Canadian crude-by-rail exports to the U.S. rose 48% in October vs. the previous month, National Energy Board (NEB) data showed on Jan. 11, as volumes recovered from a steep slump earlier in the year.
Energy companies that had planned to ship crude on the Dakota Access Pipeline will turn to rail, a transport method that poses its own risks to the environment and local communities, Reuters reported.
Watco To Acquire Additional Bulk Terminals From Kinder Morgan
Transport Minister Marc Garneau confirmed the plan in an interview with CBC Radio's "The House," the broadcaster said on its website.
U.S. producers of sand used to extract oil from shale are raising prices due to stronger demand, a sign higher oil prices are improving the outlook for the domestic fracking industry.
Michael Collins, vice president of business development for CIG Logistics, said the hub will employ railroad engineers, conductors, bulk terminal operators and others.
Shell's move on Oct. 6 comes at a bad time for Bakken producers, who have endured a two-year price rout and need new routes to move their oil to coastal refineries.
Toronto police said there were no charges involved in the incident, Reuters reported.
If Sandpiper Pipeline Project is snuffed, supply-and-demand balance in Bakken could arrive sooner, East Daley analysts say.
U.S. crude-by-rail volumes were 427,000 barrels per day (Mbbl/d) in April, down from a peak of 1.1 MMbbl/d in 2014, Reuters reported.
The June 3 accident, in which nearly a dozen rail cars in a 96-car Union Pacific train carrying crude derailed and burst into flames about 70 miles from Portland, Ore., rekindled oil-by-rail safety concerns, Reuters reported.
One source said Suncor wanted to transport about 10 Mbb/d by truck and needed to move the bitumen volumes so it can keep producing and maintain pressure in its oil sands reservoir.