Company preparing to study shiping oilsands crude by rail to Alaska

by The Canadian Press (CPSTF)

CALGARY, Alberta—A rail company is getting ready to launch a feasibility study this spring into its plan to send trains full of oilsands bitumen from Fort McMurray, Alberta, to Alaska.

From Delta Junction, in the Alaska interior, the oil would move by pipeline to the port of Valdez, where it would be loaded onto tankers and shipped to Asia.

Under the proposal from G Seven Generations Ltd, First Nations would hold a 50 percent equity ownership in the project.

CEO Matt Vickers says assuming a two-year regulatory review process, trains could be shipping about a million barrels a day by 2020.

That’s about the same capacity as the proposed Alberta-to-Atlantic Energy East Pipeline, which has been contending with political opposition.

Vickers says the Alaska governor and mayor of Valdez are supportive of the proposal, so he doesn’t see political opposition being as big a headwind as in high-profile oil pipeline proposals.