Canada Ping!
Posted on 11/16/2014 7:45:16 AM PST by george76
Delays of the Keystone XL pipeline are providing little obstacle to Western Canadian oil producers getting their crude to the U.S. Gulf Coast, with shipments set to more than double next year.
The volume of Canadian crude processed at Gulf Coast refineries could climb to more than 400,000 barrels a day in 2015 from 208,000 in August, according to Jackie Forrest, vice president of Calgary-based ARC Financial Corp. The increase comes as Enbridge Inc.’s Flanagan South and an expanded Seaway pipeline raise their capacity to ship oil by as much as 450,000 barrels a day. Canadian exports to the Gulf rose 83 percent in the past four years.
The expansion shows Canadians are finding alternative entry points into the U.S. while the Keystone saga drags on
...
The Canadian crude would add more cheaper, heavier oil available to Gulf Coast refiners, allowing them to save about $7 a barrel compared with the price of domestic light supply, ARC Financial’s Forrest said.
The Canadian oil would displace imports from Mexico, Venezuela and the Middle East, pushing those supplies onto the world market and adding to a supply glut after prices plunged 31 percent since June
(Excerpt) Read more at business.financialpost.com ...
Early Christmas present.
(Adam Smith's invisible hand at work.)
It’s not the amount of crude oil but the refining capacity of the US. You can be drowning in oil but if you can’t refine it what good is it? We have around 150 refineries but not all are refining oil into gasoline. There are shutdowns and then changes in additives and much much more ....
Canada sent about 54,000 barrels a day to the U.S. Gulf by rail in the first half of 2014,
Back in the day, the fact that hundreds of cars could use a ferry boat to get across the Chesapeake Bay was not a reason to forget about building the bay bridge.
Of course the oil is getting here, but lets get it here safer, faster, and cheaper.
This must really upset those who are obstructing the Keystone pipeline. They must hate it that the U.S. is producing more domestically and also buying much more oil from a friendly nation like Canada. They must hate it that Canada is finding a way around the obstructionism of the Obama administration. U. S. - Canadian trade is a win-win that builds up both countries. The U.S. buying so much oil from the Saudis has been a losing situation for us - the Saudis take our money and “invest” it in the U.S. in the form of shiny new mosques and schools that teach radicalism.
Botique fuels are killing us. Far, far too many of them.
And don’t refineries shut down to change over to different fuels for different seasons?
The US does not have a refinery shortage. We refine more product that we use. We finally have excess refining capacity. We import more crude oil than we use and export the surplus product.
Warren Buffett’s Burlington Northern Santa Fe LLC is among U.S. and Canadian railroads that stand to benefit from the Obama administration’s decision to reject TransCanada Corp. (TRP)’s Keystone XL oil pipeline permit.
Proving once again that a campaign contribution to a Democrat is a good investment.
Summer/winter changes for vapor pressure in gasoline.
It would be hard to find a refinery that hadn’t “soured up” to run heavy crude in one fashon or another.
Heavy crude generally means more asphalt production.
Or greater investment in capital as well as operating cost for more cracking capacity in one form or another.
Canada Ping!
Proving once again that a campaign contribution to a Democrat is a good investment.’
Pipelines are the safest, cheapest, and most reliable of the bulk transports available for petroleum products.
The ‘controversy’ about Keystone is an artificial construct of Warren Buffets paid servants.
TWB
Hard to keep “Good” Capitalism down.
who refines that sludge Venezuela calls oil now days since the HOVENSA plant on St.Croix shut down?
Then why import at all?
The refined products sell for far more than the crude.
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