The court ruled in a decision released Thursday that the government had failed in its duty to consult with aboriginal groups on the 1177-kilometre (730-mile) pipeline project and sent the matter back to Prime Minister Justin Trudeau's cabinet for a "prompt redetermination".
Canada's former Conservative government approved Northern Gateway in 2014, imposing more than 200 conditions on its construction. But the plan has faced fierce opposition from environmentalists, aboriginal groups and communities along the pipeline route, with many investors skeptical it would every be built.
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