The State Department has no major objections to the revised Keystone XL oil pipeline route.
The State Department says Canadian Tar Sands are likely to be developed regardless of whether the U-S approves a plan to pipe oil from western Canada to refineries in Texas.
The State Department was required to conduct a new environmental analysis after the pipeline's operator, Calgary based TransCanada, changed the Keystone XL project's route through Nebraska to avoid the environmentally sensitive Sand Hills region.
A draft environmental report acknowledges that development of tar sands in Alberta would create greenhouse gases but makes clear that other methods to transport the oil also pose a risk to the environment.
The report does not make a recommendation for or against the project but does not raise major objections.