Source: BNSF Press Release
Photo By: Ken Hulsey
BNSF Railway (BNSF) today
announced that it has increased capacity in 2012 to enable the railroad
to haul one million barrels per day out of the Williston Basin in North
Dakota and Montana. This increased capacity will allow the energy
industry to
continue the
record expansion of oil production in the Williston Basin and to ship the new
production to markets throughout the U.S. It will also benefit shippers of other commodities, including agricultural products.
“Historically, oil and
gas
producers have used pipelines to transport crude from production to
refineries and ultimately on to end users,” said John Lanigan, BNSF
executive vice president and chief marketing officer. “Because this
shale
development growth came about so quickly, there has been a shortage of
pipeline capacity to deliver production from new unconventional sources
to coastal refiners. BNSF has responded quickly to enable producers to
move crude to the most attractive markets and secure the best prices.”
Today, through direct and interline service, '
BNSF's network reaches
all major coastal and inland markets, and it directly serves 30 percent
of U.S. refineries in 14 states. BNSF currently has 1,000 miles of rail
line in the Williston Basin area and serves eight originating terminals
with two more scheduled to be
completed
by the end of 2012. BNSF connects to 16 of the top 19 oil producing
counties in Central and Western North Dakota, and five of the six oil
producing counties in Eastern Montana.
“BNSF has been
hauling
Bakken crude out of the Williston Basin area for over five years. In
that time, we have seen the volume increase nearly 7,000 percent, from
1.3 million barrels in 2008 to 88.9 million in 2012,” said Dave Garin,
BNSF group vice president, Industrial Products. “We see this trend
continuing and we are
committed to serving this growing market now and in the future.”
BNSF has been able to achieve this increase in capacity due to increased investment, maintenance and
hiring efforts.
BNSF is investing $197 million in 2012 on projects in
North Dakota and
Montana.
Some of those projects include 2,188 miles of track surfacing, two new
inspection tracks, raising track at Devil's Lake, replacement of 121
miles of rail and about 332,000 rail ties, as well as signal upgrades
and equipment acquisitions.
Since 2011, BNSF has hired more than 560 new employees to fill
existing and newly created positions in North Dakota and Montana. These
employees include crews to help deliver the inbound freight that
supports drilling efforts and the outbound crude to destination markets
throughout the U.S.
In addition to hiring new employees in the field, BNSF has also
formed a dedicated Unit Energy Desk that works directly with our
customers to help coordinate and plan unit train movements to and from
the Williston Basin. With an expanded team, the Unit Energy Desk
provides customers a single-source point of contact for their rail
operations planning needs.
BNSF has also employed numerous efficiency enhancements to increase
capacity on routes into and out of the Williston Basin. These include
working with our customers to increase train sizes from 100 to 104 tank
cars and in some cases up to 118 tank cars, adding signalization and
sidings along key routes, and identifying and developing the most
efficient routes.
About BNSF
BNSF Railway is one of North America's leading
freight transportation
companies operating on 32,000 route miles of track in 28 states and two
Canadian provinces. BNSF is one of the top transporters of
consumer goods,
grain,
industrial goods and low-sulfur
coal
that help feed, clothe, supply, and power American homes and businesses
every day. BNSF and its employees have developed one of the most
technologically advanced, and efficient railroads in the industry. And
we are working continuously to improve the value of the
safety, service, energy, and
environmental benefits we provide to our customers and the communities we serve. You can learn more about BNSF at
http://www.BNSF.com.
