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Bakken Crude Oil And The Changing Logistics Of The American Oil Industry, Austin Rau Jan 2016

Bakken Crude Oil And The Changing Logistics Of The American Oil Industry, Austin Rau

Independent Research

The extraction of Bakken crude oil in the Williston Basin of North Dakota is transforming how petroleum is shipped. Before 2008, North American oil was carried primarily via pipeline from source regions to refineries along the Gulf Coast or to metropolitan areas close to consumers. The current pipeline system is ill-equipped to accommodate massive volumes of oil from this previously low producing region. Lack of infrastructure and high demand for “light tight oil” (LTO) led to the use of railroads as a means of moving the product to refineries across the nation. Transporting oil via rail over long distances was …