Producer cites benefits of rail transport of bitumen

07/16/2012
Southern Pacific Resources Corp., Calgary, has completed a long-term agreement to ship bitumen by rail to the US Gulf Coast in a system it says will improve production netbacks at its STP-McKay thermal oil sands project west of Fort McMurray, Alta. The producer says the arrangement, with the Canadian railroad CN, will increase the value of bitumen at the production site by lowering shipping costs relative to pipeline transport. Rail shipment requires about 33% less process diluent than what is necessary to meet pipeline specifications, Southern Pacific said. And return-trip rail cars can supply the project with low-cost Gulf Coast diluent. The arrangement also provides pricing advantages,...
read-story

Why Register?

Non-subscribers can only view whitepapers by providing name, home and email address, phone number and other information and comment on/rate articles.

Why Subscribe?

Oil & Gas Journal subscribers with login credentials can access these premium features of OGJ Online:

  • Current Issue – an html version of the current week's issue of Oil & Gas Journal.
  • Past Issues – An Electronic OGJ Archive. A keyword-searchable archive of all issues of Oil & Gas Journal dating back to 1990; also searchable by issue date.
  • Market Journal – a weekly round-up of the oil and gas markets, with observations from leading analysts.
  • Editor's Perspective – a short article of insight and opinion by the Editor of Oil & Gas Journal.
  • OGJ Industry Stats – quick access to current industry statistics from Oil & Gas Journal.
  • OGJ Survey Downloads - quick access to exclusive reports from Oil & Gas Journal.

 

Subscriber Help or Subscribe

Oil & Gas Journal Subscribers: Have your subscription number (from the mailing label on the cover of your Oil & Gas Journal) and e-mail address ready to set up your online account through Customer Service Assistant.

If you're not an Oil & Gas Journal subscriber, start a subscription and gain access to the subscriber areas of OGJ Online now.

Stay Connected