Riding the shale rail
Bakken producers take to the tracks; pipeline capacity also on the rise
AS OIL production from the prolific Bakken Shale has ramped up, swiftly outstripping pipeline capacity, producers have turned to the railways to deliver their crude to market. As of December last year, railcars were carrying up to 65,000 barrels of oil out of the region – about 18% of its total production. That figure is expected to rise further as additional rail facilities are brought into service. Although trains have been used to ship crude oil in the past, expansion of the US pipeline grid made rail transportation less appealing. But when production began in the Bakken Shale in 2008, it quickly exceeded pipeline takeaway capacity. Consequently, Bakken crude was being sold at a discount
Also in this section
20 February 2026
The country is pushing to increase production and expand key projects despite challenges including OPEC+ discipline and the limitations of its export infrastructure
20 February 2026
Europe has transformed into a global LNG demand powerhouse over the last few years, with the fuel continuing to play a key role in safeguarding the continent’s energy security, Carsten Poppinga, chief commercial officer at Uniper, tells Petroleum Economist
20 February 2026
Sempra Infrastructure’s vice president for marketing and commercial development, Carlos de la Vega, outlines progress across the company’s US Gulf Coast and Mexico Pacific Coast LNG portfolio, including construction at Port Arthur LNG, continued strong performance at Cameron LNG and development of ECA LNG
19 February 2026
US LNG exporter Cheniere Energy has grown its business rapidly since exporting its first cargo a decade ago. But Chief Commercial Officer Anatol Feygin tells Petroleum Economist that, as in the past, the company’s future expansion plans are anchored by high levels of contracted offtake, supporting predictable returns on investment
