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In Montana, a controversial $2B pipeline hits a speed bump

August 7, 2026 · Grist · Score: 12

A proposed $2 billion oil pipeline in Montana and Wyoming just hit a setback. The Bridger Pipeline Expansion, meant to carry Canadian tar sands oil down to Oklahoma, had been moving quickly through approvals, with backing from the Trump administration and a target construction start of July 2027. But Montana's Department of Environmental Quality (DEQ) recently withdrew a waiver that had let the pipeline company skip submitting certain financial and environmental information in its state application.

The waiver came under fire after the environmental law firm Earthjustice sued on behalf of two Montana residents, arguing state law requires that information be included so regulators and the public can properly review the project's impacts. DEQ agreed and is now requiring the company, Bridger Pipeline Expansion, to supply the missing data before its application can move forward. Construction cannot begin until the state permit is complete and federal approval is granted.

This isn't a project tied to home energy upgrades or rebates, but it matters for anyone living near the pipeline's proposed 650-mile route, which crosses water 150 times through Montana and Wyoming. Opponents warn about leak risks and climate impacts from a project some are calling "Keystone Light," a nod to the Keystone XL pipeline canceled in 2021. For now, the delay means the public comment period held earlier this year was based on an incomplete application, and the project's timeline is less certain than it was a few weeks ago.

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