Cal­i­for­nia Dreamin’?

Alberta Oil - - OBSERVER -

When the Trans Moun­tain pipe­line ex­pands from

300,000 b/d to 890,000 b/d at full ca­pac­ity, along with crude oil from Al­berta to the B.C. coast it also will carry the hopes of many in the in­dus­try that Al­ber­tan heavy crude will fi­nally earn an Asian mar­ket pre­mium, hav­ing bro­ken free of North Amer­i­can pric­ing. How­ever, the big­gest ves­sels that the oil ter­mi­nal port of Burn­aby, near Van­cou­ver, can han­dle are Afra­max car­ri­ers. These are not cost-com­pet­i­tive on the open seas against the Mid­dle Eastern sup­pli­ers’ ULCCs and VLCCs. So Al­ber­tan pro­duc­ers will have to ab­sorb that trans­port cost or find an­other mar­ket, such as Cal­i­for­nia.

Be­tween 2005 and 2013, crude oil tankers ac­counted for 1.5 per­cent of all for­eign ves­sel traf­fic in Van­cou­ver’s Bur­rard In­let, amount­ing to ap­prox­i­mately 48 crude oil tankers in Port Metro Van­cou­ver an­nu­ally.

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