Trans Mountain is warning the completion of its pipeline expansion project through B-C may be delayed by two years due to a federal regulator decision.
The company says the Canada Energy Regulator rejected a request for a pipeline variance through a 2.3-kilometre stretch of complex, hard rock conditions.
Trans Mountain says that proceeding with current construction plans through the challenging area could compromise a borehole and result in drilling equipment failure.
That would result in what the company is calling a "catastrophic" delay to the project's completion and billions of dollars in losses for Trans Mountain.