Canada Can’t Capitalize on Crude Shortfall Created by Venezuela Sanctions
Pipeline bottlenecks, rail costs limit exports to U.S. from world’s fourth-largest producer
U.S. sanctions on Venezuela have American refiners scrambling to find new sources for the dense crude oil they need to make fuel, but Canadian producers are finding the opportunity too expensive to exploit.
The U.S.’s northern neighbor, the world’s fourth-largest oil producer, would be a natural candidate to make up for the loss of Venezuelan supply. But much of Canada’s heavy crude is landlocked because of a shortage of pipeline capacity.
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