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Increased rail shipments for N.D., Canadian oil

The Journal Star -- The price of oil from North Dakota and Canada has risen three times as fast as U.S. and global benchmarks this quarter as producers increased rail shipments to coastal refineries that have depended on higher-priced imports.

Bakken, Syncrude and Western Canadian Select oils have traded Wednesday at this year's smallest discounts to Brent, the benchmark grade for imported oil, as refiners from Washington to New Brunswick received trainloads of crude from Alberta and the U.S. Midwest. Bakken reached a premium to West Texas Intermediate Sept. 4 for the first time in four months.

Advances in drilling and hydraulic fracturing technologies boosted North Dakota output 71 percent in the past year, Energy Department data show. Shipments of oil by rail in the Unites States jumped 41 percent to 367,

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Submitted Sep 24, 2012 By: drpepperTX

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bevmill Champion Author Georgia Posts:2,562 Points:596,545 Joined:Apr 2006	Message Posted: Sep 25, 2012 4:25:04 PM Ignore bevmill Report Abuse ok
teenitup Champion Author Houston Posts:1,603 Points:245,955 Joined:Sep 2012	Message Posted: Sep 25, 2012 3:45:59 PM Ignore teenitup Report Abuse It's hard to believe the resistance to new refineries from the environmentalists.
teenitup Champion Author Houston Posts:1,603 Points:245,955 Joined:Sep 2012	Message Posted: Sep 25, 2012 3:43:57 PM Ignore teenitup Report Abuse It's hard to believe the resistance to new refineries from the environmentalists. [Edited by: teenitup at 9/25/2012 6:47:23 PM EST]
rjhenn Champion Author Des Moines Posts:22,419 Points:2,226,625 Joined:Aug 2005	Message Posted: Sep 25, 2012 3:09:46 PM Ignore rjhenn Report Abuse "Secure a supply of oil sands crude from Alberta, Canada. The refinery would process 400,000 barrels per day into gasoline, diesel and jet fuel." Couldn't they use Bakken oil instead?
drpepperTX Champion Author Texas Posts:8,929 Points:749,935 Joined:Apr 2011	Message Posted: Sep 25, 2012 6:57:47 AM Ignore drpepperTX Report Abuse Sorry, the link to the Hyperion Refinery article did not work, here's a taste of the holdups and just why refineries are not going to be an answer:To be in a position to turn over the first spade of dirt by the state's March 2013 construction deadline, Hyperion must still: -- Prevail in a protracted legal fight headed for a showdown in the South Dakota Supreme Court. Three groups are appealing a lower court ruling that upheld a state air quality permit for the proposed Hyperion Energy Center. -- Line up financing for the $10 billion project, which would be the nation's first all-new oil refinery in more than 35 years, and the second largest single capital expenditure in U.S. history. -- Exercise purchase options on more than 3,000 acres of Union County farmland that were rezoned in a emotionally-charged referendum in 2008. -- Secure a supply of oil sands crude from Alberta, Canada. The refinery would process 400,000 barrels per day into gasoline, diesel and jet fuel. -- Develop a route for a dedicated pipeline that would transport the heavy crude to the refinery site, located about seven miles north of Elk Point. -- Obtain about a dozen other local permits or consents, including state siting permits for the power plant and utility lines running to it, and a federal permit that would give the company the rights to up to 12 million gallons of water per day for cooling the plant. -- Hire a team of engineers, contractors and other professionals for the immense project, which would take an estimated four years to complete, creating an average of 4,500 construction jobs per year. When up and running, the energy center would employ about 1,800. and there's more: On Feb. 9, (2012) Sixth Circuit Court Judge Mark Barnett upheld a state environmental board's decision to grant Hyperion a revised Prevention of Significant Deterioration permit. A month later, opponents, which include the Sierra Club and two local groups, Save Union County, and Citizens Against Oil Pollution, appealed Barnett's ruling to the state Supreme Court. The plaintiffs argue the permit is flawed because the pollution-control technology is not sufficient to comply with federal environmental laws. They also claim the state should have conducted a more thorough environmental study, and Hyperion should have to restart the application process because it missed the original February 2011 construction deadline.
