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Category: Transportation

Railroads Dash to Transport Surge in U.S. Oil

September 02, 2014 Posted by Chris Wysong

Drillers are relying heavily on railroads to transport oil. As domestic oil production soars, railroads are the go-to transportation option in many areas because rail is the only accessible point near many shale formations. Railroads Dash to Transport Surge in U.S. Oil By: Matthew Rocco Rail shipments of U.S. crude oil and petroleum products continue to climb, as pipelines play catch-up to soaring domestic production. Over the first seven months of the year, railroads have moved 9% more oil and petroleum products like gasoline compared to the same period in 2013, according to data from the Association of American Railroads. The Energy Information Administration noted that this years rise in crude-by-rail volumes reflects increasing U.S. production, which hit 8.5 million barrels per day in June. Thats the highest level since 1986. The production surge at shale formations like North Dakotas Bakken has put pressure on transportation and logistics companies that are responsible for

Posted in Oil, Railroad, Transportation
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