I doubt the OL killed it, but it likely added some delays and complications. One thing as it stands is the streetcar loop will be a terrible connection to the OL station. I wouldn't be surprised if we eventually see a rethink of the loop (if possible), along with whatever changes to the Dufferin connection are needed.
Why is the loop a problem for the OL when both service different areas and markets, unless the OL is going further west than it plan for? Is there a plan floating around as to an extension what it will look like that we don't know of other than vision what it may look like by this board??
Oh my, this what you get for relocating an existing loop to the outback to built an convention centre as well tear down heritage buildings for it.
Then, just think what you could do for this area if we had duel end cars that only need stub tracks than a loop, let along through track's,
Until a final design for the GO station as well the OL station including wider tunnels under the rail corridor that has been approved, the extension will remain on hold. You can't do anything with an extension if it was built yesterday until they build the new Dufferin Bridge which may happen in 2024 by being built and will not be ready until 2025. Work is supposed to be in 2024/25 for rebuilding Dufferin Loop and have forgot the real timeframe for it.
Unless the bean counter come up with a number for building a number of wide tunnels, it going to be a nightmare to get from one side to the other for the corridor as well to/from the OL station. You need 3 tunnels.