jcdakota Champion Author Baltimore Posts:1,347 Points:361,345 Joined:Nov 2010	Message Posted: Sep 25, 2012 1:48:15 AM Ignore jcdakota Report Abuse At least someone is getting increased business and trains are more fuel efficient.
tomok Champion Author Portland Posts:32,917 Points:2,341,510 Joined:Aug 2006	Message Posted: Sep 25, 2012 1:14:44 AM Ignore tomok Report Abuse Rail shipments, it's the only way to transport oil from North Dakota and Canada for now. A pipeline would be cheaper to transport that oil but maybe later. Increased railroad oil traffic, increased oil spills? Big Oil exports fuel to other countries that will pay more for it. People are driving less and using more fuel efficient vehicles and less fuel is being consumed domestically. Higher fuel prices at the pump makes those EV's and Inbreds look much better don't they! The US ‘oil and natural gas resources’ belong to the citizens of this country and are to be used by those same citizens! Speculators, manipulators and the banks continue to unfairly and unjustly make the driving public pay higher prices at the pump for their personal benefit. The price at the pump needs to go down to $2/gallon, $3, $3.50/gallon or $4.00 is Not the new low! Whatever the size or shape of the vehicle, Produce and ‘Drive’ vehicles with high MPG, are very safe, reliable, has a ‘reasonable’ cost and a good ‘value’ for the money. The price of fuel at the pump is too high! 12/22/2012!
VanIsleLes All-Star Author British Columbia Posts:898 Points:274,595 Joined:Jun 2012	Message Posted: Sep 24, 2012 9:42:02 PM Ignore VanIsleLes Report Abuse Good!
DCbeachbum Champion Author South Carolina Posts:2,642 Points:901,490 Joined:May 2010	Message Posted: Sep 24, 2012 9:23:20 PM Ignore DCbeachbum Report Abuse Shipping by rail, hmm? Why not start building a refinery close to the source. Getting the oil from the field to the refinery would be minimal and less expensive.
TustinDad Champion Author Orange County Posts:4,271 Points:906,865 Joined:Feb 2008	Message Posted: Sep 24, 2012 9:21:58 PM Ignore TustinDad Report Abuse NoGas714 wrote: "So since all the oil is coming from ND now, they're paying .42 /gal at the pump... Just like Saudi Arabia.. Right?" You are forgetting one important factor: The oil industry is government owned in Saudi Arabia. Do you really want that here too?
rahcat Champion Author Grand Rapids Posts:2,453 Points:659,275 Joined:Jan 2010	Message Posted: Sep 24, 2012 9:12:46 PM Ignore rahcat Report Abuse Build a refinery at the source.
NoGas714 All-Star Author Indiana Posts:733 Points:747,410 Joined:May 2005	Message Posted: Sep 24, 2012 9:07:28 PM Ignore NoGas714 Report Abuse So since all the oil is coming from ND now, they're paying .42 /gal at the pump... Just like Saudi Arabia.. Right?
Quick68 Champion Author Columbus Posts:8,183 Points:1,222,875 Joined:Dec 2009	Message Posted: Sep 24, 2012 9:06:22 PM Ignore Quick68 Report Abuse Can't ship it to China on a train.
PrinceLH Champion Author Ontario Posts:2,677 Points:535,120 Joined:Jun 2011	Message Posted: Sep 24, 2012 9:01:19 PM Ignore PrinceLH Report Abuse Better then getting it from the muslim dogpound!
SparkieMi Champion Author Kalamazoo Posts:3,244 Points:584,445 Joined:Sep 2011	Message Posted: Sep 24, 2012 8:58:22 PM Ignore SparkieMi Report Abuse Great!!! Keep the work in USA!!!!
Matache Rookie Author Riverside Posts:54 Points:15,660 Joined:Sep 2012	Message Posted: Sep 24, 2012 8:57:12 PM Ignore Matache Report Abuse yay !
