Are they dropping the Steele City to Cushing segment? Is there enough capacity available to skip that part?
That was never part of last couple year plan. The original Phase 1 and Phase 2 building of the Keystone (already in service) had capacity from Steele City to Cushing.
Phase 3 and 4 were rolled into the previous Keystone XL permit package. Now they are back again as separate projects. Phase 3 shown below is now called the Gulf Coast Pipeline and the new Keystone XL was first shown as phase 4.