Mark Carney reaches deal with Alberta for oil pipeline opposed by First Nations

Prime minister says deal ‘sets the state for an industrial transformation’, but project is likely to face wide opposition

Mark Carney has agreed an energy deal with Alberta centred on plans for a new heavy oil pipeline reaching from the province’s oil sands to the Pacific coast, a politically volatile project that is expected to face stiff opposition.

The move proved politically damaging within hours, with the minister of Canadian culture, Steven Guilbeault, who is the former environment minister, announcing he would leave cabinet. Guilbault, a former activist and lifelong environmental advocate, said he strongly opposed the plan.

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