Cheap Canadian Oil Displaces Iraqi Imports on US West Coast
- Trans Mountain expansion sends oil to California, Washington
- Canada’s heavy crude displaces Iraq’s Basrah Heavy in June
The Westridge Marine Terminal at the end point of the Trans Mountain Pipeline System in Burnaby, British Columbia. The expanded Trans Mountain pipeline has entered commercial operation, allowing US West Coast refiners to replace their heavy Iraqi oil imports with cheaper crude from Canada.
Photographer: James MacDonald/BloombergUS West Coast refiners are replacing their heavy Iraqi oil imports with cheaper crude from Canada as the newly expanded Trans Mountain pipeline reshuffles trade flows across the Pacific.
California and Washington are set to import about 150,000 barrels a day of Canadian crude by tanker in June — a seven-fold increase from average volumes, according to preliminary Vortexa data. At the same time, imports of Iraq’s Basrah Heavy crude are poised to plunge to just 3,587 barrels a day from 76,000 barrels in May.