TransCanada, the company behind Keystone XL pipeline from Canada to the U.S Gulf Coast, has asked the U.S. State Department to pause its review of the project.

The company said Monday a suspension would be appropriate while it works with Nebraska authorities for approval of its preferred route through the state. The move comes before the Obama administration was widely expected to reject it.

Senator Steve Daines moments ago expressed his disappointment following TransCanada’s decision:

"The Obama administration has waged a full on assault on American energy independence that has resulted in TransCanada’s decision to suspend its application to build the commonsense Keystone XL pipeline. This pipeline would have created new opportunities for good-paying jobs, helped advance American energy independence and lowered American energy prices. While this suspension is bad news, it is not the end of the line – I will keep fighting for this shovel-ready project that has the overwhelming bipartisan approval of Congress as well as the support of the American people.”

The net unseen loss to the state of Montana totals $63 million in potential property taxes, according to

(The Associated Press & Tom Egelhoff contributed to this story)