Smith strikes oil patch deal on cusp of Trump presidency

Keystone XL might be dead for the time being, but Alberta Premier Danielle Smith, who plans to double the province's crude oil production, isn't lollygagging when it comes to striking new energy deals.

Fresh off Justin Trudeau's resignation on Monday, Smith announced the province will work with Enbridge, via a working group with the Alberta Petroleum Marketing Commission, to increase oil exports to the U.S.

The initiative may find support with President-elect Donald Trump who has bragged about the U.S. becoming a global energy powerhouse.

Alberta delivers over 4.3 million barrels of oil per day to the U.S. Pipeline capacity will be added to Enbridge's existing footprint.

“The world needs more Alberta oil and gas, and we need to make sure Alberta is meeting those needs," said Smith on Monday.

"Our objective of doubling oil production aligns with Enbridge’s plans to enhance its existing pipeline systems and we look forward to partnering with them to enhance cross-border transport solutions."

"This will also allow us to play a role in supporting the United States in its energy security and affordability goals,” she added.

The working group, explained Smith, will evaluate future egress, transport, storage, terminalling and market access across the 29,000 kilometre Enbridge network in support of moving additional Alberta oil and gas to Canadians and Americans.

Red tape will be reduced, she said.

“A strong and growing Alberta oil and gas transport and storage network will allow the Government of Alberta to maximize the economic benefits for all Albertans from our bitumen and natural gas royalties," said Alberta Energy and Minerals Minister Brian Jean in a statement.

"We must also pursue regulatory reform where needed so Alberta can continue to be an attractive place for companies to invest.”