Heavy Oil Discount Tightens as TMX Pipeline Work Resumes

* The Trans Mountain pipeline expansion project (TMX) resumed work after regulators issued with a stop work order nearly two weeks ago because of environmental non-compliances in a wetland area near Abbotsford, British Columbia.29dk2902l

* Concerns that the 590,000 barrel-per-day TMX project will be delayed beyond the first quarter of next year have been weighing on Canadian crude differentials in recent weeks, along with rising supply from the oil sands and maintenance shutdowns that crimped demand from U.S. Midwest refineries.

* Benchmark oil prices were little changed, paring early gains on signs tensions in the Middle East could be easing and uncertainty about U.S. oil inventories.

* The outright price of WCS was around $52.50 a barrel.

(Reporting by Nia Williams in British Columbia; Editing by Rashmi Aich)