Elon Musk's Boring Company has axed plans to build a massive tunnel under Los Angeles

AP

Elon Musk's The Boring Company has axed its Test Tunnel project.

• Elon Musk's The Boring Company has axed its plans to build an approximately two-mile-long tunnel under western LA.
• The decision came after several local residents groups sued the city over its plan to exempt the project from environmental regulations, and The Boring Company settled with them.
• Musk previously said the tunnel would open on December 10, and tweeted photos of its progress less than two weeks ago.

Elon Musk's The Boring Company has abandoned its plans to build a massive subterranean tunnel under the Los Angeles Westside.

The company announced its decision on Tuesday, which came came after several residents groups sued the city of Los Angeles over its plan to exempt the project - known as the Test Tunnel - from environmental reviews.

The tunnel would have run for about two miles from a parking lot at the SpaceX headquarters, the company's website said at the time. It was due to open on December 10, Musk tweeted in October.

The company came up with the idea for the project in 2017.

Read more: This picture of hellish LA traffic shows why we need a transportation revolution

The Boring Company

What The Boring Company's tunnel would have looked like.

A Boring Company spokesman said in a statement, cited by NBC News and The Daily Beast:

"The parties (The Boring Company, Brentwood Residents Coalition, Sunset Coalition, and Wendy-Sue Rosen) have amicably settled the matter of Brentwood Residents Coalition et al. v. City of Los Angeles (TBC -- The Boring Company).

"The Boring Company is no longer seeking the development of the Sepulveda test tunnel and instead seeks to construct an operational tunnel at Dodger Stadium."

The Dodger Stadium tunnel - named the Dugout Loop - would ferry fans from subway lines to the ballpark.

The approximately three-mile trip would take four minutes and cost $1, the company said.

The Boring Company/YouTube

How The Boring Company envisioned its subterranean tunnel in an April 2017 video.

Musk tweeted footage of the company's drill completing its first tunnel less than two weeks ago.

Musk told the "Joe Rogan Experience" podcast in September that The Boring Company "started out as a joke," and that the idea to tunnel under Los Angeles was born out of "desperation."

Read more: Elon Musk shared 2 videos of the Boring Company's giant drill completing its first tunnel at the bottom of a huge pit