Canadian Manufacturing

$100M crude by rail terminal slated for central Saskatchewan town

by The Canadian Press   

Canadian Manufacturing
Operations Supply Chain Energy Infrastructure Oil & Gas Transportation construction rail

Facility to be built in Kerrobert, approximately 185 kilometres west of Saskatoon

KERROBERT, Sask.—A transportation company has announced plans to build a $100-million rail hub in central Saskatchewan by next fall.

Torq Transloading says it will more than quadruple its shipping output to 168,000 barrels a day when its planned crude-by-rail terminal is expected to hit full production.

CEO Jarrett Zielinski says the shipment of oil by train makes sense when done safely and ethically.

He says oil by rail has the ability to not only compete with pipelines but supplement pipelines in market diversity given the fact that the infrastructure already exists.

Zielinski says Torq’s destination markets on the United States Gulf Coast, East Coast and mid-continent make it a prime place to build the terminal.

Construction is set to begin this fall.

“The most expensive component of shipping crude by rail is actually the rail line itself,” said Zielinski.

“Kerrobert is as far south and east geographically that we can access these barrels of heavy, undiluted product in a significant quantity and be able to ship them out via rail.”

Torq currently has crude-by-rail terminals in Saskatchewan near Shaunavon, Bromhead and Lloydminster, as well as other locations.

Kerrobert is 185 kilometres west of Saskatoon.


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