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Canadian crude by rail exports to the U.S. hits 3 year high

by Dan Healing (feat. Kevin Birn)

The Canadian Press
June 14, 2018

Railway exports of crude oil from Western Canada are starting to increase, a welcome sign for producers who were forced to accept bigger price discounts and, in some cases, curtail production, as export pipelines filled to near capacity earlier this year.

Crude-by-rail exports to the United States jumped to a three-year high in March of just over 170,000 barrels per day, the highest since December 2014 and an increase from 134,000 bpd in February, the National Energy Board reported.

Sending oil by rail is generally more expensive than by pipeline but is considered a vital option to get Canadian oil to U.S. refineries as delays continue to plague planned new export pipelines.

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