Wedoany.com Report-Oct. 31, The U.S. Army Corps of Engineers has granted approval to Canadian energy company Enbridge for its plan to reroute a section of the Line 5 oil pipeline around the Bad River Reservation in Wisconsin. The permit, issued on Wednesday, authorizes Enbridge to construct a new 41-mile pipeline segment to replace the existing line that currently crosses tribal land.

Enbridge Inc logo is seen displayed in this illustration taken April 10, 2023.

The decision marks an important step in the company’s ongoing efforts to modify the route of the 645-mile pipeline, which was originally built in 1953. Line 5 carries crude oil and natural gas liquids from Superior, Wisconsin, through Michigan, and into Ontario, Canada, serving as a vital component of regional energy transportation.

The rerouting plan follows a 2019 lawsuit filed by the Bad River Band, which sought to have the pipeline removed from its territory due to concerns over potential oil spills and environmental impacts. In response, Enbridge submitted applications to both federal and state regulators in 2020, proposing the Wisconsin relocation project as a way to ensure pipeline safety and operational continuity.

An Enbridge spokeswoman said the Army Corps’ approval represents a “major project milestone,” adding that construction cannot begin until state permits—issued last year—are officially confirmed. Opponents of the project, including several environmental groups, continue to challenge those permits, arguing that Enbridge’s plans may not fully address risks to local waterways. However, Enbridge stated on Thursday that it remains confident the required state permits will soon be validated.

In addition to the Wisconsin rerouting, Enbridge is advancing another major Line 5 project in Michigan. The company plans to construct a 4-mile tunnel beneath the Straits of Mackinac in the Great Lakes to house the aging section of the pipeline. This $750 million tunnel project aims to enhance environmental protection and reduce the risk of potential leaks. Michigan regulators approved the application for the tunnel in 2023, but it still requires federal approval from the Army Corps of Engineers. The Corps announced earlier this year that its final decision on the project is expected this fall.

The Line 5 projects are part of Enbridge’s broader strategy to maintain energy supply reliability while upgrading older infrastructure to meet modern safety and environmental standards. The company emphasized that both projects will ensure the continued transportation of energy between the U.S. and Canada, supporting fuel supply for homes, businesses, and industries across the region.

Separately, Russia’s second-largest oil producer, Lukoil, announced on Monday its decision to sell its international assets. The company did not provide further details regarding potential buyers or the timing of the transactions.