Canadian light oil and natural gas producer Penn West Exploration has contracted 35,000 b/d of capacity on the planned Flanagan South Pipeline in the US and also expects to "selectively" move 5,000-7,000 b/d of crude by rail in 2013, CEO Murray Nunns said Thursday.This could simply "business as usual," or an indication of a work-around since the Keystone XL has not been approved. The short article did not say how the western Canadian oil would get to Illinois (rail or Enbridge pipelines).
The pipeline shipments will start mid-2014, when Enbridge expects to complete the Flannagan project. The 600-mile, 600,000 b/d line will run from the Chicago area to Cushing, Oklahoma, where it will link to the Seaway pipeline that runs to the US Gulf Coast, a key refining center.
Thursday, May 2, 2013
Western Canadian Oil Being Booked On Flanagan South; Business As Usual, Or Keystone XL Work-Around
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