1Boog Champion Author Lincoln Posts:5,956 Points:1,197,900 Joined:May 2004	Message Posted: Sep 24, 2012 8:50:11 PM Ignore 1Boog Report Abuse good deal!!
defiancegasman Champion Author Ohio Posts:7,075 Points:1,322,185 Joined:May 2006	Message Posted: Sep 24, 2012 8:47:36 PM Ignore defiancegasman Report Abuse Still CHEAPER than using a PIPELINE! And safer too! A rail accident may spill a few hundred or thousand gallons of crude, while a pipeline accident will spill hundreds of thousand to Millions of gallons!
fahadsami Sophomore Author Victoria Posts:205 Points:173,075 Joined:Aug 2011	Message Posted: Sep 24, 2012 8:44:39 PM Ignore fahadsami Report Abuse ok
spotterFL Champion Author Florida Posts:4,085 Points:519,040 Joined:Aug 2009	Message Posted: Sep 24, 2012 8:43:46 PM Ignore spotterFL Report Abuse Build a pipeline to Philadelphia.
DCbeachbum Champion Author South Carolina Posts:2,642 Points:901,490 Joined:May 2010	Message Posted: Sep 24, 2012 8:43:01 PM Ignore DCbeachbum Report Abuse Good information. Shipping by rail of any product is less costly by rail. However a pipeline to the east and west would be better.
ExplorerWA Champion Author Washington Posts:4,062 Points:793,250 Joined:Feb 2011	Message Posted: Sep 24, 2012 8:42:07 PM Ignore ExplorerWA Report Abuse We need it so ship it, mail it or fedx it.
Gas4Gore Champion Author Detroit Posts:2,401 Points:419,875 Joined:Jan 2010	Message Posted: Sep 24, 2012 8:37:11 PM Ignore Gas4Gore Report Abuse WOW
drpepperTX Champion Author Texas Posts:8,929 Points:749,935 Joined:Apr 2011	Message Posted: Sep 24, 2012 8:37:02 PM Ignore drpepperTX Report Abuse "When will someone build a refinery in ND and sell the oil in the north, where it is needed, instead of shipping it all the way to hurricane prone Texas refining it there and shipping it back north." ======================= With the Eco-imperialist red tape it will be a long while....Consider [L=http://m.siouxcityjournal.com/mobile-touch-2/?disableTNStatsTracker=1&text deleted/L]
suzmar Champion Author Texas Posts:2,210 Points:869,225 Joined:Jun 2006	Message Posted: Sep 24, 2012 8:33:57 PM Ignore suzmar Report Abuse This is why we need pipelines, probably a lot safer than rail shipments.
bginsj Champion Author San Jose Posts:1,853 Points:1,231,160 Joined:May 2009	Message Posted: Sep 24, 2012 8:33:09 PM Ignore bginsj Report Abuse at least it isnt middle eastern oil
wcp3rd All-Star Author New Jersey Posts:714 Points:358,375 Joined:Mar 2012	Message Posted: Sep 24, 2012 8:32:19 PM Ignore wcp3rd Report Abuse ok
brutherruther Veteran Author Fort Worth Posts:435 Points:237,540 Joined:Mar 2012	Message Posted: Sep 24, 2012 8:30:17 PM Ignore brutherruther Report Abuse Ok
jrsva Champion Author Virginia Posts:9,835 Points:1,609,325 Joined:Jan 2006	Message Posted: Sep 24, 2012 8:29:49 PM Ignore jrsva Report Abuse Good for the railroads. UP stock has more than doubled. I hope that CSX and NS will get some of the action.
southrob Champion Author Tucson Posts:3,585 Points:685,150 Joined:Mar 2011	Message Posted: Sep 24, 2012 8:28:04 PM Ignore southrob Report Abuse free enterprise somewhere
wayoung56 Champion Author Alabama Posts:2,785 Points:815,310 Joined:Oct 2006	Message Posted: Sep 24, 2012 8:27:54 PM Ignore wayoung56 Report Abuse Interesting article...
abcdMA Champion Author Worcester Posts:7,907 Points:1,571,955 Joined:Nov 2008	Message Posted: Sep 24, 2012 8:26:42 PM Ignore abcdMA Report Abuse this isn't increased rail, but rather increased prices
Piggy1959 Sophomore Author Fort Worth Posts:166 Points:110,495 Joined:Aug 2012	Message Posted: Sep 24, 2012 8:21:44 PM Ignore Piggy1959 Report Abuse I can't imagine how some of you think this is good news. Man, the speculators and gamblers are going crazy (probably, literally).
mysub Champion Author Las Vegas Posts:8,891 Points:2,326,465 Joined:Apr 2006	Message Posted: Sep 24, 2012 8:20:07 PM Ignore mysub Report Abuse JimL1, good question.
