Category Archives: Oil Industry

Excellent source of news about crude by rail in the Pacific Northwest

Sightline Daily, News & Views for a Sustainable Northwest

Sightline Series

The Northwest’s Pipeline on Rails

Westbound oil train, Essex, MT. Photo credit Roy Luck.

Westbound oil train, Essex, MT. Photo credit Roy Luck.

Since 2012, nearly a dozen plans have emerged to ship large quantities of crude oil by train to Northwest refineries and port terminals. This would be a major change for the Northwest’s energy economy, yet so far, the proposals have largely escaped notice. This series begins with a report that is the first comprehensive, region-wide review of all the oil-by-rail projects planned or currently operating in the Pacific Northwest, and it proceeds with updates on and analysis of their development.

For analysis of the traffic impacts of oil and coal trains in communities throughout the Northwest, see the series “The Wrong Side of the Tracks.”

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Posts on The Northwest’s Pipeline on Rails

22. Running “Off the Rails”

ForestEthics’ new report on the Northwest fossil fuel blow-up.
on March 13, 2014 at 9:35 am

21. The Man Behind the Exploding Trains

  Pulling back the curtain on Warren Buffett’s role.
  and on March 4, 2014 at 10:30 am

20. The Growth in Oil-By-Rail in One Picture

  Railroads now move 57 times more oil on trains than just a few years ago.
on February 24, 2014 at 6:30 am

19. Updated Oil-by-Rail Analysis

  Sightline has a new accounting of Northwest oil train projects.
on February 20, 2014 at 3:00 pm

18. No Margin for Error

  DOT-111 tanks cars are unsafe at any speed.
  and on February 12, 2014 at 6:30 am

17. Video: How Oil Trains Put the Northwest At Risk

  Sightline featured in new video on oil trains.
on February 10, 2014 at 3:00 pm

16. CARTOON: How Communities See Oil Trains

  Oglala-Lakota artist on Bakken oil trains and risk.
on January 30, 2014 at 12:30 pm

15. Why Bakken Oil Explodes

  The perils of a particular petroleum, explained.
  and on January 21, 2014 at 10:30 am

14. Another Oil Train Blows Up, Because That’s What They Do

  Major fire in New Brunswick after derailment.
on January 8, 2014 at 9:10 am

13. Oil Trains: What You Should Be Reading

  Understanding why oil trains are a threat.
on January 7, 2014 at 6:30 am

Washington Senator Cantwell calls for elimination of DOT-111 tanker cars

Repost from Longview Daily News, Longview, WA

Sen. Cantwell presses oil executives to fast-track use of safer rail cars

March 8, 2014 By Erik Olson

U.S. Sen. Maria Cantwell, D-Wash., is demanding the oil industry eliminate older, unsafe tanker cars that are hauling crude oil through the Pacific Northwest, including those that pass oil through Cowlitz and Columbia counties.

At a Senate hearing Thursday on rail safety in Washington, D.C., Cantwell pressed industry executives on when they will pull cars known as “DOT 111” off the rails in favor of newer, sturdier models that are less likely to be punctured and spill.

The safety of oil trains has come under increasing scrutiny following the increase in drilling from the Bakken shale fields centered in North Dakota. Communities on rail lines have expressed concerns of a growing risk of fiery explosions if oil trains derail and detonate highly flammable Bakken sweet crude, and regulators have been slow to respond.

Critics warn about the possibility of disasters like last year’s crude oil train derailment in Lac-Megantic, Quebec, which caused an explosion that killed 47 people.

“We’ve gone from four years ago — having basically nothing on rail by crude — to now having something like 408,000 carloads of crude. Knowing when those cars are going to be off those rails — these cars that the National Transportation Safety Board has already said are unacceptable — this is a key issue for me and for my state,” Cantwell said in a written transcript.

Oil industry executives, who own most of the tanker cars, told Cantwell said they hope to phase out 60 percent of the older cars by 2015 but couldn’t say when they’d all be off the rails.

In the Pacific Northwest, most of those trains are headed to the BP oil refinery in Anacortes near the San Juan Islands and to a converted ethanol production facility at Port Westward owned by Boston-based Global Partners.

Some of those trains pass through Cowlitz County on the way to the refinery, and other oil trains pass through Rainier en route to the oil export terminal at Port Westward.

Rainier Mayor Jerry Cole said he supports Cantwell’s efforts but trusts Global to operate safely while creating jobs in the area. He said a Global official called him this week and said the company is moving the oil as safely as possible. About a dozen trains with about 100 cars each currently come through downtown Rainier per month, 22 fewer than Global is allowed by its permit.

“The safer rail cars, at the end of the day, are good for everyone along that line, from their end destination to the beginning,” Cole said.

The legality of some of those shipments remains under dispute. Oregon state regulators said this week that Global has violated its permits by moving 297 million gallons of oil to Port Westward between December 2012 and November 2013 when its permit allowed 50 million gallons. The company is disputing the claim.

Railroad officials note that they don’t own tanker cars — the oil companies do — but they are installing safety measures on unit trains and mainlines, such as better brakes and additional locomotives. They said they applauded Cantwell’s call for increased safety.

“If something is on our rails, and we’re carrying it, we’re going to do it in the safest ways possible,” Burlington Northern Santa Fe spokeswoman Courtney Wallace said.

