Western Railroad Discussion > Alberta Crude Oil moving by Truck due to congestion - Link

Article pointing out the many challenges to the transportation of Alberta Crude Oil for Export. Issues moving Crude to the west, or moving to the south, shortage of pipelines and Rail Capacity. Present solution is to move by truck, 200 barrels at a time:

“At the end of the day, you cannot put it back in the ground - it has to go somewhere,” he said. “If your alternative is a camel or a donkey, then that’s the alternative you have to go with.”

https://www.reuters.com/article/us-canada-crude-trucks-insight/facing-shipping-constraints-canada-moving-oil-one-truckload-at-a-time-idUSKBN1HU0F4

British Columbia has been screwing over Alberta with years of wrangling over domestic and export pipe capacity. And, eastern Canada can't make up its mind whether to encourage more pipelines.

The small oil producers are the one's taking it on the chin. The larger one's are forking out the money to sign long term contracts to move the oil by rail. UP and CN have teamed up to move Alberta heavy crude oil to the Gulf and BNSF might now have the same agreement with CP.

One of the big reasons is the dramatic decline in heavy crude imports from Venezuela...most of the Gulf Coast refiners want to run heavy crude to support production of additional by-products that refining lighter crude oils can't offer. Imports of heavy crude from Mexico are up but cannot offset the decline from Venezuela and probably won't.


Allen

Think CP is mobilizing now to bring it south. Via DWP DMIR.

SD45X Wrote:
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> Think CP is mobilizing now to bring it south. Via
> DWP DMIR.


I sincerely doubt CP will use DWP-DMIR to bring anything south. CN might, but not CP.
Just another nitpick.

Nick Tharalson,
Marion, IA