Premier Jim Prentice is feeling much more confident about the prospects for the Keystone XL pipeline following U.S. mid-term elections Tuesday that gave new momentum to the long-delayed project.

The vote saw a pro-Keystone Republican majority sweep into the U.S. Senate, with several senior figures in the party saying Wednesday that approval of the pipeline — which aims to connect Alberta’s oilsands to refineries on the U.S. Gulf Coast — will be a priority.

Prentice has long struck a wary note about Keystone, warning even before he became premier in September that a decision on the pipeline might not come until a new U.S. administration is in place after the 2016 presidential election.

But he said Wednesday that his optimism has grown after the “very encouraging” election results.

“I think there’s been a significant realignment of the legislative branch in the United States. I remain cautiously optimistic, but I am hopeful,” Prentice said in an interview.

Calgary-based TransCanada Corp. first applied for a presidential permit for the pipeline in 2008.

But the project aroused fierce opposition from some landowners along the route and environmental groups concerned about the oilsands’ greenhouse gas footprint.

With deep divisions in his Democratic party over Keystone, U.S. President Barack Obama has several times put off a decision on the project.

The Republican majority means that a bill calling for Keystone’s approval will almost certainly be brought to a vote and passed for Obama’s consideration.

And it is possible the Republican numbers, combined with pipeline-friendly Democrats, could create a super-majority capable of giving the go-ahead to the oilsands pipeline through Congress and overriding a veto by Obama.

TransCanada Pipelines CEO Russ Girling heralded a path forward for the pipeline Wednesday, saying in a statement that Keystone XL “has always enjoyed bipartisan support and is a great example of an issue where both parties can work together.”

“After six years, it is time to break the gridlock on Keystone and move forward,” said Girling, who earlier this week said the cost of the project had risen by 50 per cent to $8 billion.

The federal Conservative government also appears to see a potential breakthrough on Keystone.

“Good news for Canadian jobs & economy,” Employment Minister and Calgary MP Jason Kenney tweeted as the election results rolled in. “It looks like the new U.S. Senate will have the 60+ votes needed to ensure that Keystone XL is approved.”

The president though played down the project during a wide-ranging news conference at the White House on Wednesday.

Obama noted the pipeline is undergoing a regulatory review, and is still the subject of a court fight in Nebraska over the route.

He said he still had to consider such factors as to whether the project would create jobs, impact gas prices and affect greenhouse gas emissions.

Obama has expressed skepticism in the past about the job-creation potential, and on Wednesday he appeared to question the project’s overall significance to Americans.

“Keep in mind, this is Canadian oil; this isn’t U.S. oil,” Obama said.

“While that (Keystone) debate has been raging, we’ve seen some of the biggest increases in American oil production and American natural gas production in our history.”