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Mon, 2014-09-01 13:46Steve Horn
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Labor Day News Dump: FERC Hands Enbridge Permit for Tar Sands by Rail Facility

On the Friday before Labor Day — in the form of an age-old “Friday News Dump“ — the Federal Energy Regulatory Commission (FERC) handed a permit to Enbridge, the tar sands-carrying corporate pipeline giant, to open a tar sands-by-rail facility in Flanagan, Ill. by early-2016. 

With the capacity to accept 140,000 barrels of tar sands product per day, the company's rail facility serves as another step in the direction towards Enbridge's quiet creation of a “Keystone XL Clone.” That is, like TransCanada's Keystone Pipeline System sets out to do, sending Alberta's tar sands all the way down to the Gulf of Mexico's refinery row — and perhaps to the global export market.

Flanagan sits as the starting point of Enbridge's Flanagan South pipeline, which will take tar sands diluted bitumen (“dilbit”) from Flanagan to Cushing, Okla. beginning in October, according to a recent company earnings call. From there, Enbridge's Seaway Twin pipeline will bring dilbit to Port Arthur, Texas near the Gulf.

Enbridge made the prospect of a tar sands-by-rail terminal public for the first time during its quarter two investor call.

“In terms of the rail facility, one of the things we're looking at is – and the rail facility is really in relation to the situation in western Canada where there is growing crude oil volumes and not enough pipeline capacity to get it out of Alberta for a two or three year period,” Guy Jarvis, president of liquids pipelines for Enbridge, said on the call.

“So, one of the things we're looking at doing is constructing a rail unloading facility that would allow western Canadian crudes to go by rail to Flanagan, be offloaded, and then flow down the Flanagan South pipeline further into Seaway and to the Gulf.”

FERC has given Enbridge the permit it needs to make that happen.

Thu, 2014-04-10 08:37Justin Mikulka
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Oil-By-Rail Scrutiny Ratchets Up Across United States

Two years ago, trains snaked through American towns and cities day and night often without residents, or even city officials, knowing they were carrying explosive crude oil from the Bakken shale fields in North Dakota.

But now — after four serious oil train explosions in the US and Canada — the issue has exploded into public consciousness, with citizens and governments across the country raising questions about whether it’s safe to transport the flammable or explosive petroleum products through residential neighborhoods. 

Recently we have seen some major developments in the national discussion about moving oil by rail in the United States.

Yesterday, U.S. Transportation Secretary Anthony Foxx told Congress that his agency is committed to pressing the oil-by-rail industry to come up with a safer tank car design for unconventional oil. “My target date is as soon as possible,” Foxx said, although he would not commit to a hard deadline for stricter standards when pressed by the Senate Appropriations committee.

Thu, 2013-10-10 20:08Steve Horn
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Over 865,200 Gallons of Fracked Oil Spill in ND, Public In Dark For Days Due to Government Shutdown

Over 20,600 barrels of oil fracked from the Bakken Shale has spilled from a Tesoro Logistics pipeline in Tioga, North Dakota in one of the biggest onshore oil spills in recent U.S. history.

Though the spill occurred on September 29, the U.S. National Response Center - tasked with responding to chemical and oil spills - did not make the report available until October 8 due to the ongoing government shutdown. 

“The center generally makes such reports available on its website within 24 hours of their filing, but services were interrupted last week because of the U.S. government shutdown,” explained Reuters

The “Incident Summaries” portion of the National Response Center's website is currently down, and the homepage notes, “Due to [the] government shutdown, some services may not be available.” 

At more than 20,600 barrels - equivalent to 865,200 gallons - the spill was bigger than the April 2013 ExxonMobil Pegasus pipeline spill, which spewed 5,000-7,000 barrels of tar sands bitumen into a residential neighborhood in Mayflower, Arkansas.

So far, only 1,285 barrels have been recovered in North Dakota, and the oil is spread out over a 7.3 acre land mass.

Kris Roberts, environmental geologist for the North Dakota Department of Health Division of Water Quality told the Williston Herald, “the leak was caused by a hole that deteriorated in the side of the pipe.”

No water, surface water or ground water was impacted,” he said. “They installed monitoring wells to ensure there is no impact now or that there is going to be one.”

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