Canada Is Drowning in Oil, Even With Keystone XL
Mar 16th 2013 12:00PM
Updated Mar 16th 2013 12:06PM
Western Canadian Select crude from Canada's oil sands has been trading at a steep discount to WTI and Brent crude oils. As a result, Canadian producers such as Suncor Energy and Talisman Energy have been suffering. One way to reverse the trend is if these producers can gain access to the Asian markets, which command a higher price.
Come one, Come all
That's exactly how Kinder Morgan Energy Partners feels right now, as it's the company in the best position to help bring this crude to the West Coast. It also owns the only terminal on the West Coast with the ability to export this crude once it reaches the Pacific Ocean. Despite Enbridge's proposed Northern Gateway pipeline and the hotly contested Keystone XL pipeline, it still appears that KMP will be the dominant player in this market.
See more in the following video.
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The article Canada Is Drowning in Oil, Even With Keystone XL originally appeared on Fool.com.Joel South, Taylor Muckerman, and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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