What does the Keystone XL veto mean for oil prices?

The recently-vetoed Keystone XL pipeline would have provided a relatively cheap means for Canadian producers to transport oil to refineries in the US where it could be processed for sale. As such, the veto of the project is probably positive for oil prices, since it potentially restricts supply growth. That said, given prevailing low prices and Canada’s high production costs, Keystone XL alone would probably not have incentivised much additional production.