SF Chron article about Benicia / Crude by Rail

Repost from SFGate.com

[Editor’s note]  This SF Chronicle report includes a short video interview with Benicia Mayor Elizabeth Patterson.  Unfortunately, the interview is preceded by advertising, and can’t be set to manual play – so I will not embed it here.  After reading the text here, click on the link above to see the video on SFGate.  The text here very nicely places Valero’s proposal in a wider Bay Area and California context, and then lays out some startling numbers.  Worth the read!

Is California prepared for a domestic oil boom?

Published Wednesday, February 26, 2014

The North Dakota oil boom has resulted in more trains going boom. At least 10 trains hauling crude oil from the Bakken Shale across North America have derailed and spilled, often setting off explosions. The deadliest killed 47 people in Lac-Mégantic, Quebec, on July 6, 2013. As California refineries seek to adapt their operations to bring in Bakken crude by rail, Bay Area residents in refinery towns want to know: Will they be safe?

In Solano County, Benicia residents packed a Planning Commission meeting when Valero Refining Co. unveiled a plan to adapt its Benicia refinery to receive crude by rail rather than by ship. In Contra Costa County, Pittsburg residents (as well as state Attorney General Kamala Harris) are concerned about a proposal by West Pac Energy to convert a closed tank farm to an oil storage and transfer facility. Similar worries are voiced in Crockett and Rodeo about a proposed propane and butane project at the Phillips 66 refinery.

Air pollution is the top-line concern for these communities, followed by fear of spills and explosions. Some protests are tied to the larger political debate over importing tar sands oil from Canada.

The refinery operators maintain they are merely trading ship transport for rail transport or upgrading aging facilities.

We do know this: The tangle of laws and agencies that oversee rail transport make it easy to assign blame to someone else and tough to hold any one agency or business accountable. Rail oversight is primarily the federal government’s job, which makes sense for an industry with track in every state. While the state handles pollution, some safety inspections and emergency response, it is unclear how much legal authority it or any other state government has. The Obama administration announced some voluntary safety measures Friday that would slow trains in cities, increase track inspections and beef up emergency response. There’s still work to do be done sorting out who would enforce such rules.

A state Senate committee will meet Monday to begin investigating whether California is prepared to receive hundreds of railcars a day of highly flammable Bakken crude. The legislators are asking: Should we have confidence that the agencies with oversight, the Department of Fish and Wildlife, the California Public Utilities Commission and Caltrans, are up to the job?

We need to know how theses railroads will run safely before more Bakken crude comes in by rail.

More crude riding the rails

85-fold – the increase in the amount of crude oil transported on U.S. railroads since 2006, from 4,700 carloads to 400,000 carloads in 2013, according to a rail industry regulatory filing.

135 times – the increase in the amount of crude transported by rail in California since 2009, from 45,491 barrels in 2009 to 6,169,264 barrels in 2013, according to the California Energy Commission.

1 percent – the portion of crude oil transported into California by rail (most comes by ship). This is projected to increase as more refineries adapt to bring in Bakken crude by rail.

73 degrees Fahrenheit – the flash point of Bakken crude, a lighter oil that contains more volatile organic compounds than other crude oils, as compared with 95 degrees Fahrenheit. “Crude oil being transported from the Bakken region may be more flammable than traditional heavy crude oil,” reported the U.S. Department of Transportation.

New York State: “inspection blitz” of crude-by-rail facilities

Repost from the White Plains NY Journal News on LoHud.com

State launches “inspection blitz” of rail facilities hauling crude oil

State and federal authorities this week began inspecting facilities used to ship volatile crude oil by rail throughout New York.

The sites include rail yards in Albany and Buffalo, the Port of Albany and its rail yard, as well as tracks and the tank cars that haul the volatile oil.

The inspections are the latest government effort to address growing concerns about increased shipments of crude oil from the Bakken oil fields in North Dakota. The oil travels over approximately 1,000 miles of New York, from Buffalo in the west, down from Quebec to the north and south through the Hudson Valley headed for refineries along the East Coast and Canada.

“We are taking action to safeguard our communities from the potential risk of crude oil shipments by launching more aggressive and enhanced enforcement of rail safety,” said Gov. Andrew Cuomo said Friday. “This inspection blitz has resulted in immediate improvements to some of the state’s busiest rail sites.”

Earlier this week, inspectors from the state Department of Transportation and officials from the Federal Railroad Administration visited the Kenwood Rail Yard in Albany, owned by Canadian Pacific Railway, and the CSX-owned Frontier Rail Yard in Buffalo.

A locomotive hauling a 97-car oil train derailed on Tuesday on CSX’s River Line near Kingston. The 130-mile line, which runs through Rockland, averages about 14 oil trains a week, carrying tens of millions of gallons of Bakken crude.

The state said it inspected 198 DOT-111 type tank cars and three locomotives at the CSX yard. Two of the tank cars had wheel defects, and a few others were found with brake shoe defects. The DOT-111 cars are known to rupture in accidents, and many have called on them to be retrofitted or replaced.

At Kenwood Rail Yard, the joint team found three defective wheels and three defective brake shoes on the DOT-111s. Those defects must be addressed before the cars can leave the yard, the state said.

On Friday, the state Department of Environmental Conservation also began inspecting Global Partners’ major oil storage facility at the Port of Albany. The process is expected to last several weeks.

The inspections of other rail facilities will continue over the coming months.

While the state has sought to improve preparedness and oversight, the federal government is most responsible for railroad and tank car safety.

For safe and healthy communities…