Tag Archives: East Coast refineries

U.S. East Coast is key crude-by-rail destination

Repost from Oil Change International
[Editor:  Excellent 8-page report.  Interesting for folks on both coasts, and critical for those along the rails in the Midwest and Eastern states!  TAKE NOTE: Does this report describe our future on the west coast?  – RS]

U.S. East Coast is key crude-by-rail destination

By Lorne Stockman, July 22, 2015

Cover_ OCI-East Coast CBR-July 2015_FINALAn examination of crude-by-rail data shows that the U.S. east coast has become one of the busiest regional destinations for hazardous crude-by-rail traffic. Oil Change International used publicly available Department of Energy (EIA) data as well as subscription data from Genscape to examine the growth of crude-by-rail to one of the most densely populated areas of the United States.

Key Findings:

  • An average of 450,000 barrels per day (bpd) of crude was delivered by rail to the east coast region in 2014.
  • Around 50% of all crude-by-rail is unloaded in the wider east coast region (PADD 1).
  • Around 50% of the crude oil input to six east coast refineries is supplied by rail.
  • Over 80% of the crude oil delivered by rail to the region comes from North Dakota (Bakken crude).
  • Canada is the next biggest source of crude-by- rail for the region at around 12%.
  • Five key terminals account for 73% of the unloading capacity and around 65% of the throughput of the region’s crude-by-rail terminals.

This briefing provides additional information on crude-by-rail to the east coast. For further information on crude-by-rail see www.priceofoil/rail

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    1.4M at risk in Ohio for crude-oil derailment

    Repost from Vindi.com, Youngstown OH
    [Editor:  Quoting Ed Greenberg, spokesperson for the Association of American Railroads: “We believe that every tank car moving crude oil today should be phased out or built to a higher standard.”   – RS]

    1.4M at risk in Ohio for crude-oil derailment, study finds

    March 30, 2015 @ 12:05 a.m.

    Almost 1.4 million Ohioans live within a half-mile of railroad lines where some of the most-volatile crude oil in North America rolls by each week, a Columbus Dispatch analysis has found.

    Those people, about 12 percent of the state’s population, are at risk of being forced from their homes should a train hauling crude oil from the Bakken shale fields of North Dakota run off the tracks.

    Most trains that transport crude oil stay on their tracks, but derailments can be catastrophic.

    A Bakken train that derailed in 2013 burst into flames, killing 47 people and destroying most of downtown Lac- Megantic, Quebec. Trains have wrecked in Ontario, as well as in Alabama, Illinois, Minnesota, North Dakota, Pennsylvania and Virginia, sending trains up in flames, prompting mass evacuations and, in some cases, obliterating homes.

    A Bakken train derailed in West Virginia last month, forcing hundreds of people to evacuate their homes and spilling oil into the Kanawha River.

    Teresa Mills, program director of the Buckeye Forest Council, said that both rail officials and the oil and gas industry should do more to keep people safe.

    “Before they leave the fields, before they pump that oil into a train, they should be required to make that oil less explosive,” Mills said. “And if they can’t transport it without its being so explosive — if the Bakken is so volatile that it can’t be transported without being explosive — then they should leave it in the ground.”

    The Bakken shale field stretches over northwestern North Dakota and into Montana and produces some of the most-desirable crude oil in the United States. It’s often less expensive than imported crude. It also requires less refining than other shale oils to be turned into diesel fuel or gasoline.

    But the same things that make Bakken crude such a good fuel source also make it highly flammable.

    Ohio, with its more than 5,300 miles of tracks, is a key junction between the Bakken region and East Coast oil refineries.

    Millions of gallons of Bakken crude come through Ohio each week on trains, according to the reports that railroad companies submit to the state. Those reports show that from 45 million to 137 million gallons of Bakken are moving on Ohio’s railroad tracks every week.

    That volume, combined with high-profile derailments, has prompted federal regulators, lawmakers, industrial lobbying groups and environmental nonprofit organizations to pay closer attention to how oil moves on rail lines throughout the country.

    “If it could happen in these other places. It could surely happen right here in Ohio,” said Melanie Houston, director of water policy and environmental health for the Ohio Environmental Council, an environmental advocacy group. “It could happen in a rural area, but it could also happen in a highly populated metropolitan area like Columbus.”

    The U.S. Department of Transportation estimates that trains carrying crude oil or ethanol will derail an average of 10 times a year for the next 20 years. Property damage could top $4 billion, the DOT analysis, completed last summer, found.

    The department is preparing new rules on how crude oil is transported on tracks throughout the country. Last year, railroad companies voluntarily agreed to limit oil-train speeds to 40 mph in cities.

    Ed Greenberg, a spokesman for the Association of American Railroads, a trade group that represents railroad companies, said that organization has lobbied for tougher restrictions on the tanker cars that carry crude oil.

    “We believe that every tank car moving crude oil today should be phased out or built to a higher standard,” Greenberg said.

    But keeping people along crude-oil shipping lines safe will take a comprehensive approach, said Tom Simpson, president of the Railway Supply Institute, which represents tank-car owners and manufacturers.

    “The tank car is not the silver bullet. You cannot really design a tank car to withstand the derailment forces in a derailment, and so you can’t get the risk down to zero,” Simpson said. “You’ve got to look at the other factors, and that includes derailment prevention and ensuring [that] the materials have the proper packaging, and also educating the emergency-response personnel in the cities and villages along the right of way.”

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