Cabinet approves pipeline

The government bought the pipeline last year from Kinder Morgan, so it was widely expected to get approval for expansion. The project is struggling to get court approval and the government said it will launch a process to make indigenous groups shareholders and will use profits to fund clean energy projects.

There isn't anything clear on the timeline, but officials say construction will begin this season. An election is due before year-end and the pipeline issue has dogged Trudeau's government and polls show him trailing.

There are no surprises in this announcement but it could help to unlock some investment in Canadian energy, which has been decimated in the past 8 months. The expanded pipeline will carry 890K barrels per day to the west coast.