Crude-by-rail export volumes hit record high in April

Crude-by-rail export volumes hit record high in April

According to the National Energy Board (NEB), Canada's crude exports to the United States by rail hit a record 193,000 bbl/day in April, up 22,000 bbl/day from the previous month and surpassing the highs of September 2014. The US Energy Information Administration (EIA) is reporting that about half of those volumes are destined for the Gulf Coast region (PADD 3).

CROSS-BORDER CRUDE-BY-RAIL IMPORT/EXPORT DATA. CLICK FOR LIVE CHART →

US CRUDE IMPORTS BY RAIL BY REGION. CLICK FOR LIVE CHART →

According to the NEB, Canada now exports over 600,000 bbl/day to the Gulf Coast, mostly in the form of heavy sour crude from the oil sands. The region is underserved by pipeline and has been relying heavily on imports by rail to boost its supply of Canadian crude.

 

TOTAL CDN EXPORTS TO THE GULF COAST BY TYPE. CLICK FOR LIVE CHART →

 

RAIL LOADING TERMINALS IN AB/SK/MB. CLICK FOR INTERACTIVE MAP →

Alberta and Saskatchewan have a crude-by-rail loading capacity of about 1 million bbl/day, but the system has been limited by congestion on rail tracks and availability of tankers. Although shipments by rail is less efficient and more costly than pipeline transport, rail tracks have the distinct advantage of being able to reach every corner of North America. The use of heated tankers can also significantly reduce or eliminate diluent volumes typically required when shipping bitumen out of the oil sands.

According to the International Energy Agency (IEA), crude exports to the US by rail are expected to reach almost 400,000 bbl/day next year as Alberta's production continues to rise and export pipelines remain oversubscribed.

Cross-border crude-by-rail data is published monthly by both the NEB and EIA, two months in arrears.

Recovery efforts continue at Syncrude after power bump takes upgrader offline

Recovery efforts continue at Syncrude after power bump takes upgrader offline

Enbridge gets its preferred route for Line 3 replacement in Minnesota

Enbridge gets its preferred route for Line 3 replacement in Minnesota

0