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Texas Drillers Find Too Few Railcars for All Their Oil and Sand

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May 06, 2018 at 06:44 AM CST
https://www.bloomberg.com/news/articles/2018-05-04/not-enough-west-texas-railroads-to-handle-both-oil-and-sand Oil producers may be getting in their own way in the race to pump crude from the fertile Permian Basin. Railcars full of sand have helped producers unlock record amounts of crude in the Permian Basin, pushing regional prices well-below the going rate on Gulf Coast. Pipelines needed to carry the oil to the market are full and the railroads are backed up with sand shipments.

May 06, 2018 at 06:44 AM CST

https://www.bloomberg.com/news/articles/2018-05-04/not-enough-west-texas-railroads-to-handle-both-oil-and-sand

Oil producers may be getting in their own way in the race to pump crude from the fertile Permian Basin.

Railcars full of sand have helped producers unlock record amounts of crude in the Permian Basin, pushing regional prices well-below the going rate on Gulf Coast. Pipelines needed to carry the oil to the market are full and the railroads are backed up with sand shipments.