Mackenzie pipeline pushed back

Big news out of Canada concerning the Mackenzie gas pipeline -- according to Reuters, project sponsors are pushing back four years a decision on whether to build the large-diameter line.

The companies -- led by Imperial Oil -- say they haven't been able to reach acceptable fiscal terms with the Canadian government, and are running into hefty regulatory hurdles.

Those roadblocks are the same ones companies with gas to commit to a mega-pipeline out of Alaska anticipate.

And most of those companies are also involved in the Alaska line. Other Mackenzie partners are Royal Dutch Shell, ConocoPhillips, Exxon Mobil and Aboriginal Pipeline Group -- which is part of TransCanada, the Calgary-based pipeline company developing the Alaska project.

TransCanada and its partner, Exxon Mobil, have a pledge of $500 million of state money and a license under the Alaska Gasline Inducement Act to build a massive line linking the North Slope resource with markets. An open season is scheduled to start May 1. That's when companies with gas to sell -- or customers with great credit in need of the commodity -- can make bids reserving space in a line. Most everyone agrees bids by the Slope's three big producers -- BP, ConocoPhillips and Exxon -- will be heavily conditioned on negotiating more favorable financial terms with Alaska.

Read Reuters' story here.