Tight oil fuels North American rail resurgence
The train network is rapidly becoming integral to energy transport in the US, a role that could aid the rise of unconventionals
North America’s railways, once considered a relic of the continent’s industrial past, are now an essential element of the US tight oil boom. Shipments of oil by rail tripled to 234,000 carloads in 2012, according to the Association of American Railroads (AAR), driven by high levels of drilling activity in states such as North Dakota. Loadings increased by 60% in the first quarter of 2013, compared to an 8% drop for coal. To the end of March, 174,613 carloads of crude oil and petroleum products were carried by rail in the US. Each car holds 700 barrels, giving a total of 122 million barrels transported by rail in the first 12 weeks of the year, or more than 500,000 barrels a day (b/d). Though
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