Wall Street Journal
More Pipelines Needed to Follow Seaway's Path

Friday, November 18, 2011

Plans to reverse the Seaway pipeline may significantly cut the glut of oil inventories in the U.S. interior, but that will only whet the appetite of thirsty Gulf Coast refiners.

Experts say more pipelines will be needed along the same route to bring North America's growing oil bounty to where the continent's biggest fuel makers are.

U.S. oil production is expected to grow from to 6.4 million barrels a day by 2016 from 4.2 million barrels a day today, according to data provided by Bentek Energy, a consultancy. And oil producers in western Canada are expected to ratchet up production to 3.5 million barrels a day by 2015 from 2.8 million in 2010, according to the Canadian Association of Petroleum Producers.

To access a complete copy of this report, please visit online.wsj.com.