Continued from page 2

Mr. Carney said Nebraska officials were opposed to the original pipeline route and that an alternate route has not been determined.

“You don’t grant a permit for a pipeline with a significant portion of it missing,” he said.

But officials in Nebraska, including many Republicans who had fought Keystone’s original route, said TransCanada has agreed to an alternative route that largely addresses their concerns.

The issue has become wrapped up in presidential politics as Mr. Obama tries to show that he is “all in” on finding domestic sources of energy and reducing America’s dependence on Middle Eastern oil. Republicans accuse the president of failing to allow aggressive drilling in the U.S. and kowtowing to environmental groups that are an important part of his liberal base.

Just a day earlier, the president’s advisory council on jobs and competitiveness issued a report backing the construction of more oil pipelines in the U.S., although the report did not specifically address Keystone.

“It is dumbfounding that President Obama’s decision to deny the Keystone XL pipeline permit ignores his own [council’s] report,” the Chamber of Commerce’s Mr. Donohue said.

And Mr. Boehner said Capitol Hill Republicans do not consider the battle to be lost.

“This fight is not going to go away,” Mr. Boehner said. “You can count on it. We’re not going to give up.”

Sean Lengell contributed to this report, which is based in part on wire service reports.