Barges to Carry Bakken Crude to West Coast (California, Washington) Refineries

First of two very interesting stories sent in by a reader (thank you): barges will soon carry Bakken crude to West Coast refineries -- Platts.

US barge owner Kirby said Thursday that Bakken crude oil would soon find a rail route to the West Coast, where vessels would pick it up to deliver to California and Washington refineries.

"There are investments being made to facilitate that as we speak," CEO Joe Pyne told analysts during a fourth-quarter earnings call.

While Kirby executives have previously considered the possibility of West Coast routes for Bakken oil, it was the first time they sounded confident that the trades would happen.

Pyne did not go into detail about what share of that market Kirby hopes to snag or how soon the shipments might start.

North Dakota's booming oil production has shaken up midstream markets, with railroads, river barges, coastal barges and a few Jones Act tankers picking up the slack while pipelines get built.

Pyne said those dynamics for crude oil transportation will keep shifting for several years before a more permanent trend takes hold.