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Alberta Oil - - CONTENTS -

Crude-by-rail re­mains the pipe­line al­ter­na­tive; Al­berta’s In­dus­trial Heart­land is ready to rise; and CEPA man­ager Evan Wil­son on why laugh­ing mat­ters

THAT’S THE AV­ER­AGE NUM­BER OF BAR­RELS OF Western Cana­dian crude oil trans­ported to mar­ket by rail per day in 2015. Some of that crude goes through Que­bec, where 47 peo­ple died in Lac-Mé­gan­tic, when a crude oil train ex­ploded down­town, burn­ing and par­tially col­laps­ing build­ings in a onek­ilo­me­ter blast ra­dius. With transcon­ti­nen­tal pipe­lines blocked by op­po­nents, the crude-by-rail build­out will con­tinue – U.S. re­finer Valero has since be­gun op­er­at­ing a 50,000-bpd rail ter­mi­nal at its Que­bec re­fin­ery to re­ceive Cana­dian and U.S. crude. Yet more than 80 may­ors in the Mon­treal area are op­pos­ing Tran­sCanada’s pro­posed En­ergy East pipe­line. The B.C. govern­ment is op­pos­ing the Trans Moun­tain and North­ern Gate­way pipe­line projects, de­spite pro­pos­als to build re­finer­ies on the B.C. coast to process Al­ber­tan bitumen – oth­er­wise brought by rail, al­beit in a less volatile form than the light Bakken crude that lev­eled down­town Lac-Mé­gan­tic.

Crude by rail is a phe­nom­e­non. CN trans­ported 128,000 car­loads of crude oil across North Amer­ica in 2014 – up 70 per­cent from the year prior

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