Canexus pays high price for winning Canadian crude-by-rail race
Tuesday, 5 August 2014
CALGARY, Alberta, Aug 4 (Reuters) : Canexus Corp, the developer of Canada's first dedicated oil train terminal, has embraced the crude-by-rail boom with little success so far. Its shares are down 45 per cent over the past year and the company is expected to report a weak quarter on Tuesday.
The company's Bruderheim terminal, 55 kilometers (35 miles) northeast of Edmonton, Alberta, is one of seven unit train terminals operating or under construction in Western Canada.
Although Canexus beat other midstream companies such as Gibson Energy Inc in the race to ship oil to market on mile-long trains, it is yet to see much benefit.