{"id":32530,"date":"2018-03-19T07:57:17","date_gmt":"2018-03-19T12:57:17","guid":{"rendered":"http:\/\/olduvai.ca\/?p=32530"},"modified":"2018-03-19T07:58:37","modified_gmt":"2018-03-19T12:58:37","slug":"canadas-pipeline-challenges-will-force-more-tar-sands-oil-to-move-by-rail","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=32530","title":{"rendered":"Canada&#8217;s Pipeline Challenges Will Force More Tar Sands Oil to Move by Rail"},"content":{"rendered":"<h3 id=\"page-title\" class=\"page__title title\"><a href=\"https:\/\/www.desmogblog.com\/2018\/03\/18\/canadian-pipeline-capacity-more-tar-sands-oil-rail\">Canada&#8217;s Pipeline Challenges Will Force More Tar Sands Oil to Move by Rail<\/a><\/h3>\n<article class=\"node-12727 node node-blog node-promoted view-mode-full clearfix\">\n<div class=\"field field-name-field-bimage field-type-image field-label-hidden\">\n<div class=\"field-items\">\n<div class=\"field-item even\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.desmogblog.com\/sites\/beta.desmogblog.com\/files\/styles\/full_width_blog_image\/public\/blogimages\/gogama-oil-train-derailment_credit-Transportation-Safety-Board-Canada.jpg?itok=yrncCkVp\" alt=\"Gogama oil train derailment in Ontario\" width=\"826\" height=\"614\" \/><\/div>\n<\/div>\n<\/div>\n<div class=\"new-horizontal-social-bar clearfix\">\n<div class=\"new-horizontal-share-wrapper new-horizontal-email-wrapper clearfix last\"><\/div>\n<\/div>\n<div class=\"field field-name-body field-type-text-with-summary field-label-hidden\">\n<div class=\"field-items\">\n<div class=\"field-item even\">\n<p>The Motley Fool has been\u00a0advising investors on \u201c<a href=\"https:\/\/www.fool.ca\/2018\/03\/13\/how-to-profit-from-the-re-emergence-of-canadas-crude-by-rail-strategy\/\" target=\"_blank\" rel=\"noopener\">How to Profit From the Re-Emergence of Canada\u2019s Crude-by-Rail Strategy<\/a>.\u201d\u00a0But what makes\u00a0transporting Canadian\u00a0crude oil by rail attractive\u00a0to\u00a0investors?<\/p>\n<p>According to the Motley Fool, the reason is \u201c\u2026 right now, there is so much excess oil being pumped out of Canada\u2019s oil sands that the pipelines simply don\u2019t have the capacity to handle it\u00a0all.\u201d<\/p>\n<p>The International Energy Agency recently reached the same conclusion in its <a href=\"https:\/\/www.iea.org\/bookshop\/768-Market_Series_Report:_Oil_2018\" target=\"_blank\" rel=\"noopener\">Oil 2018 market report<\/a>.<\/p>\n<p><span class=\"dquo\">\u201c<\/span>Crude by rail exports are likely to enjoy a renaissance, growing from their current 150,000 bpd [barrels per day] to an implied 250,000 bpd on average in 2018 and to 390,000 bpd in 2019. At their peak in 2019, rail exports of crude oil could be as high as 590,000 bpd \u2014 though this calculation assumes producers do not resort to crude storage in peak months,\u201d the\u00a0International Energy Agency said, as reported <a href=\"http:\/\/business.financialpost.com\/commodities\/energy\/export-constraints-to-crimp-future-oilsands-gains-amid-rising-global-supply-risks-iea\" target=\"_blank\" rel=\"noopener\">by the Financial\u00a0Post. <\/a><\/p>\n<p>To put that in perspective, however, the industry was moving 1.3 million barrels per day at the peak of the <span class=\"caps\">U.S.<\/span> oil-by-rail boom in\u00a02014.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.desmogblog.com\/sites\/beta.desmogblog.com\/files\/CBR%20volumes%20graph.png\" alt=\"\" \/><br \/>\n<em>Graph of American crude-by-rail volumes. Credit: U.S Energy Information\u00a0Administration<\/em><\/p>\n<p>And Canada has\u00a0plenty of capacity to load\u00a0oil on more\u00a0trains, which means\u00a0if a producer is willing to pay the premium to move oil by rail, it can find a customer to do it. The infrastructure is in place to load approximately <a href=\"https:\/\/www.neb-one.gc.ca\/nrg\/ntgrtd\/mrkt\/snpsht\/2018\/02-01mjrcrlrltrmnls-eng.html\" target=\"_blank\" rel=\"noopener\">1.2 million barrels per day<\/a>.<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<p>&nbsp;<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n","protected":false},"excerpt":{"rendered":"<p>Canada&#8217;s Pipeline Challenges Will Force More Tar Sands Oil to Move by Rail The Motley Fool has been\u00a0advising investors on \u201cHow to Profit From the Re-Emergence of Canada\u2019s Crude-by-Rail Strategy.\u201d\u00a0But what makes\u00a0transporting Canadian\u00a0crude oil by rail attractive\u00a0to\u00a0investors? According to the Motley Fool, the reason is \u201c\u2026 right now, there is so much excess oil being [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3,4],"tags":[1642,103,5317,416,433,11782,2466,1476,781],"class_list":["post-32530","post","type-post","status-publish","format-standard","hentry","category-energy-2","category-environment","tag-bitumen","tag-canada","tag-desmog-blog","tag-iea","tag-international-energy-agency","tag-justin-mikulka","tag-oil-by-rail","tag-pipelines","tag-tar-sands"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/32530","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=32530"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/32530\/revisions"}],"predecessor-version":[{"id":32531,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/32530\/revisions\/32531"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=32530"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=32530"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=32530"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}