GigHarborHound Champion Author Tacoma Posts:2,517 Points:484,490 Joined:Sep 2011	Message Posted: Sep 24, 2012 8:19:23 PM Ignore GigHarborHound Report Abuse Yessssss!!!
Darwin00 All-Star Author Mississippi Posts:827 Points:267,095 Joined:Dec 2010	Message Posted: Sep 24, 2012 8:18:52 PM Ignore Darwin00 Report Abuse I hope there are no accidents up there. A lot going on, safety should be a top priority.
Heltonw Champion Author Montana Posts:3,289 Points:1,655,365 Joined:Dec 2007	Message Posted: Sep 24, 2012 8:18:51 PM Ignore Heltonw Report Abuse Drill more and build the pipeline.
mstearno Champion Author Dayton Posts:8,048 Points:1,728,210 Joined:Jan 2008	Message Posted: Sep 24, 2012 8:10:04 PM Ignore mstearno Report Abuse good news pipeline more efficient
papakoca All-Star Author Texas Posts:649 Points:526,935 Joined:Jun 2011	Message Posted: Sep 24, 2012 8:09:09 PM Ignore papakoca Report Abuse Need some way to use those idle oil tank cars setting on the railside.
drobbbb Champion Author Maryland Posts:3,460 Points:808,460 Joined:Dec 2010	Message Posted: Sep 24, 2012 8:08:58 PM Ignore drobbbb Report Abuse great
blazerbob91 Champion Author Milwaukee Posts:6,125 Points:1,879,670 Joined:Aug 2005	Message Posted: Sep 24, 2012 8:06:55 PM Ignore blazerbob91 Report Abuse Gotta get the product to market
dancygreen Champion Author Twin Cities Posts:2,048 Points:481,860 Joined:Sep 2011	Message Posted: Sep 24, 2012 8:05:22 PM Ignore dancygreen Report Abuse ok
serrog Champion Author Nova Scotia Posts:5,549 Points:1,509,205 Joined:Oct 2008	Message Posted: Sep 24, 2012 8:03:08 PM Ignore serrog Report Abuse ok
chillyman3 Champion Author Illinois Posts:1,349 Points:421,065 Joined:Jan 2012	Message Posted: Sep 24, 2012 8:02:30 PM Ignore chillyman3 Report Abuse OLD NEWS
Blue48 Champion Author Illinois Posts:7,290 Points:1,634,920 Joined:Feb 2007	Message Posted: Sep 24, 2012 7:59:24 PM Ignore Blue48 Report Abuse HOW LONG WILL IT LAST!
flyfast Champion Author Kansas City Posts:9,233 Points:1,822,035 Joined:Jan 2008	Message Posted: Sep 24, 2012 7:57:28 PM Ignore flyfast Report Abuse ok but cost more the if a pipline was use
MG_Sputnik Champion Author Philadelphia Posts:7,290 Points:1,956,630 Joined:Apr 2006	Message Posted: Sep 24, 2012 7:56:38 PM Ignore MG_Sputnik Report Abuse Mixed feelings about this.
texasvet Champion Author Texas Posts:3,823 Points:360,120 Joined:Jul 2009	Message Posted: Sep 24, 2012 7:56:26 PM Ignore texasvet Report Abuse It would be a lot cheaper and more efficient to put in the Keystone XL pipeline, but truckers need to feed their families, too.
Dsin44 Champion Author Abbotsford Posts:1,270 Points:271,670 Joined:Apr 2011	Message Posted: Sep 24, 2012 7:48:19 PM Ignore Dsin44 Report Abuse glad about that..
JimL1 Champion Author Phoenix Posts:8,201 Points:1,239,245 Joined:Jul 2003	Message Posted: Sep 24, 2012 7:47:35 PM Ignore JimL1 Report Abuse When will someone build a refinery in ND and sell the oil in the north, where it is needed, instead of shipping it all the way to hurricane prone Texas refining it there and shipping it back north.