Canadian Crude Is So Cheap It Costs More to Ship Than to Buy

(Bloomberg) — Canadian heavy crude has become so cheap that the cost of shipping it to refineries exceeds the value of the oil itself, a situation that may result in even more oil-sands producers shutting operations.Western Canadian Select crude in Alberta dropped to a record low of $5.03 a barrel on Friday, according to Bloomberg data going back to 2008, cheaper than a Starbucks venti-sized pumpkin spice latte. Synthetic crude, produced from oil-sands bitumen that’s been run through an upgrader, is in even worse shape: the price tumbled 10% to $9.78 a barrel, also the lowest on record.Canadian heavy crude …read more

Source:: Yahoo Finance


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