The price per barrel of Bakken crude has declined for several reasons, the large growth in production in recent years in regards to the Bakken, the lack of pipeline capacity and infrastructure to transport the oil out of this region and the glut of oil in Cushing, OK. The buyout by Enbridge from Conoco Phillips for the Seaway Pipeline and the idea of reversing flow back to the Gulf Coast has my attention. This action should greatly lessen the overload in Cushing while increasing Bakken crude oil prices. I would appreciate additional input on this topic as actions such as this, will effect all parties associated with Bakken production.
What can I say Charles ? It would raise the price I'm getting for my crude. That said, the US is already exporting light sweet crude and if we are going to continue to do so it only makes sense to make it easier to do so. I am told that most of our refineries are set up to handle sour crude and most of Europes' refineries are set up to handle light sweet crude and that is the reason the Brent price is higher, because of the premium they pay for light sweet crude.