U.S. energy transportation getting an overhaul

Published Jul 2, 2012 at 10:00 am (Updated Jul 2, 2012)

As oil and natural gas production surges in new regions of the country, America's entire energy transportation network is undergoing a multibillion-dollar overhaul. The Houston Chronicle reports that all across North America, pipelines and rail terminals are being built in areas where wells were once scarce. Companies are reversing pipe flows and adding stronger pumps to funnel more crude through their lines. The changes are transforming the web that carries energy across the country. "Where it used to be isn't where it is now. Where it needs to go isn't where it used to go," says Terrance McGill, president of fuel carrier Enbridge Energy. "You're seeing this fundamental shift of crude oil across the country." Historically, fossil fuels flowed north, from oil fields in Texas toward the nation's big cities. But energy producers have charged into new areas with technology that can reach oil and natural gas trapped in shale and other tight rock formations. Pipelines haven't moved as quickly as drilling rigs, leaving pools of crude and gas stranded far from the Gulf Coast refineries and petrochemical plants that need them. Now companies charged with moving those fuels are rushing to catch up. Get the full story here.