More and more considerations are being made to use railway and barges to move Canadian oil to the Gulf Coast.
Bloomberg is reporting that Valero Energy Corp. is now thinking about the rail and barge idea as the U.S. government weighs approval of the Keystone XL pipeline.
The company is considering moving crude by barge to its refinery in Louisiana from Illinois– which is a delivery point on an existing TransCanada line.
The company also owns heated rail cars and could use them to send Canadian bitumen to Louisiana and Texas.
It is looking to increase the amount of Canadian crude it brings in, as fields mature and production declines in places like Mexico.
Valero Energy Corporation is the world’s largest independent refiner by processing capacity.
January 31st, 2013
