 18, 2012 | 4:09 PM

The route of the Keystone XL pipeline would have seen it run through the southwest corner of Saskatchewan.

The town of Shaunavon has spent months to prepare but on Wednesday, the U.S. State Department’s rejection of the pipeline comes as a bit of a surprise.

Charmaine Bernath, the town administrator, says she's disappointed by the news.

Just south of town, the TransCanada Corp. had been stock piling pipe.

“Over the summer, it was quite busy with trucks heading that way,” she said.

Bernath says Shaunavon has another pipeline two kilometres west of town and she can’t remember ever having any trouble with it.

She says the town had recently been in talks about setting up a work camp for the influx of workers brought in for the project.

She says were expecting the project to cause a boom for the town but those plans have been placed in limbo.

“We’ve had various conversations about the possibilities of who the contractor will be,” she said.

Saskatchewan government responds

Saskatchewan's energy minister says he's is disappointed about the decision.

Minister Bill Boyd pointed specifically to the Asian market, which could be reached by the Northern Gateway pipeline to the west.

“I also think it highlights the need to look to other markets around the world for Saskatchewan oil in the future,” he said.

However, that pipeline is also meeting opposition.

He says an alternative could be using rail to reach those markets, something Boyd says is already in the works.

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