The oil industry is fighting a new regulation designed to prevent the controversial Keystone XL oil pipeline from entering federal waters.
A U.S. District Court judge on Wednesday granted the oil industry’s request to overturn the federal regulation that would allow oil companies to pipe tar sands oil through federal waters for oil production.
The government regulation is a critical component of President Donald Trump’s climate agenda that would require that companies that drill in the United States and import the oil must obtain a permit from the Coast Guard.
The judge said the regulation could prevent Keystone XL from crossing federal waters because it would require a pipeline to be approved by the Coast Service.
The new rule would require the approval of an application from the Interior Department and a permit by the U.N. to cross the Gulf of Mexico.
The court’s ruling comes a day after Trump signed a law that would create a temporary restraining order that would bar the U